CHAPTER VI
Property and Fund
41. Power to acquire, hold and dispose of property. – A Gram Panchayat shall have power to acquire, hold and dispose of property and to enter into contract:
Provided that in all cases of acquisition or disposal of immovable property the Gram Panchayat shall obtain the previous approval of the State Government.
42. Vesting of public properties in Gram Panchayat. – (1) All properties within the local limits of the jurisdiction of a Gram Panchayat of the nature hereinafter in this section specified, other than property maintained by the Central or the State Government or a local authority or any otherGram Panchayat, shall vest in and belong to the Gram Panchayat, and shall, with all other property of whatsoever nature or kind which may become vested in the Gram Panchayat, be under its direction, management and control, that is to say-
(a) all public streets, including the soil, stones and other materials thereof and all drains, bridges, culverts, trees, erections, materials, implements and other things provided for such streets;
(b) all public channels, water courses, springs, tanks, ghats, reservoirs, cisterns, wells, aqueducts, conduits, tunnels, pipes, pumps and other water-works, whether made, laid or erected at the cost of the Gram Panchayat or otherwise, and all bridges, buildings, engines, works, materials and things connected therewith or appertaining thereto and also any adjacent land (not being private property) appertaining to any public tank:
Provided that water pipes and any waterworks, connected therewith or appertaining thereto which with the consent of the Gram Panchayat are laid or set up in any street by the owners of any mill, factory, dockyard, workshop or the like primarily for the use of their employees shall not be deemed to be public waterworks by reason of their use by the public;
(c) all public sewers and drains, and all works, materials and things appertaining thereto and other conservancy works:
Provided that for the purpose of enlarging, deepening or otherwise repairing or maintaining any such sewer or drain the subsoil appertaining thereto shall also be deemed to vest in the Gram Panchayat:
Provided further that where any installation or work for the treatment or disposal of sewage is constructed by the owners of any mill, factory, dockyard, workshop or the like primarily for the use of their employees, the laying of sewers and other things appertaining thereto in a street, with the consent of the Gram Panchayat, shall not by virtue of this clause or by reason of their use by the public cause such installation or sewers or works appertaining thereto to vest in the Gram Panchayat;
(d) all sewage, rubbish and offensive matter deposited on streets or collected by the Gram Panchayat from streets, latrines, urinals, sewers, cesspools and other places;
(e) all public lamps, lamp-posts and apparatus connected therewith or appertaining thereto; and
(f) all buildings erected by the Gram Panchayat and all lands and buildings or other property transferred to the Gram Panchayat by the Central or the State Government or acquired by gift, purchase or otherwise for local public purposes.
(2) The State Government may, by notification, exclude any street, bridge or drain from the operation of this Act or of any specified section of this Act:
Provided that, if the cost of the construction of the work shall have been paid from the Gram Panchayat Fund, such work shall not be excluded from the operation of this Act or any specified section of this Act except after consideration of the views of the Gram Panchayat at a meeting.
43. Allocation of properties to Gram Panchayat. – The State Government may allocate to a Gram Panchayat any public property situated within its local jurisdiction, and thereupon such property shall vest in and come under the control of the Gram Panchayat.
44. Acquisition of land for Gram Panchayat. – Where a Gram Panchayat requires land for carrying out any of the purposes of this Act, it may negotiate with the person or persons having interest in the said land, and if it fails to reach an agreement, it may make an application to the[Collector] for the acquisition of the land, who may, if he is satisfied that the land is required for a public purpose, take steps to acquire the land and such land shall, on acquisition, vest in the Gram Panchayat.
45. Gram Panchayat Fund. – (1) For every Gram Panchayat there shall be constituted a Gram Panchayat Fund bearing the name of the Gram Panchayat and there shall be placed to the credit thereof –
(a) contributions and grants, if any, made by the Central or the State Government;
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(c) loans, if any, granted by the Central Government or the State Government;
(d) all receipts on account of taxes, rates and fees levied by it;
(e) all receipts in respect of any schools, hospitals, dispensaries, buildings, institutions or works, vested in, constructed by or placed under the control and management of, the Gram Panchayat;
(f) all sums received as gift or contribution and all income form any trust or endowment made in favour of the Gram Panchayat;
(g) such fines and penalties imposed and realised under the provisions of this Act as may be prescribed;
(h) all other sums received by or on behalf of the Gram Panchayat.
[Explanation. – A Gram Panchayat shall not receive to the credit of its Fund-]
(a) any loan from any individual, severally or jointly or any member or office bearer of the Gram Panchayat, or
(b) any gift or contribution from any individual, severally or jointly, or any member or office bearer of the Gram Panchayat save and except in pursuance of a resolution in a meeting of the Gram Panchayat accepting such gift or contribution and stating the purpose for which such gift or contribution is offered and accepted.
