THE SLUM AREAS (IMPROVEMENT AND CLEARANCE) ACT, 1956

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ARRANGEMENT OF SECTIONS
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CHAPTER I
PRELIMINARY
SECTIONS
1. Short title, extent and commencement.
2. Definitions.

CHAPTER II
SLUM AREAS
3. Declaration of slum areas.

CHAPTER III
SLUM IMPROVEMENT
4. Power of competent authority to require improvement of buildings unfit for human habitation.
5. Inforcement of notice requiring execution of works of improvement.
6. Expenses of maintenance of works of improvement etc., to be recoverable from the occupiers of
buildings.
6A. Restriction on building, etc., in slum areas.
7. Power of competent authority to order demolition of buildings unfit for human habitation.
8. Procedure to be followed where demolition order has been made.

CHAPTER IV
SLUM CLEARANCE AND RE-DEVELOPMENT
9. Power to declare any slum area to be a clearance area.
10. Slum clearance order.
11. Power of competent authority to re-develop clearance area.

CHAPTER V
ACQUISITION OF LAND
12. Power of Central Government to acquire land.
13. Land acquired by Central Government to be made available to the competent authority.
14. Right to receive compensation.
15. Basis for determination of compensation.
16. Apportionment of compensation.
17. Payment of compensation or deposit of the same in court.
18. Powers of competent authority in relation to determination of compensation, etc.

CHAPTER VI
PROTECTION OF TENANTS IN SLUM AREAS FROM EVICTION
19. Proceedings for eviction of tenants not to be taken without permission of the competent authority.
20. Appeals.
20A. Restoration of possession of premises vacated by a tenant.
20B. Rent of buildings in slum areas.

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SECTIONS
21. Chapter not to apply to eviction of tenants from certain buildings.

CHAPTER VII
MISCELLANEOUS
22. Powers of entry.
23. Powers of inspection.
24. Power to enter land adjoining land where work is in progress.
25. Breaking into buildings.
26. Entry to be made in the day time.
27. Owner's consent ordinarily to be obtained.
28. Power of eviction to be exercised only by the competent authority.
29. Power to remove offensive or dangerous trades from slum areas.
30. Appeals.
31. Service of notices, etc.
32. Penalties.
33. Order of demolition of buildings in certain cases.
34. Jurisdiction of courts.
35. Previous sanction of the competent authority or officers authorised by it, for prosecution.
36. Power to delegate.
37. Protection of action taken in good faith.
37A. Bar of jurisdiction.
38. Competent authority, etc., to be public servants.
39. Act to over-ride other laws.
40. Power to make rules.
THE SCHEDULE.

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 THE SLUM AREAS (IMPROVEMENT AND CLEARANCE) ACT, 1956
ACT NO. 96 OF 1956
[29th December, 1956.]
An Act to provide for the improvement and clearance of slum areas in certain Union territories
and for the protection of tenants in such areas from eviction.
BE it enacted by Parliament in the Seventh Year of the Republic of India as follows:―
CHAPTER I
PRELIMINARY
1. Short title, extent and commencement.―(1) This Act may be called the Slum Areas
(Improvement and Clearance) Act, 1956.
(2) It extends to all Union territories except the Union territories of the Andaman and Nicobar Islands
and the Laccadive, Minicoy and Amindivi Islands.
(3) It shall come into force in a Union territory on such date1 as the Central Government may, by
notification in the Official Gazette, appoint; and different dates may be appointed for different Union
territories.
2. Definitions.―In this Act, unless the context otherwise requires,―
(a) “Administrator” means the Administrator of a Union territory;
(b) “building” includes any structure or erection or any part of a building as so defined but does
not include plant or machinery comprised in a building;
(c) “competent authority” means such officer or authority as the Administrator may, by
notification in the Official Gazette, appoint as the competent authority for the purposes of this Act;
(d) “erection” in relation to a building includes extension, alteration or re-erection;
[(e) “land” includes benefits to arise out of land, and things attached to the earth or permanently
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fastened to anything attached to the earth;

(f) “occupier” includes―
(a) any person who for the time being is paying or is liable to pay to the owner the rent or any
portion of the rent of the land or building in respect of which such rent is paid or is payable;
(b) an owner in occupation of, or otherwise using his land or building;
(c) a rent-free tenant of any land or building;
(d) a licensee in occupation of any land or building; and
(e) any person who is liable to pay to the owner damages for the use and occupation of any
land or building;]
(g) “owner” includes any person who is receiving or is entitled to receive the rent of any building
or land whether on his own account or on behalf of himself and others or as agent or trustee, or who
would so receive the rent or be entitled to receive it if the building or land were let to a tenant;
(h) “prescribed” means prescribed by rules made under this Act; and

1. 8th February, 1957 in respect of the Union territory of Delhi, vide Notification No. S.R.O. 421, dated 4th February, 1957, see
Gazette of India, Extraordinary, Part II, sec. 3(ii).
1st April, 1958 in respect of the Union territory of Tripura, vide Notification No. S.R.O. 414, dated 31st March, 1958, see
Gazette of India, Extraordinary, Part II, sec. 3(ii).
Extended to Pondicherry Act 26 of 1968.
2. Subs. by Act 43 of 1964, s. 2, for clauses (e) and (f) (w.e.f. 27-2-1965).

