Chapter II ESTABLISHMENT OF THE BOARD

(1) With effect from such date as the State Government may, by notification, appoint in this behalf, there shall be established for the purposes of this Act, a Board by the name of the Karnataka Housing Board which shall be a body corporate having perpetual succession and a common seal and may sue and be sued in its corporate name and shall subject to the provisions of this Act, be competent to acquire, hold and dispose of property both movable and immovable and to contract and do all things necessary for the purposes of this Act. (2) The Board shall consist of the following members, namely:— (a) a Chairman who shall be appointed by the State Government; (b) the Additional Chief Secretary or the Principal Secretary or the Secretary to Government as the case may be Housing Department, Government of Karnataka; (c) the Secretary to Government, Finance Department, Government of Karnataka; (d) the Chief Engineer (Communication and Building) (South); (e) the Director of Town and Country Planning, Government of Karnataka; (f) the Additional Chief Secretary or the Principal Secretary or the Secretary to Government as the case may be, Energy Department, Government of Karnataka; (g) the Housing Commissioner; (h) a nominee of the Housing and Urban Development Corporation not below the rank of a Regional Chief; and (h-1) the Additional Chief Secretary or the Principal Secretary or the Secretary to Government as the case may be Urban Development Department, Government of Karnataka; (h-2) the Chief engineer of the Board; (h-3) the Additional Director of Town and Country Planning of the Board; (h-4) the Secretary of the Board who shall be the member Secretary; (i) three non-official members appointed by the State Government of which one shall be woman. (2A) The names of members appointed including the Chairman shall be notified in the official Gazette. (3) Any non-official member of the Board including the Chairman may at any time resign his office by submitting his resignation to the State Government: Provided that the resignation shall not take effect until it is accepted.

The State Government may, from time to time, grant to the Chairman such leave as may be admissible under the rules and any person whom the State Government appoints to act for the Chairman during such absence on leave shall, while so acting, be deemed for all purposes of this Act to be the Chairman.

Disqualification for appointment on Board. (1) A person shall be disqualified for being appointed or for continuing as the Chairman or member of the Board, if he,— (a) holds any office or place of profit under the Board, (b) is of unsound mind and stands so declared by a competent court, (c) is an undischarged insolvent, (d) has directly or indirectly by himself or by any partner, any share or interest in any contract or employment with, by or on behalf of the Board, or (e) is a Director or a Secretary, Manager or other salaried officer of any incorporated company which has any share or interest in any contract or employment with, by or on behalf of the Board. (2) A person shall not be disqualified under clause (d) or (e) of sub-section (1) or be deemed to have any share or interest in any contract or employment within the meaning of the said clauses, by reason only of his or the incorporated company of which he is a Director, Secretary, Manager or other salaried officer, having a share or interest in any newspaper in which any advertisement relating to the affairs of the Board is inserted. (3) A person shall not be disqualified under clause (d) or (e) of sub-section (1) or be deemed to have any share or interest in any incorporated company which has any share or interest in any contract or employment with, by or on behalf of, the Board, by reason only of his being a shareholder of such company: Provided that such person discloses to the State Government the nature and extent of the shares held by him.

Term of office and conditions of service. (1) The Chairman and every other non-official member shall hold office during the pleasure of the State Government. (2) Subject to the provisions of sub-section (1), the Chairman and every other non-official member shall hold office for three years from the date of their appointment, but they shall be eligible for re-appointment. (3) The Chairman and every other non-official member shall receive such allowances as may be prescribed. (4) The allowances to the Chairman and the other non-official member shall be paid from the funds of the Board and such allowances and other conditions of service shall be such as may be prescribed.

Vacancy of a member. If the Chairman or any other non-official member,— (a) becomes subject to any of the disqualifications mentioned in section 5, or (b) tenders his resignation in writing to the State Government, or (c) is absent without the permission of the Board from all the meetings of the Board for three successive ordinary meetings, he shall cease to be the Chairman or non official member.

(1) Any vacancy in the office of the Chairman or of non official member shall be filled in as early as practicable. (2) Notwithstanding anything contained in this Act, the continuing non official member may during such vacancy act, as if no vacancy had occurred.

Proceedings presumed to be good and valid. No disqualification of, or defect in the appointment of, any person acting as a Chairman or a member of the Board shall be deemed to vitiate any act or proceeding of the Board, if such act or proceeding is otherwise in accordance with the provisions of this Act.

