Principles of distribution of lands

(1) Subject to the provisions of this Act and the rules made thereunder, the settlement of lands which vest in the State under Section 11 shall be made, on such terms and conditions and in such manner as may be prescribed, with persons who reside near the locality where the land is situated and who intend to bring the land under personal cultivation and who owns no land or less than three standard acres of land, preference being given to those among such persons who form themselves into a co-operative farming society. Provided that settlement of any such lands may be made with other persons when such settlement is in the opinion of the State Government necessary for the public purpose connected with agricultural or otherwise on such terms and conditions as the State Government may think fit. (2) Subject to the provisions of sub-section (1), all lands vested in the State under this Act, shall be disposed of or otherwise dealt with to subserve the common good on such terms and conditions as the State Government may deem fit. (3) Notwithstanding anything contained in sub-section (1) and (2), where the State Government is satisfied that it is necessary to retain or reserve any such land vested under this Act for the purpose of the State Government or any other public purpose, it shall be competent for the State Government to retain or reserve such land for the same.