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 [(i) “slum clearance” means the clearance of any slum area by the demolition and removal of
buildings therefrom;
[(j) “work of improvement” includes in relation to any building in a slum area the execution of
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any one or more of the following works, namely:―

(i) necessary repairs;
(ii) structural alterations;
(iii) provision of light points, water taps and bathing places;
(iv) construction of drains, open or covered;
(v) provision of latrines, including conversion of dry latrines into water-borne latrines;
(vi) provision of additional or improved fixtures or fittings;
(vii) opening up or paving of courtyards;
(viii) removal of rubbish; and
(ix) any other work including the demolition of any building or any part thereof which in the
opinion of the competent authority is necessary for executing any of the works specified above.]
CHAPTER II
SLUM AREAS
3. Declaration of slum areas.―(1) Where the competent authority upon report from any of its
officers or other information in its possession is satisfied as respects any area that the buildings in that
area―
(a) are in any respect unfit for human habitation; or
(b) are by reason of dilapidation, overcrowding, faulty arrangement and design of such buildings,
narrowness or faulty arrangement of streets, lack of ventilation, light or sanitation facilities, or any
combination of these factors, are detrimental to safety, health or morals,
it may, by notification in the Official Gazette, declare such area to be a slum area.
(2) In determining whether a building is unfit for human habitation for the purposes of this Act,
regard shall be had to its condition in respect of the following matters, that is to say―
(a) repair;
(b) stability;
(c) freedom from damp;
(d) natural light and air;
(e) water supply;
(f) drainage and sanitary conveniences;
(g) facilities for storage, preparation and cooking of food and for the disposal of waste water;
and the building shall be deemed to be unfit as aforesaid if and only if it is so far defective in one or more
of the said matters that it is not reasonably suitable for occupation in that condition.
CHAPTER III
SLUM IMPROVEMENT
4. Power of competent authority to require improvement of buildings unfit for human
habitation.―(1) Where the competent authority upon report from any of its officers or other information
in its possession is satisfied that any building in a slum area is in any respect unfit for human habitation, it

1. Ins. by Act 43 of 1964, s. 2 (w.e.f. 27-2-1965).

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may, unless in its opinion the building is not capable at a reasonable expense of being rendered so fit,
serve upon the owner of the building a notice requiring him within such time not being less than thirty
days as may be specified in the notice to execute the works of improvement specified therein and stating
that in the opinion of the authority those works will render the building fit for human habitation:
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[Provided that where the owner of the building is different from the owner of the land on which the
building stands and the works of improvement required to be executed relate to provision of water taps,
bathing places construction of drains, open or covered, as the case may be, provision of water-borne
latrines or removal of rubbish and such works are to be executed outside the building, the notice shall be
served upon the owner of the land.]
(2) In addition to serving a notice under this section on the owner, the competent authority may serve
a copy of the notice on any other person having an interest in the building 1[or the land on which the
building stands] whether as lessee, mortgagee or otherwise.
(3) In determining, for the purposes of this Act, whether a building can be rendered fit for human
habitation at a reasonable expense, regard shall be had to the estimated cost of the works necessary to
render it so fit and the value which it is estimated that the building will have when the works are
completed.
5. Inforcement of notice requiring execution of works of improvement.―(1) If a notice under
section 4 requiring the owner of the building 2[or of the land on which the building stands, as the case
may be,] to execute works of improvement is not complied with, then, after the expiration of the time
specified in the notice the competent authority may itself do the works required to be done by the notice.
(2) All expenses incurred by the competent authority under this section, together with interest, at such
rate as the Central Government may by order fix, from the date when a demand for the expenses is made
until payment, may be recovered by the competent authority from the owner of the building 2[or of the
land on which the building stands, as the case may be,] as arrears of land revenue:
Provided that if the owner proves that he―
(a) is receiving the rent merely as agent or trustee for some other person; and
(b) has not in his hands on behalf of that other person sufficient money to satisfy the whole
demand of the authority, his liability shall be limited to the total amount of the money which he has in
his hands as aforesaid.
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* * * * *
6. Expenses of maintenance of works of improvement, etc., to be recoverable from the occupiers
of buildings.―Where works of improvement have been executed in relation to any building in a slum
area in pursuance of the provisions of sections 4 and 5, the expenses incurred by the competent authority
or, as the case may be, any local authority in connection with the maintenance of such works of
improvement or the enjoyment of amenities and conveniences rendered possible by such works shall be
recoverable from the occupier or occupiers of the building as arrears of land revenue.
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[6A. Restriction on building, etc., in slum areas.―(1) The competent authority may, by
notification in the Official Gazette, direct that no person shall erect any building in a slum area except
with the previous permission in writing of the competent authority.
(2) Every notification issued under sub-section (1) shall cease to have effect on the expiration of two
years from the date thereof except as respects things done or omitted to be done before such cesser.
(3) Every person desiring to obtain the permission referred to in sub-section (1) shall make an
application in writing to the competent authority in such form and containing such information in respect
of the erection of the building to which the application relates as may be prescribed.

