In exercise of the powers conferred by Section 22
of the Capital of Punjab (Development and Regulation) Act, 1952, the Governor
of Punjab is pleased to make the following Rules:- These
rules may be called the Chandigarh (Sales of Sites and Buildings) Rules, 1960. In
these rules, unless the context otherwise requires:- (a) "Act" means
the Capital of Punjab (Development and Regulation) Act, 1952; (b) "Displaced
person" means any person who on account of the setting up of the dominions
of the India and Pakistan; or on account of civil disturbances or fear of such
disturbances in any area now forming part of Pakistan has after the first day
of March, 1947, left or has been displaced from his place of residence in such
area and who has been subsequently residing in India, and includes any person
who is resident in any place in India and who for that reason is unable or has
been made unable to manage, supervise or control any immovable property
belonging to him in Pakistan; (c) "Form"
means a form appended to these rules; and (d) "obnoxious
trade" shall be deemed to be carried on or in any site or building, if the
site or the building is used for any of the following purposes: - (i) melting tallow,
dressing raw hides, boiling bones, offal or blood; (ii) as a soap house, oil
boiling house, dying house, or tannery; (iii) as a brick-field,
brick-kiln, charcoal-kiln, pottery or lime-kiln. (iv) as any other
manufactory, engine-house, store house or place of business from which
offensive or unwholesome smells, gases. noises or smoke arise; (v) as a yard or deposit
for trade in unslaked lime, dry straw, thatching, grass, weed, charcoal or
coal, or other dangerously inflammable material; ' (vi) as a store-house for
any explosive, or for petroleum or any inflammable oil or spirit. The
sites or buildings at Chandigarh shall be sold by the Central Government by
auction or allotment. For the purpose of proper planning and development of
Chandigarh, the Chief Administrator may reserve sites or buildings for
displaced persons, groups of individuals or for persons practising any
profession or carrying on any occupation, trade or business. (1) In the case of sale
by allotment or by hire purchase agreement sale price shall be the reserve
price, which shall be determined by the Central Government from time to time. (2) In case of sale by
auction, the sale price shall be the reserve price or any higher price determined
as a result of bidding in open auction. (1) In case of sale by
allotment the intending purchaser shall make an application to the Estate
Officer in Form A. (2) No application under
sub-rule (1) shall be valid unless it is accompanied by ten per cent of the
sale price in the form of a demand draft payable to the Estate Officer and
drawn on any Scheduled Bank situated in Chandigarh or at any other place
specified by the Estate Officer, or is paid in cash in the Estate Office in the
discretion of the Estate Officer. (3) When ten per cent of
the price has been so tendered, the Estate Officer shall, subject to such
directions as may be issued by the Chief Administrator in this behalf allot a
site of the size applied for or a building of which particulars are given in
the application and shall intimate by registered post the number, approximate
area and sale price of the site or building allotted to the applicant. (4) The applicant shall,
unless he refuses to accept the allotment within thirty days of the date of
receipt of the allotment order, deposit within that period and in the manner
mentioned in sub-rule (2), the requisite amount, so that the total amount
including the amount paid under that sub-rule (2) equals at least twenty-five
per cent of the sale price of the site, and in the case of buildings, in
addition to the said twenty-five per cent in respect of the cost of plot on
which the building is erected, pay the price of structure, as determined by the
Chief Administrator, in two installments, that is twenty-five per cent at the
time of sale and seventy-five per cent within thirty days of the date of sale.
