CONSTITUTION AND GOVERNMENT OF MUNICIPALITIES

Penalty on member of President acquiring interest in contract, etc

§82

Summary

82. (1) A 1[member or 2President] of a Municipality who, otherwise than with the permission in writing of the 3[Prescribed Authority] knowingly acquires or continues to have, directly or indirectly, by himself or his partner, any 4[share or interest, whether pecuniary or of any other nature] in any contract or employment, with, by, or on behalf of the Municipality, shall be deemed to have committed an offence under section 168 of the Indian Penal Code5 : (2) Provided that a person shall not be deemed for the purposes of sub-section (1) to acquire, or continue to have, any 4[share or interest, whether pecuniary or of any other nature] in a contract or employment by reason only of his - (a) having a 4[share or interest, whether pecuniary or of any other nature] in any lease, sale or purchase of land or buildings, or in any agreement for the same, Provided that such 4[share or interest, whether pecuniary or of any other nature] was acquired before he became a member, or (b) having a share in a joint stock company which shall contract with, or be employed by, or on behalf of, the Municipality, or (c) having a 4[share or interest, whether pecuniary or of any other nature] in a newspaper in which can advertisement relating to the affairs of the Municipality is inserted, or (d) holding a debenture or otherwise being interested in a loan raised by, or on behalf of, the Municipality, or (e) being retained by the Municipality as a legal practitioner, or (f) having a 4[share or interest, whether pecuniary or of any other nature] in the occasional sale of an article in which he regularly trades to the Municipality to a value not exceeding, in any one year, such amount as the Municipality, with the sanction of 6[the State Government], fixes in this behalf, or (g) being a party to an agreement made with the board under the provisions of section 196 (c) or of section 229.

82. (1) A 1[member or 2President] of a Municipality who, otherwise than with the permission in writing of the 3[Prescribed Authority] knowingly acquires or continues to have, directly or indirectly, by himself or his partner, any 4[share or interest, whether pecuniary or of any other nature] in any contract or employment, with, by, or on behalf of the Municipality, shall be deemed to have committed an offence under section 168 of the Indian Penal Code5 : (2) Provided that a person shall not be deemed for the purposes of sub-section (1) to acquire, or continue to have, any 4[share or interest, whether pecuniary or of any other nature] in a contract or employment by reason only of his - (a) having a 4[share or interest, whether pecuniary or of any other nature] in any lease, sale or purchase of land or buildings, or in any agreement for the same, Provided that such 4[share or interest, whether pecuniary or of any other nature] was acquired before he became a member, or (b) having a share in a joint stock company which shall contract with, or be employed by, or on behalf of, the Municipality, or (c) having a 4[share or interest, whether pecuniary or of any other nature] in a newspaper in which can advertisement relating to the affairs of the Municipality is inserted, or (d) holding a debenture or otherwise being interested in a loan raised by, or on behalf of, the Municipality, or (e) being retained by the Municipality as a legal practitioner, or (f) having a 4[share or interest, whether pecuniary or of any other nature] in the occasional sale of an article in which he regularly trades to the Municipality to a value not exceeding, in any one year, such amount as the Municipality, with the sanction of 6[the State Government], fixes in this behalf, or (g) being a party to an agreement made with the board under the provisions of section 196 (c) or of section 229.

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