1. Ins. by Act 43 of 1964, s. 3 (w.e.f. 27-2-1965).

2. Ins. by s. 4, ibid. (w.e.f. 27-2-1965).
3. Omitted by, s. 4, ibid. (w.e.f. 27-2-1965).
4. Ins. by s. 5, ibid. (w.e.f. 27-2-1965).

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 (4) On receipt of such application, the competent authority, after making such inquiry as it considers
necessary, shall, by order in writing,―
(a) either grant the permission subject to such terms and conditions, if any, as may be specified in
the order; or
(b) refuse to grant such permission:
Provided that before making an order refusing such permission, the applicant shall be given a
reasonable opportunity to show cause why the permission should not be refused.
(5) Nothing contained in sub-section (1) shall apply to―
(a) any works of improvement required to be executed by a notice under sub-section (1) of
section 4 or in pursuance of an undertaking given under sub-section (2) of section 7; or
(b) the erection of any building in any area in respect of which a slum clearance order has been
made under section 10.]
7. Power of competent authority to order demolition of buildings unfit for human
habitation.―Where a competent authority upon a report from any of its officers or other information in
its possession is satisfied that any building within a slum area is unfit for human habitation and is not
capable at a reasonable expense of being rendered so fit, it shall serve upon the owner of the building, and
upon any other person having an interest in the building, whether as lessee, mortgagee or otherwise, a
notice to show cause within such time as may be specified in the notice as to why an order of demolition
of the building should not be made.
(2) If any of the persons upon whom a notice has been served under sub-section (1), appears in
pursuance thereof before the competent authority and gives an undertaking to the authority that such
person shall within a period specified by the authority execute such works of improvement in relation to
the building as will in the opinion of the authority render the building fit for human habitation, or that it
shall not be used for human habitation until the authority on being satisfied that it has been rendered fit
for that purpose cancels the undertaking, the authority shall not make any order of demolition of the
building.
(3) If no such undertaking as is mentioned in sub-section (2) is given, or if in a case where any such
undertaking has been given any work of improvement to which the undertaking relates is not carried out
within the specified period or the building is at any time used in contravention of the terms of the
undertaking, the competent authority shall forthwith make an order of demolition of the building
requiring that the building shall be vacated within a period to be specified in the order not being less than
thirty days from the date of the order, and that it shall be demolished within six weeks after the expiration
of that period.
8. Procedure to be followed where demolition order has been made.―(1) Where an order for
demolition of a building under section 7 has been made the owner of the building or any other person
having an interest therein shall demolish that building within the time specified in that behalf by the
order; and if the building is not demolished within that time the competent authority shall enter and
demolish the building and sell the materials thereof.
(2) Any expenses incurred by the competent authority under sub-section (1), if not satisfied out of the
proceeds of sale of materials of the building shall be recoverable from the owner of the building or any
other person having an interest therein as arrears of land revenue.
CHAPTER IV
SLUM CLEARANCE AND RE-DEVELOPMENT
9. Power to declare any slum area to be a clearance area.―(1) Where the competent authority
upon a report from any of its officers or other information in its possession is satisfied as respects any
slum area that the most satisfactory method of dealing with the conditions in the area is the demolition of
all the buildings in the area, the authority shall by an order notified in the Official Gazette declare the area