This period for payment of the price of structure may be extended by the Estate
Officer upto six months from the date of the sale on sufficient cause being
shown by him. In case of failure to deposit the said amount the allotment may
be cancelled and the payment made under sub-rule (2) may be forfeited to
Government by the Estate Officer in whole or in part and the applicant shall
have no claim to any damage. Provided
that the Chief Administrator may, for reasons to be recorded in writing, in the
interest of proper planning and development of Chandigarh, permit the payment
of the balance of seventy-five per cent of sale price of the structure in three
equated annual installments in the manner prescribed in rule 10. (5) If the applicant
refuses to accept the allotment within the said period of thirty days, he will
be entitled to the refund of the amount paid by him. The refusal shall be
communicated to the Estate Officer by a registered letter, (acknowledgement
due). The refund shall be made by means of cheque payable at the State Bank of
India at Chandigarh or at any other place specified by the Estate Officer and
the applicant shall have no claim in respect of the collection charges for the
cheque. (6) Where in exchange for
a site previously allotted to an applicant, a new site of higher valuation is
allotted to him at his request, the difference in price shall be payable by him
in lump sum within thirty days of the date of receipt of the new allotment
order. (7) In the case of
allotment of new site as referred to in sub-clause (6), all conditions,
including the time-limit for erection of building, relating to the previous
allotment shall be applicable to the new allotment. In
the case of sale by auction, at least twenty-five per cent of the bid accepted
by the auctioning officer shall be paid on the spot by the auction purchaser,
in cash or by means of demand draft drawn in the manner specified in sub-rule
(2) of rule 5; and the balance shall be paid either in lump sum within thirty
days from the date of auction or in annual equated installments provided in
rule 10. Provided
that where the auctioning officer is satisfied with regard to the soundness of
the financial position of any auction purchaser, he may, for reasons to be
recorded by him in writing on the auction papers, allow such auction purchaser
to make payment on the spot of an amount less than twenty-five per cent of the
bid accepted, but in no case less than ten per cent thereof, subject to the
condition that the full payment of the balance of twenty-five per cent of the
bid accepted shall be made within period not exceeding thirty days from the
date of the auction and if the auction purchaser fails to pay the balance of
the twenty-five per cent of the bid accepted within the said period of thirty
days, the sale shall be cancelled and the money already paid by the auction
purchaser, be forfeited to Government. Notwithstanding
anything contained in rule 3 the Government may transfer any site or building
at Chandigarh by hire-purchase agreement and for the purpose of proper planning
and development of Chandigarh may reserve any site or building for transfer by
hire purchase agreement to any class or category of persons. Reserve
sale price determined by the Central Government from time to time for sale by
hire purchase agreement under rule 4 less the amount of rupees one hundred
shall constitute the rent of the site or the building as the case may be, and
shall be payable as such in the manner prescribed under rule 11-A. (1) In case of hiring of
sites or buildings by hire-purchase agreement the intending hirer shall make an
application to the Estate Officer in Form 'AA.' (2) No application under
sub-rule (1) shall be entertained unless it is accompanied by an amount equal
to first month's rent payable under rule 11 A in the form of demand draft
payable to the Estate Officer and drawn on any Scheduled Bank situated at
Chandigarh or at any other place specified by the Estate Officer, or is paid in
cash in the Estate Office in the discretion of the Estate Officer. (3) When an amount equal
to first month's rent has been so tendered, the Estate Officer shall, subject
to such direction as may be issued by the Chief Administrator in this behalf
allot a site of the size applied for or a building of which particulars are
given in the application and shall intimate, by registered post, the number,
approximate area and rent payable for the site or building allotted to the
applicant. (4) The applicant shall,
unless he refuses to accept the allotment within thirty days of the date of
receipt of the allotment order, deposit within that period and in the manner
set out in sub-rule (2) the required amount so that the total amount including
the amount already paid under sub-rule (2) equals at least first three month's
rent payable under rule 11-A. In case of failure to deposit the said amount the
allotment may be cancelled and the payment made under sub-rule (2) may be
forfeited to Government by the Estate Officer in whole or in part and the
applicant shall have no claim to any damages, whatsoever, on this account. (5) If the applicant
refuses to accept the allotment within the said period of thirty days, he will
be entitled to the refund of the amount paid by him. The refusal shall be communicated
to the Estate Officer by a registered letter (acknowledgement due). The refund
shall be made by means of the cheque drawn on the State Bank of India at
Chandigarh or any other place specified by the Estate Officer and the applicant