(2) Every Gram Panchayat shall set apart and apply annually such sum as may be required to meet –
(a) the cost of administration of the Nyaya Panchayat, and
(b) the cost of maintenance of [Dafadars, Chowkidars and Gram Panchayat Karmees] in terms of section 38, and
(c) the cost of its own administration including the payment of salary, allowances, provident fund and gratuity to the officers and employees and to the Secretary.
(3) Every Gram Panchayat shall have the power to spend such sums as it thinks fit for carrying out the purposes of this Act.
(4) The Gram Panchayat Fund shall be vested in the Gram Panchayat and the balance to the credit of the Fund shall be kept in such custody as the State Government may, from time to time, direct.
[(5) In accordance with the powers and functions conferred on the Pradhan under the Act and the rules made thereunder and subject to such general control as the Gram Panchayat may exercise from time to time, all orders for payment from the Gram Panchayat Fund shall be signed by the Pradhan, or in his absence, by the Upa-Pradhan and in pursuance of such orders of payment, cheque or cheques shall be signed jointly by thePradhan, or in his absence, by the Upa-Pradhan and by the Executive Assistant of the Gram Panchayat:
Provided that the Executive Assistant shall be responsible for writing the cheques for signature under the direction of the Pradhan subject to the resolution of the Gram Panchayat:
Provided further that if the post of the Executive Assistant in a Gram Panchayat falls temporarily vacant by reason of leave, transfer, resignation or otherwise, the State Government may, by general or special order made in this behalf, empower any employee of the Gram Panchayat to perform, subject to such conditions as may be specified in the order, the functions of the Executive Assistant under this section.]
Explanation. – In this section, –
(a) absence of the Pradhan shall be deemed to occur when the office of the Pradhan falls vacant or the Pradhan is temporarily unable to act within the concept and meaning of sub-section (4) of section 9.
(b) “Executive Assistant” of a Gram Panchayat means an employee appointed as such by a Gram Panchayat under section 36 in terms of such rules as the State Government may make in this behalf and shall also include any other employee of the Gram Panchayat empowered to perform the functions of the Executive Assistant.
46. Imposition of tax by Gram Panchayat. – (1) Subject to such rules as may be made in this behalf, a Gram Panchayat shall impose yearly –
[(a) on lands and buildings within the local limits of its jurisdiction, a tax, –
(i) at the rate of [one per centum] of the annual value of such lands and buildings when the annual value does not exceed rupees one thousand, and
(ii) at the rate of [two per centum] of the annual value of such lands and buildings when the annual value exceeds rupees one thousand,
to be paid by the owners and occupiers thereof;]
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(2) The following lands and buildings shall be exempted from imposition of tax under sub-section (1), namely:-
(a) lands and buildings, the annual value of which is not more than [two hundred and fifty rupees];
(b) lands and buildings belonging to a local authority and used or intended to be used exclusively for a public purpose and not used or intended to be used for purposes of profits;
(c) lands and buildings used exclusively for religious, educational or charitable purposes.
(3) The State Government may, by notification, exempt either wholly or in part any other class of properties or classes of properties Specified in the notification from the taxes or rates leviable under this section.
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(5) Subject to such rules as may be made in this behalf a Gram Panchayat shall levy –
(a) on all transfers of immovable property situated within the local limits of the Gram, a duty in the shape of an additional stamp-duty at the rate of two per centum or, as the case may be, the amount of the consideration for the sale, the value of the property in the case of a gift, the amount secured by the mortgage, the value of the property of the greater value in the case of exchange, or the value of the rent for the first ten years in the case of a lease, as set forth in the instrument;
(b) a duty in the shape of an additional stamp-duty at the rate of ten per centum on all payments for admission to any entertainment.
(6) The State Government may make rules for regulating the collection of the duty on transfers of immovable property and duty on entertainment referred to in sub-section (5), the payment thereof to the Gram Panchayat and the deduction of any expenses incurred by the State Government in the collection thereof.