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to be a clearance area, that is to say, an area to be cleared of all buildings in accordance with the
provisions of this Act:
Provided that any building in the area which is not unfit for human habitation or dangerous or
injurious to health may be excluded from the declaration if the authority considers it necessary.
(2) The competent authority shall forthwith transmit to the Administrator a copy of the declaration
under this section together with a statement of the number of persons who on a date specified in the
statement were occupying buildings comprised in the clearance area.
10. Slum clearance order.―(1) As soon as may be after the competent authority has declared any
slum area to be a clearance area, it shall make a slum clearance order in relation to that area ordering the
demolition of each of the buildings specified therein and requiring each such building to be vacated
within such time as may be specified in the order and submit the order to the Administrator for
confirmation.
(2) The Administrator may either confirm the order in to or subject to such variations as he considers
necessary or reject the order.
(3) If the Administrator confirms the order, the order shall become operative from the date of such
confirmation.
(4) When a slum clearance order has become operative, the owners of buildings to which the order
applies shall demolish the buildings before the expiration of six weeks from the date on which the
buildings are required by the order to be vacated or before the expiration of such longer period as in the
circumstances of the case the competent authority may deem reasonable.
(5) If the buildings are not demolished before the expiration of the period mentioned in sub-section
(4) the competent authority shall enter and demolish the buildings and sell the materials thereof.
(6) Any expenses incurred by the competent authority in demolishing any building shall, if not
satisfied out of the proceeds of sale of materials thereof, be recoverable by the competent authority as
arrears of land revenue.
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[(7) Subject to the provisions of this Act, where a slum clearance order has become operative, the
owner of the land to which the order applies may re-develop the land in accordance with plans approved
by the competent authority and subject to such restrictions and conditions (including a condition with
regard to the time within which the re-development shall be completed), if any, as that authority may
think fit to impose:
Provided that an owner who is aggrieved by a restriction or condition so imposed on the user of his
land or by a subsequent refusal of the competent authority to cancel or modify any such restriction or
condition may, within such time as may be prescribed, appeal to the Administrator and the Administrator
shall make such order in the matter as he thinks proper and his decision shall be final.]
(8) No person shall commence or cause to be commenced any work in contravention of a plan
approved or a restriction or condition imposed under sub-section (7).
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[11. Power of competent authority to re-develop clearance area.―(1) Notwithstanding anything
contained in sub-section (7) of section 10, the competent authority may at any time after the land has been
cleared of the buildings in accordance with a slum clearance order but before the work of re-development
of that land has been commenced by the owner, by order, determine to re-develop the land if that
authority is satisfied that it is necessary in the public interest to do so.
(2) Where land has been cleared of the buildings in accordance with a slum clearance order, the
competent authority, if it is satisfied that the land has been, or is being, re-developed by the owner thereof
in contravention of plans approved by the authority or any restrictions or conditions imposed under
sub-section (7) of section 10 or has not been re-developed within the time, if any, specified under such
conditions, may, by order, determine to re-develop the land:

1. Subs. by Act 43 of 1964, s. 6, for sub-section (7) (w.e.f. 27-2-1965).

2. Subs. by s. 7, ibid., for section 11 (w.e.f. 27-2-1965).

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 Provided that before passing such order, the owner shall be given a reasonable opportunity to show
cause why the order should not be passed.]
CHAPTER V
ACQUISITION OF LAND
12. Power of Central Government to acquire land.―(1) Where on any representation from the
competent authority it appears to the Central Government that, in order to enable the authority to execute
any work of improvement in relation to any building in a slum area or to re-develop any clearance area, it
is necessary that land within, adjoining or surrounded by any such area should be acquired, the Central
Government may acquire the land by publishing in the Official Gazette a notice to the effect that the
Central Government has decided to acquire the land in pursuance of this section:
Provided that, before publishing such notice, the Central Government may call upon the owner of, or
any other person who, in the opinion of the Central Government, may be interested in, such land to show
cause why it should not be acquired; and after considering the cause, if any, shown by the owner or any
other person interested in the land, the Central Government may pass such order as it deems fit.
(2) When a notice as aforesaid is published in the Official Gazette, the land shall, on and from the
date on which the notice is so published, vest absolutely in the Central Government free from all
encumbrances.
13. Land acquired by Central Government to be made available to the competent
authority.―Where any land in a slum area or clearance area has been acquired under this Act the Central
Government shall make the land available to the competent authority for the purpose of executing any
work of improvement or carrying out any order of demolition or for the purpose of re-development:
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[Provided that where on any representation from the competent authority, the Central Government is
satisfied that any such land or any portion thereof is unsuitable for the purposes mentioned in this section,
the Central Government may use the land or allow it to be used for such other public purpose or purposes
as it may deem fit.]
14. Right to receive compensation.―Every person having any interest in any land acquired under
this Act shall be entitled to receive from the Central Government compensation as provided hereafter in
this Act.
15. Basis for determination of compensation.―(1) The amount payable as compensation in respect
of any land acquired under this Act shall be an amount equal to sixty times the net average monthly
income actually derived from such land during the period of five consecutive years immediately
preceding the date of publication of the notice referred to in section 12.
(2) The net average monthly income referred to in sub-section (1) shall be calculated in the manner
and in accordance with the principles set out in the Schedule.
(3) The competent authority shall, after holding an inquiry in the prescribed manner, determine in
accordance with the provisions of sub-section (2) the net average monthly income actually derived from
the land and publish a notice in the Official Gazette specifying the amount so determined and calling
upon the owner of the land and every person interested therein to intimate to it before a date specified in
the notice whether such owner or person agrees to the amount so determined and if he does not so agree,
what amount he claims to be the net average monthly income actually derived from the land.
(4) Any person who does not agree to the amount of the net average monthly income determined by
the competent authority under sub-section (3) and claims a sum in excess of that amount may prefer an
appeal to the Administrator within thirty days from the date specified in the notice referred to in that
sub-section.
(5) On appeal the Administrator shall, after hearing the appellant, determine the, net average monthly
income and his determination shall be final and shall not be questioned in any court of law.