shall have no claim in respect of the collection charges for the cheque. (6) In case of acceptance
of the allotment order within the said period of thirty days, the amount paid
under sub-rules (2) and (4) shall be treated as security for the faithful
performance of the hire-purchase agreement to be executed by the hirer under,
rule 6-D and shall be refundable after the termination or the expiry of the
hire-purchase agreement if the same is not forfeited to the Government. The
hirer shall execute a hire-purchase agreement in form "AAA" before
the possession of the site or building is given to him. The
possession of the site or building shall be given to the transferee after the
acceptance of the allotment within the prescribed period and after payment of
the price as specified in sub-rule (4) of rule 5, and in the case of transfer
by hire-purchase agreement, the possession of the site or building shall be
given to the hirer after he has paid the requisite amount under sub-rule (4) of
rule 6-C and has executed the hire-purchase agreement prescribed under rule
9-D. In
case of sale by auction after making payment of the sale price as specified in
rules 6 and 10, the transferee shall execute the deed of conveyance in Form 'B'
or 'C' as the case may be, in such manner as may be directed by the Estate
Officer. In
case of sale by allotment after making payment of the sale price as specified
in sub-rule (4) of rule 5, the transferee shall execute the deed of conveyance
in Form 'D' or 'E' as the case may be, in such manner as may be directed by the
Estate Officer. In
case of sale by hire-purchase agreement, after the installments of rent
together with interest due thereon has been fully paid under rule 11-A and
amount payable under rule 11-C has also been paid; the transferee shall execute
the deed of conveyance in Form 'D' or 'E' as the case may be, in such manner as
may be directed by the Estate Officer. Notwithstanding
anything contained in the letter of allotment/conveyance deed imposing a ban on
the transfer of site/building as the case may be, or any right, title or
interest therein before the stipulated period, the Estate Officer may grant
permission to the transfer by way of sale, gift, mortgage or otherwise of the
site, building or any right, title or interest therein, after transferee has
paid full price of the site/building and if in the opinion of the Estate
Officer special circumstances exist for the grant of such permission. This will
be applicable to all categories of sites/buildings sold by allotment/hire
purchase, or on confessional rates. In
the case of transfer by way of sale/gift/mortgage or otherwise of the site or
any right, title or interest therein, 1/3rd of the unearned increase in the
value i.e. the difference between the price paid and the market value of the
site/building at the time of permission of transfer shall be paid to the
Government before registering such sale or transfer. The market value of the
property for this purpose shall be assessed by the Estate Officer or such other
authority as may be prescribed by the Chief Administrator and the transferee
shall be entitled to produce his evidence and of being heard: Provided
that 1/3rd of the unearned increase in the value will not be charged if a
mortgage or charge of a site/building is created with the previous consent in
writing of the Estate Officer, in favour of the Central Government, State
Government, Chandigarh Administration, Life Insurance Corporation of India or
any Scheduled Bank for securing a loan to be advanced by them for constructing
the building on the site. Provided
further that in the event of sale or foreclosure of the mortgage or charged
property the Government shall be entitled to claim and recover 1/3rd of the
unearned increase in the value of the plot as aforesaid and the amount of the
Government's share of the said unearned increase shall be a first charge,
having priority over the said mortgage or charge. Provided
further that the Government shall have the pre-emptive right to purchase the
mortgaged or charged property after deducting 1/3rd of the unearned increase as
aforesaid. (1) The transferee shall
not use the site or building for a purpose other than that for which it has
been sold to him. In the case of commercial or industrial sites and commercial
or industrial buildings the transferee shall not carry on any trade or employ
any industry other than that specified by the Estate Officer. (2) Instead of specifying
any particular, trade or industry, the Estate Officer may specify that the transferee
shall not carry on any trade or employ any industry other than 'General Trade'
'Semi-Industrial Trade', or 'Special Trade'. (3) The expressions
'General Trade', 'Semi-Industrial Trade' and 'Special Trade' shall mean one or,
more of the trades respectively mentioned in Parts A, B and C of the Schedule
annexed to these rules and shall include any other trade which is not so
mentioned provided that such other trade is similar to and carried on in the
same fashion as mentioned in the respective part of the Schedule.] (1) Where the transferee
in case of sale by allotment or auction intends to pay the sale price in
instalments, the balance of sale price together with interest thereon at six
per cent per annum shall be payable in three equated annual instalments, the
first instalment being payable, at the expiry of one year from the date of the
payment of 25 per cent under sub-rule (4) of rule 5 or 6, as the case may be.