Explanation. – In this section, –
(a) “annual value”, in relation to any land or building, means an amount equal to six per centum of the market value of such land or buildings at the time of assessment estimated in the prescribed manner;
(b) “entertainment” includes any exhibition, cinematograph exhibition, performance, amusement, games or sports to which persons are admitted for payment;
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47. Levy of rates and fees. – (1) Subject to such maximum rates as the State Government may prescribe, a Gram Panchayat may levy the following [fees, rates and tolls] namely:-
(i) fees on the registration of vehicles;
(ii) fees on plaints and petitions and other processes in suits and cases instituted before the Nyaya Panchayat concerned;
(iii) a fee for providing sanitary arrangements at such places of worship or pilgrimage, fairs and melas within its jurisdiction as may be specified by the State Government by notification;
(iv) a water rate, where arrangement for the supply of water for drinking, irrigation or any other purpose is made by the Gram Panchayat within its jurisdiction;
(v) a lighting rate, where arrangement for lighting of public streets and places is made by the Gram Panchayat within its jurisdiction;
(vi) a conservancy rate, where arrangement for clearing private latrines, urinals and cesspools is made by the Gram Panchayat within its jurisdiction;
[(vii) fees on [registration] for running trade, wholesale or retail, within the jurisdiction of the Gram Panchayat unless such [registration] or such trade is prohibited under any law for the time being in force;]
[(viii) tolls on persons, vehicles or animals or any class of them at any toll-bar which is established by the Gram Panchayat on any road or bridge vested in, or under the management of, the Gram Panchayat];
[(ix) tolls in respect of any ferry established by, or under the management of, the Gram Panchayat]
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[(xi) a general sanitary rate where arrangement for the construction and maintenance of public latrines is made by the Gram Panchayat within its jurisdiction;]
[(xii) a drainage rate where arrangement for regular clearance of common drains is made by the Gram Panchayat within its jurisdiction;]
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[(xiv) fees for use of burning ghat vested in, or under the management and control of, the Gram Panchayat;]
[(xv) fees on registration for Words substituted for the [shallow or deep tube-wells] fitted with motor driven pump sets and installed for irrigation for commercial purposes, subject to such terms and conditions as may be prescribed.]
Explanation. – In this clause, “commercial purpose” includes any purpose for which irrigation water is supplied to the land of any person, other than the owner of the shallow tube-well, on realisation of water rates, by whatever name called, from the owner of such land.
[(xvi) fees on the village produces sold in the village market organized by the Gram Panchayat to be determined by means of weight, measurement or by number or any two or more of them;]
[(xvii) fees on erection, exhibition, fixing or retaining upon or over any land, building, wall, hoarding, or structure, any advertisement for public display in any manner whatsoever, in any place whether public or private excepting those exhibited by the State Government in the public interest.]
(2) The Gram Panchayat shall not undertake registration of a vehicle or levy fee therefor and shall not provide sanitary arrangements at places of worship or pilgrimage, fairs and melas within its jurisdiction or levy fee therefor if such vehicle has already been registered by any other authority under any law for the time being in force or if such provision for sanitary arrangement has already been made by any other local authority.
[(3) The scales of tolls, and the fees or rates and the terms and conditions of imposition thereof, shall be such as may be provided by bye-laws.]
[(4) Such bye-laws may provide for exemption from all or any of the tolls, fees or rates in any class of cases.]
[47A. Power to borrow money. – A Gram Panchayat may borrow money from the State Government or [* * * * *] from banks or other financial institutions for furtherance of its objective on the basis of such specific schemes as may be drawn up by the Gram Panchayat for the purpose.]
48. Budget of the Gram Panchayat. – (1) Every Gram Panchayat shall, at such time and in such manner as may be prescribed, prepare in each year a budget of its estimated receipts and disbursements for the following year [* * * * *].
[(2)(a) The budget prepared under sub-section (1) shall be written in vernacular of the district or the locality concerned and copies of the budget shall be posted in such prominent places within the Gram Panchayat as may be prescribed, inviting objections and suggestions by the members of the Gram Sabha.
(b) Copies of the budget shall be forwarded to the Panchayat Samiti having jurisdiction over the Gram for its views, if any.
(c) The budget with objections, suggestion and views, if any, received from various quarters shall, within such period as may be prescribed, be placed in the meeting of the Gram Sabha for discussions proposing modification, if any, of the budget.
(d) The Gram Panchayat shall, within such time as may be prescribed and in a meeting specially convened for the purpose and in the presence of at least half of the existing members, consider the objections, suggestions, and views, if any, and the discussions in the meeting of the Gram Sabha, and approve the budget with modifications, if any.
(e) A copy of the budget approved under clause (d) shall be forwarded to the Panchayat Samiti having jurisdiction.]
(3) No expenditure shall be incurred unless the budget is approved [under clause (d) of sub-section (2).]
49. Supplementary budget. – [(1) A Gram Panchayat may prepare in each year a supplementary estimate providing for any modification of its budget and [approve it in a meeting specially convened for the purpose and in the presence of at least half of the existing members] within such time and in such manner as may be prescribed.]
[(2) A copy of the supplementary estimate as approved under sub-section (1) shall be forwarded to the Panchayat Samiti having jurisdiction.]
50. Accounts. – A Gram Panchayat shall keep such accounts and in such from as may be prescribed.