1. Added by Act 43 of 1964, s. 8 (w.e.f. 27-2-1965).

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 (6) Where there is any building on the land in respect of which the net average monthly income has
been determined, no separate compensation shall be paid in respect of such building:
Provided that where the owner of the land and the owner of the building on such land are different,
the competent authority shall apportion the amount of compensation between the owner of the land and
the owner of the building 1[in the same proportion as the market price of the land bears to the market price
of the building on the date of the acquisition].
2
* * * * *
16. Apportionment of compensation.―(1) Where several persons claim to be interested in the
amount of compensation determined under section 15, the competent authority shall determine the
persons who in its opinion are entitled to receive compensation and the amount payable to each of them.
(2) If any dispute arises as to the apportionment of compensation or any part thereof, or as to the
persons to whom the same or any part thereof is payable, the competent authority may refer the dispute to
the decision of the Administrator; and the Administrator in deciding any such dispute shall follow, as far
as may be, the provisions of Part III of the Land Acquisition Act, 1894 (1 of 1894).
17. Payment of compensation or deposit of the same in court.―(1) After the amount of
compensation has been determined, the competent authority shall on behalf of the Central Government
tender payment of, and pay, the compensation to the persons entitled thereto.
(2) If the persons entitled to compensation do not consent to receive it, or if there be any dispute as to
the title to receive compensation or as to the apportionment of it, the competent authority shall deposit the
amount of the compensation in the court of the District Judge and that court shall deal with the amount so
deposited in the manner laid down in sections 32 and 33 of the Land Acquisition Act, 1894 (1 of 1894).
18. Powers of competent authority in relation to determination of compensation, etc.―(1) The
competent authority may, for the purposes of determining the amount of compensation or apportionment
thereof, require, by order, any person to furnish such information in his possession as may be specified in
the order.
(2) The competent authority shall, while holding inquiry under section 15, have all the powers of a
civil court while trying a suit under the Code of Civil Procedure, 1908 (5 of 1908), in respect of the
following matters, namely:―
(a) summoning and enforcing the attendance of any person and examining him on oath;
(b) requiring the discovery and production of any document;
(c) reception of evidence on affidavits;
(d) requisitioning any public record from any court or office;
(e) issuing commissions for examination of witnesses.
CHAPTER VI
PROTECTION OF TENANTS IN SLUM AREAS FROM EVICTION
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[19. Proceedings for eviction of tenants not to be taken without permission of the competent
authority.―(1) Notwithstanding anything contained in any other law for the time being in force, no
person shall, except with the previous permission in writing of the competent authority,―
(a) institute, after the commencement of the Slum Areas (Improvement and Clearance)
Amendment Act, 1964, any suit or proceeding for obtaining any decree or order for the eviction of a
tenant from any building or land in a slum area; or

1. Subs. by Act 43 of 1964, s. 9, for “in such proportion as he considers reasonable” (w.e.f. 27-2-1965).
2. Second proviso omitted by s. 9, ibid. (w.e.f. 27-2-1965).
3. Subs. by s. 10, ibid., for section 19 (w.e.f. 27-2-1965).

9
 (b) where any decree or order is obtained in any suit or proceeding instituted before such
commencement for the eviction of a tenant from any building or land in such area, execute such
decree or order.
(2) Every person desiring to obtain the permission referred to in sub-section (1) shall make an
application in writing to the competent authority in such form and containing such particulars as may be
prescribed.
(3) On receipt of such application, the competent authority, after giving an opportunity to the parties
of being heard and after making such summary inquiry into the circumstances of the case as it thinks fit,
shall by order in writing, either grant or refuse to grant such permission.
(4) In granting or refusing to grant the permission under sub-section (3), the competent authority shall
take into account the following factors, namely:―
(a) whether alternative accommodation within the means of the tenant would be available to him
if he were evicted;
(b) whether the eviction is in the interest of improvement and clearance of the slum areas;
(c) such other factors, if any, as may be prescribed.
(5) Where the competent authority refuses to grant the permission, it shall record a brief statement of
the reasons for such refusal and furnish a copy thereof to the applicant.]
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[20. Appeals.―Any person aggrieved by an order of the competent authority refusing to grant the
permission referred to in sub-section (1) of section 6A or referred to in sub-section (1) of section 19 may,
within such time as may be prescribed, prefer an appeal to the Administrator and the Administrator may,
after hearing the appellant, decide such appeal and his decision shall be final.]
2
[20A. Restoration of possession of premises vacated by a tenant.―(1) Where a tenant in
occupation of any building in a slum area vacates any building or is evicted therefrom on the ground that
it was required for the purpose of executing any work of improvement or for the purpose of re-election of
the building, the tenant may, within such time as may be prescribed, file a declaration with the competent
authority that he desires to be replaced in occupation of the building after the completion of the work of
improvement or re-erection of the building, as the case may be.
(2) On receipt of such declaration, the competent authority, shall by order require the owner of the
building to furnish to it, within such time as may be prescribed, the plans of the work of improvement or
re-erection of the building and estimates of the cost thereof and such other particulars as may be
necessary and shall, on the basis of such plans and estimates and particulars, if any, furnished and having
regard to the provisions of sub-section (3) of section 20B and after holding such inquiry as it may think
fit, provisionally determine the rent that would be payable by the tenant if he were to be replaced in
occupation of the building in pursuance of the declaration made by him under sub-section (1).
(3) The rent provisionally determined under sub-section (2) shall be communicated in the prescribed
manner to the tenant and the owner.
(4) If the tenant after the receipt of such communication intimates in writing to the competent
authority within such time as may be prescribed that when he is replaced in occupation of the building in
pursuance of the declaration made by him under sub-section (1), he would pay to the owner until the rent
is finally determined under section 20B the rent provisionally determined under sub-section (2), the
competent authority shall direct the owner to place the tenant in occupation of the building after the
completion of the work of improvement or re-erection of the building, as the case may be, and the owner
shall be bound to comply with such direction.
20B. Rent of buildings in slum areas.―(1) Where any building in a slum area is let to a tenant after
the execution of any work of improvement or after it has been re-erected, the rent of the building shall be
determined in accordance with the provisions of this section.