Interest on the balance of sale price (viz., 75 per cent) shall accrue from the
date of issue of allotment order but no interest shall be payable if this
balance is paid in full by the transferee within 30 days of the date of receipt
of allotment order by him. (2) Each instalment shall
be remitted to the Estate Officer, either in cash or by a demand draft payable
to the Estate Officer and drawn on any Scheduled Bank situated in Chandigarh or
at any other place specified by the Estate Officer. Every such remittance shall
be accompanied by a letter showing full particulars of the site or building to
which the payment pertains or a statement giving reference to the number and
date of the allotment letter issued under rule 5. In the absence of these
particulars, the amount remitted shall be deemed to have been received and the
remitter Will be asked in writing to supply correct information within two
months of the intimation having been sent to him and no action shall be taken
against such a remitter under Section 8A of the Act, if he sends correct
information within a period of two months and can prove that he had sent his
instalment in due time. Provided
that in cases of sale of sites by allotment, the Central Government may for
reasons of growth and development of Chandigarh increase the number of
instalments for the payment of balance of sale price (other than 25 per cent
received along with the application for allotment) from three to five and the
period of their payment from three to five years. In
case an instalment is not paid under rule 10 by the transferee by the 10th of
the month following the month in which it falls due a notice shall be served on
the transferee calling upon him to pay the instalment within a month together
with a penalty which may extend to ten per cent of the instalment payable. If
the payment is not made within the said period or such extended period as may
be determined by the Estate Officer, but not exceeding three months in all from
the date on which the instalment was originally due, the Estate Officer may
proceed to have the same recovered as an arrears of land revenue or to take
action under Section 8A of the Act. (1) The total amount of
rent determined under rule 6-B together with interest thereon at the rate of 6
per cent per annum shall be payable in 144 monthly instalments as under: - (i) First thirty
instalments at the rate of Rs. 6 per cent Rs. 1,000 on the reserve sale price;
and (ii) 114 equated
instalments of the remaining amount together with interest thereon at the rate
of 6 per cent per annum. (2) The first instalment
shall be payable on the date of execution of the hire-purchase agreement
prescribed under rule 6-B. (3) Interest shall accrue
from the date of the issue of allotment order. In
case an instalment of rent under rule 11-A is not paid by the hirer by the
tenth of the month following the month in which it falls due, a notice shall be
served on the hirer calling upon him to pay the instalment within fifteen days
together with penalty which may extend to ten per cent of the instalment of
rent payable. If the payment is not made within the said period or such
extended period as may be determined by the Estate Officer, but not exceeding
two months in all from the date on which the instalment of rent was originally
due, the Estate Officer, shall terminate the hire-purchase agreement and
proceed to recover the outstanding amount as an arrears of land revenue. In
case all the instalments of rent together with interest are paid under rule
11-A, it shall be optional for the hirer to purchase the site or the building,
as the case may be, by further paying rupees one hundred. (1) Where a site has been
resumed under section 8A of Act No. XXVII of 1952 for any reasons, the Estate
Officer may on an application, retransfer the site to the outgoing transferee,
on payment of an amount equal to 10 per cent of the premium originally payable
for such property or one-third of the difference between the price originally
paid and its value at the time when the application for transfer is made,
whichever is more. However in the case of a person who is serving or who has
served in the Armed Forces of the Union, the amount payable by him or his legal
heir for the retransfer of a site shall be 10% of the price originally payable
for such site or 5% of the difference between the price originally payable and
its value at the time when application for transfer is made, which ever is
more. Provided
that such transfer shall be permissible only if- (i) where the site has
been resumed on ground of misuser, the misuser has stopped; (ii) where the site has