(1) The State Government shall appoint an officer not below the rank of a Deputy Commissioner to be the Housing Commissioner for the Board. (2) The State Government shall from among its officers appoint a Chief Engineer the Additional Director of Town and Country Planning and a Secretary to the Board. (3) The Housing Commissioner, the Chief Engineer and the Secretary shall receive such monthly salary and other allowances payable wholly by the Board as the State Government may, from time to time determine. (4) The State Government may, from time to time grant leave of absence for such period as it thinks fit to the Housing Commissioner, the Chief Engineer and the Secretary. A copy of every order granting such leave shall be communicated to the Chairman. (5) The Housing Commissioner shall be the Chief Executive and Administrative Officer of the Board. He shall, in addition to performing such functions as are conferred on him by or under this Act or under any law for the time being in force, operate the accounts of the Board and be responsible for the maintenance of accounts of the Board. He shall also be responsible for implementing the housing schemes, land development schemes and labour housing schemes of the Board. (6) The Housing Commissioner shall have all the powers of a major Head of the Department of the State Government under the Karnataka Civil Services Rules for the time being in force as respects the officers and the servants of the Board. (7) The Chief Engineer the Additional Director of Town and Country Planning and the Secretary shall exercise such powers and perform such functions as the Board may, subject to any general or special order of the State Government specify from time to time.

(1) Subject to such rules as may be made under this Act, the Board may have such officers and servants as are necessary for its purposes. In making these appointments it shall be the duty of the appointing authority to reserve adequate number of posts for the Schedule Castes, Scheduled Tribes and other backward classes of citizens in the same manner and to the same extent as are applicable to recruitment to the State Civil Services. (2) The emoluments, allowances and other conditions of service of the officers and servants referred to in sub-section (1) shall be the same as are applicable to the officers and servants of the State Government governed by the Karnataka Civil Services Rules except as otherwise prescribed. (3) The Karnataka Public Service Commission shall exercise the same functions as respects the services of the Board as the said Commission exercises under Article 320 of the Constitution of India as respects the services of the State and every appointment to posts carrying a maximum monthly salary exceeding Rs. 200, other than those prescribed, shall be made in consultation with the Karnataka Public Service Commission: Provided that this sub-section shall not apply to an officiating or temporary appointment for an aggregate period not exceeding one year: Provided further that no appointment shall be made contrary to the advice of the said Commission except with the approval of the State Government.

General disqualification of all officers and servants. No person who has directly or indirectly by himself or his partner or agent, any share or interest in any contract, by or on behalf of the Board or in any employment under, by or on behalf of the Board, otherwise than as an officer or servant thereof, shall become or remain an officer or servant of the Board.

Appointment of committees. Subject to any rules made under this Act, the Board may, from time to time, and for any particular local area appoint one or more committees for the purpose of discharging such duties or performing such functions as it may delegate to them and any such committee may discharge such duties or perform such functions with due regard to the circumstances and requirements of that particular area.

The Board shall meet and shall from time to time make such bye-laws with respect to the day, time, place, notice, management and adjournment of its meetings as it thinks fit, subject to the following provisions, namely:— (a) an ordinary meeting shall be held once at least every two months; (b) the Chairman may, whenever he thinks fit, call for special meetings; (c) the quorum for every meeting shall be seven; (cc) if any member being the Secretary to Government is unable to attend any meeting of the Board, he may under intimation to the Chairman, authorise any officer not below the rank of a Deputy Secretary in writing, to do so; (d) every meeting shall be presided over by the Chairman and in his absence, by any member chosen by the members present at the meeting to preside for the occasion; (e) all questions at any meeting shall be decided by a majority of the members present and voting and in case of equality of votes the person presiding shall have and (f) the minutes of the proceedings of each meeting shall be recorded in a book to be provided for the purpose.

Power to make contracts. The Board may enter into and perform or require the performance of all such contracts as it may consider necessary or expedient for carrying out any of the purposes of this Act.

Execution of contracts. (1) Every contract shall be made on behalf of the Board by the Housing Commissioner:

Provided that,-

(a) no contract involving an expenditure of rupees two hundred and fifty lakhs and more shall be made without the previous sanction of the State Government,

(b)(i) no contract involving an expenditure of rupees fifty lakhs and more shall, subject to clause (a), be made without the previous sanction of the Board,

(ii) no estimate or tender involving an expenditure of rupees fifty lakhs and more shall, subject to clause (a), be sanctioned or accepted without the previous sanction of the Board.

(c) No joint venture or public private partnership arrangement involving an estimated cost of rupees two hundred and fifty lakhs and more shall be made without the previous sanction of the State Government, subject to such terms and conditions as may be prescribed of such joint venture or public private partnership as the case may be.

(2) Sub-section (1) shall apply to every variation or abandonment of a contract or estimate as well as to an original contract or estimate.

(3) Every contract made by the Housing Commissioner on behalf of the Board shall, subject to the provisions of this section, be entered into in such manner and form as may be prescribed.

(4) A contract not made or executed as provided in this section and the rules made thereunder shall not be binding on the Board.

(1) The State Government may, by notification, authorise the delegation by the Housing Commissioner to such person or class of persons and subject to such conditions as may be specified in such notification, of any powers conferred or duties imposed upon him by or under this Act.

(2) The Board may, by notification, direct that any power exercisable by it under this Act except the power to make regulations may also be exercised by the Housing Commissioner or such other officer of the Board as may be specified in the notification subject to such restrictions and conditions as may be specified therein.