1. Subs. by Act 43 of 1964, s. 11, for section 20 (w.e.f. 27-2-1965).

2. Ins. by s. 12, ibid. (w.e.f. 27-2-1965).

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 (2) Where any such building is let to a tenant other than a tenant who is placed in possession of the
building in pursuance of a direction issued under sub-section (4) of section 20A, the tenant shall be liable
to pay to the owner―
(a) if there is a general law relating to the control of rents in force in the area in which the
building is situated and applicable to that building, the rent determined in accordance with the
provisions of that law;
(b) if there is no such law in force in such area, such rent as may be agreed upon between the
owner and the tenant.
(3) Where any such building is let to a tenant in pursuance of a direction issued under sub-section (4)
of section 20A, the tenant shall, notwithstanding any law relating to the control of rents in force in the
area be liable to pay to the owner―
(a) if any work of improvement has been executed in relation to the building, an annual rent of a
sum equivalent to the aggregate of the following amounts, namely:―
(i) the annual rent the tenant was paying immediately before he vacated the building for the
purpose of execution of the work of improvement;
(ii) six per cent. of the cost of the work of improvement; and
(iii) six per cent. of a sum equivalent to the compensation payable in respect of any land
which may have been acquired for the purpose of effecting such improvement as if such land
were acquired under section 12 on the date of the commencement of the work of improvement;
(b) if the building has been re-erected, an annual rent of a sum equivalent to four per cent. of the
aggregate cost of reconstruction of the building and the cost of the land on which the building is
re-erected.
Explanation.―For the purposes of this clause, the cost of the land shall be deemed to be a sum
equivalent to the compensation payable in respect of the land if it were acquired under section 12 on
the date of commencement of the reconstruction of the building.
(4) The rent payable by a tenant in respect of any building under sub-section (3) shall, on an
application made by the tenant or the owner, be determined by the authority referred to in sub-section (5):
Provided that an application for determination of such rent by the owner or the tenant shall not,
except for sufficient cause, be entertained by such authority after the expiry of ninety days from the
completion of the work of improvement or re-erection of the building, as the case may be.
(5) The authority to which the application referred to in sub-section (4) shall be made, shall be―
(a) where there is a general law relating to the control of rents in force in the area in which the
building is situate, the authority to whom applications may be made for fixing of rents of buildings
situate in that area; and for the purpose of determining the rent under this section that authority may
exercise all or any of the powers it has under the said general law; and the provisions of such law
including provisions relating to appeals shall apply accordingly;
(b) if there is no such law in force in that area, such authority as may be specified by rules made
in this behalf by the Central Government and such rules may provide the procedure that will be
followed by that authority in determining the rent and also for appeals against the decision of such
authority.
(6) Where the rent is finally determined under this section, then the amount of rent paid by the tenant
shall be adjusted against the rent so finally determined and if the amount so paid falls short of, or is in
excess of, the rent finally determined, the tenant shall pay the deficiency, or be entitled to a refund, as the
case may be.]