been resumed for non-payment of price, all outstanding dues including
forfeiture have been paid; (iii) where the site has
been resumed for breach of any conditions of sale, the breach has been remedied
and conditions fulfilled. Notwithstanding
anything contained in the proviso above, when the site has been resumed on
ground of misuser or non-completion of the building on it within the stipulated
period, the Estate Officer may allow the retransfer on the applicant agreeing
to vacate or have the misuser vacated or the building completed as the case may
be within such reasonable period as the Estate Officer may stipulate. Explanation.-For
the purposes of this rule, the expression 'site' does not include a vacant
site. A vacant site is a site on which on the date of issue of notice of
resumption under section 8-A of the Act, no superstructure had been raised and
it includes a site on which foundations had been laid but no superstructure had
been raised above that level. (2) The retransfer under
sub-rule (1) shall be in continuation of and subject to all subsisting
conditions but without prejudice to all the proceedings of liabilities or
subsisting penalties levied in respect of such property before the date of the
transfer. (3) The prevailing price
shall be assessed by the Estate Officer or such other authority as may be
prescribed by the Chief Administrator and in doing so the Estate Officer or
such other authority shall give the applicant reasonable opportunity of being
heard. The assessment made by the Estate Officer shall be final. (4) The applicant shall
unless he refuses to accept the re-transfer, deposit within 30 days, 25 per
cent of the consideration of the retransfer. The remaining 75 per cent of the
said consideration shall be paid in three annual equated instalments alongwith
interest at the rate of 7 per cent per annum. The first instalment shall become
payable after one year from the date of retransfer. In case any instalment is
not paid by the applicant by the due date it shall be deemed as if no
retransfer had come into effect. (5) No application under
sub-rule (1) shall be entertained unless it is presented within six months of
the date of appeal/revision as the case may be. Provided
that in the case of an order of resumption passed earlier, the period of six
months referred to above, shall begin to run from coming into force of this
rule: Provided
further that the Estate Officer may entertain an application after expiry of
six..months if he is satisfied that there was good and sufficient reason for
not presenting the application within the said period of six months. In
the case of sale of site, the transferee shall complete the building within
five years from the date of issue of allotment order, in accordance with the
rules regulating the erection of buildings, unless otherwise it is mutually
agreed upon that the construction shall be completed within any period less
than five years. This time limit may be extended by the Estate Officer if he is
satisfied that the failure to complete the building within the said five years,
or the period mutually agreed upon, was due to causes beyond the control of the
transferee. The
transferee shall bear and pay all expenses in respect of execution and
registration of the deed of conveyance, including the stamp duty and
registration fees payable therefor. No
fragmentation of any site or building shall be permitted. No
obnoxious trade shall be permitted on or in any site or building except with
the previous permission in writing of the Chief Administrator. (1) An appeal against an
order under Section 8 or Section 8-A of the Act shall be presented to the
Superintendent of the Office of Chief Administrator or such other officer, as
he may appoint in this behalf either by the appellant or his agent or by
registered post addressed to the said officer. It shall give the date of the
order appealed against, set forth concisely the grounds of appeal and be
accompanied by a certified copy of the order appealed against. (2) The memorandum of
appeal shall be signed by the appellant or his agent and shall be affixed with
a court fee of Rs. 1. (3) The Chief
Administrator shall thereupon fix a date for hearing the appellant or his agent. The
provisions of the foregoing rule shall apply mutatis mutandis to every
application for revision of any order passed by the Estate Officer. The
notice under rule 11 shall be in Form F. It may be served on an individual or a
group of individuals, either personally or by post or by affixing it on a
conspicuous part of the building or site or by beat of drum.CHANDIGARH
(SALE OF SITES AND BUILDINGS) RULES, 1960
PREAMBLE