Prohibition of having share or interest in contract for employment under

‘municipality :— (1) No person shall be eligible for employment as an officer or servant of a municipality if he had, directly or indirectly by himself or his partner or employer or employee, any share or interest in any contract or employment with , by, or on behalf of, the municipality or was dismissed or discharged for misconduct of inefficiency either from Government service or from the service of a local authority.

¹ Inserted by the Orissa Act 23 of 1972, w.e.f. 30.12.1972.

THE ORISSA MUNICIPAL ACT, 1950 5) )

1. (2) Tf any officer or servant or a municipality acquires directly or indirectly as aforesaid, any such share or interest, otherwise than as such officer or servant he shall cease to be such officer or servant of the municipality and his office shall become vacant from the date from which he is removed from office by the authority which appointed him, and he shall also be liable to be punished with fine which may extend to two hundred and fifty rupees.
2. (3) Notwithstanding anything contained in sub-sections (1) and (2), no person shall be deemed to have share or interest by reason only—
   • (a) of his having a share or interest in—
     • (i) acontract entered into between the municipality, and any registered joint stock company or co-operative society of which such person in a member or shareholder, or
     • (i) any lease or purchase of land or agreement for the same; or
     • (iii) any agreement for the loan of money or security for the payment of money only; or
     • (iv) any newspaper in which any advertisement relating to the affairs of the municipality is inserted;
   • (b) of his being professionally engaged on behalf of the municipality as a legal practitioner and receiving fee for the services rendered in his professional capacity 83.1% * #]