11
 21. Chapter not to apply to eviction of tenants from certain buildings.―Nothing in this Chapter
shall apply to or in relation to the 1[eviction under any law] of a tenant from any building in a slum area
belonging to the Government, 2[the Delhi Development Authority] or any local authority.
CHAPTER VII
MISCELLANEOUS
22. Powers of entry.―It shall be lawful for any person authorised by the competent authority in this
behalf to enter into or upon any building or land in a slum area with or without assistants or workmen in
order to make any inquiry, inspection, measurement, valuation or survey, or to execute any work which is
authorised by or under this Act or which it is necessary to execute for any of the purposes or in pursuance
of any of the provisions of this Act or of any rule or order made thereunder.
23. Powers of inspection.―(1) The competent authority may, by general or special order, authorise
any person―
(a) to inspect any drain, latrine, urinal, cesspool, pipe, sewer or channel in or on any building or
land in a slum area, and in his discretion to cause the ground to be opened for the purpose of
preventing or removing any nuisance arising from the drain, latrine, urinal, cesspool, pipe, sewer or
channel, as the case may be;
(b) to examine works under construction in the slum area, to take levels or to remove, test,
examine, replace or read any meter.
(2) If, on such inspection, the opening of the ground is found to be necessary for the prevention or
removal of a nuisance, the expenses thereby incurred shall be paid by the owner or occupier of the land or
building, but if it is found that no nuisance exists or but for such opening would have arisen, the ground
or portion of any building, drain, or other work opened, injured or removed for the purpose of such
inspection shall be filled in, reinstated, or made good, as the case may be, by the competent authority.
24. Power to enter land adjoining land where work is in progress.―(1) Any person authorised by
the competent authority in this behalf may, with or without assistants or workmen, enter on any land
within fifty yards of any work authorised by or under this Act for the purpose of depositing thereon any
soil, gravel, stone or other materials, or for obtaining access to such work or for any other purposes
connected with the carrying on of the same.
(2) The person so authorised shall, before entering on any land under sub-section (1), state the
purpose thereof, and shall, if so required by the occupier, or owner, fence off so much of the land as may
be required for such purpose.
(3) The person so authorised shall, in exercising any power conferred by this section, do as little
damage, as may be, and compensation shall be payable by the competent authority to the owner or
occupier of such land or to both for any such damage whether permanent or temporary.
25. Breaking into buildings.―It shall be lawful for any person authorised by the competent
authority in this behalf to make any entry into any place, to open or cause to be opened any door, gate or
other barrier―
(a) if he considers the opening thereof necessary for the purpose of such entry; and
(b) if the owner or occupier is absent, or being present refuses to open such door, gate or barrier.
26. Entry to be made in the day time.―No entry authorised by or under this Act shall be made
except between the hours of sunrise and sunset.
27. Owner's consent ordinarily to be obtained.―3[Save as provided in this Act, no building or
land] shall be entered without the consent of the occupier, or if there is no occupier, of the owner thereof,

1. Subs. by Act 43 of 1964, s. 13, for “execution of any decree or order under any law for the eviction” (w.e.f. 27-2-1965).
2. Subs. by s. 13, ibid., for “the Delhi Improvement Trust” (w.e.f. 27-2-1965).
3. Subs. by Act 43 of 1964, s. 14, for “No building or land” (w.e.f. 27-2-1965).

12
and no such entry shall be made without giving the said occupier or owner, as the case may be, not less
than twenty four hours’ written notice of the intention to make such entry:
Provided that no such notice shall be necessary if the place to be inspected is a shed for cattle or a
latrine, urinal or a work under construction.
28. Power of eviction to be exercised only by the competent authority.―Where the competent
authority is satisfied either upon a representation from the owner of a building or upon other information
in its possession that the occupants of the building have not vacated it in pursuance of any notice, order or
direction issued or given by the authority, the authority shall, by order, direct the eviction of the occupants
from the building in such manner and within such time as may be specified in the order 1[and for the
purpose of such eviction may use or cause to be used such force as may be necessary]:
Provided that before making any order under this section the competent authority shall give a
reasonable opportunity to the occupants of the building to show cause why they should not be evicted
therefrom.
29. Power to remove offensive or dangerous trades from slum areas.―The competent authority
may, by order in writing, direct any person carrying on any dangerous or offensive trade in a slum area to
remove the trade from that area within such time as may be specified in the order:
Provided that no order under this section shall be made unless the person carrying on the trade has
been afforded a reasonable opportunity of showing cause as to why the order should not be made.
30. Appeals.―(1) Except as otherwise expressly provided in this Act, any person aggrieved by any
notice, order or direction issued or given by the competent authority may appeal to the Administrator
within a period of thirty days from the date of issue of such notice, order or direction.
(2) Every appeal under this Act shall be made by petition in writing accompanied by a copy of the
notice, order or direction appealed against.
(3) On the admission of an appeal, all proceedings to enforce the notice, order or direction and all
prosecutions for any contravention thereof shall be held in abeyance pending the decision of the appeal,
and if the notice, order or direction is set aside on appeal, disobedience thereto shall not be deemed to be
an offence.
(4) No appeal shall be decided under this section unless the appellant has been heard or has had a
reasonable opportunity of being heard in person or through legal practitioner.
(5) The decision of the Administrator on appeal shall be final and shall not be questioned in any court.
31. Service of notices, etc.―(1) Every notice, order or direction issued under this Act shall, save as
otherwise expressly provided in this Act, be served―
(a) by giving or tendering the notice, order or direction, or by sending it by post to the person for
whom it is intended; or
(b) if such person cannot be found, by affixing the notice, order or direction on some conspicuous
part of his last known place of abode or business, or by giving or tendering the notice, order or
direction to some adult male member or servant of his family or by causing it to be affixed on some
conspicuous part of the building or land, if any, to which it relates.
(2) Where the person on whom a notice, order or direction is to be served is a minor, service upon his
guardian or upon any adult male member or servant of his family shall be deemed to be the service upon
the minor.
(3) Every notice, order or direction which by or under this Act is to be served as a public notice, order
or direction or as a notice, order or direction which is not required to be served to any individual therein
specified shall, save as otherwise expressly provided, be deemed to be sufficiently served if a copy
thereof is affixed in such conspicuous part of the office of the competent authority or in such other public

1. Ins. by Act 43 of 1964, s. 15 (w.e.f. 27-2-1965).

13
place during such period, or is published in such local newspaper or in such other manner, as the
competent authority may direct.
32. Penalties.―(1) Whoever 1[fails to comply with] any notice, order or direction issued or given
under this Act shall be punishable with imprisonment for a term which may extend to three months, or
with fine which may extend to one thousand rupees, or with both.
(2) Whoever commences or causes to be commenced any work in contravention of any restriction or
condition imposed under sub-section (7) of section 10 or any plan for the re-development of a clearance
area shall be punishable with imprisonment which may extend to three months, or with fine which may
extend to one thousand rupees, or with both.
(3) Whoever obstructs the entry of any person authorised under this Act to enter into or upon any
building or land or molests such person after such entry shall be punishable with fine which may extend
to one thousand rupees.
(4) If the person committing an offence under this Act is a company, every person who at the time the
offence was committed was in charge of, and was responsible to, the company for the conduct of the
business of the company as well as the company, shall be deemed to be guilty of the offence and shall be
liable to be proceeded against and punished accordingly:
Provided that nothing contained in this sub-section shall render any such person liable to any
punishment provided in this Act if he proves that the offence was committed without his knowledge or
that he exercised all due diligence to prevent the commission of such offence.
(5) Notwithstanding anything contained in sub-section (3) where an offence under this Act has been
committed by a company and it is proved that the offence has been committed with the consent or
connivance of, or is attributable to any neglect on the part of, any director or manager, secretary or other
officer of the company, such director, manager, secretary or other officer shall also be deemed to be guilty
of that offence and shall be liable to be proceeded against and punished accordingly.
Explanation.―For the purposes of this section―
(a) “company” means a body corporate and includes a firm or other association of individuals;
and
(b) “director” in relation to a firm means a partner in the firm.
33. Order of demolition of buildings in certain cases.―2[(1)] Where the erection of any building
has been commenced, or is being carried out, or has been completed, in contravention of any restriction or
condition imposed under sub-section (7) of section 10 or a plan for the re-development of any clearance
area or in contravention of any notice, order or direction issued or given under this Act the competent
authority may, in addition to any other remedy that may be resorted to under this Act or under any other
law, make an order directing that such erection shall be demolished by the owner thereof within such time
not exceeding two months as may be specified in the order, and on the failure of the owner to comply
with the order, the competent authority may itself cause the erection to be demolished and the expenses of
such demolition shall be recoverable from the owner as arrears of land revenue:
Provided that no such order shall be made unless the owner has been given a reasonable opportunity
of being heard.
3
[(2) For the purpose of causing any building to be demolished under sub-section (1), the competent
authority may use or cause to be used such force as may be necessary.]
34. Jurisdiction of courts.―No court inferior to that of a magistrate of the first class shall try an
offence punishable under this Act.

1. Subs. by Act 43 of 1964, s. 16 for “does any act in contravention of” (w.e.f. 27-2-1965).
2. Section 33 renumbered as sub-section (1) thereof by s. 17, ibid. (w.e.f. 27-2-1965).
3. Ins. by s. 17, ibid. (w.e.f. 27-2-1965).

14
 35. Previous sanction of the competent authority or officers authorised by it for prosecution.―
No prosecution for any offence punishable under this Act shall be instituted except with the previous
sanction of the competent authority or an officer authorised by the competent authority in this behalf.
36. Power to delegate.―1[(1)] The competent authority may, by notification in the Official Gazette,
direct that any power exercisable by it under this Act may also be exercised, in such cases and subject to
such conditions, if any, as may be specified in the notification, by such officer or the local authority as
may be mentioned therein.
2
[(2) The Central Government may, by notification in the Official Gazette, direct that any power
exercisable by the Administrator under sub-section (7) of section 10, section 15, section 20 and section 30
may, subject to such conditions, if any, as may be specified in the notification, be exercised also by the
Chief Secretary or by such other officer as may be mentioned therein.]
37. Protection of action taken in good faith.―No suit, prosecution or other legal proceeding shall
lie against the competent authority or against any person for anything which is in good faith done or
intended to be done under this Act or the rules made thereunder.
3
[37A. Bar of jurisdiction.―Save as otherwise expressly provided in this Act, no civil court shall
have jurisdiction in respect of any matter which the competent authority or any other person is
empowered by or under this Act, to determine and no injunction shall be granted by any court or other
authority in respect of any action taken or to be taken in pursuance of any power conferred by or under
this Act.]
38. Competent authority, etc., to be public servants.―The competent authority and any person
authorised by 4[it] under this Act shall be deemed to be public servants within the meaning of section 21
of the Indian Penal Code (45 of 1860).
39. Act to override other laws.―The provisions of this Act and the rules made thereunder shall have
effect notwithstanding anything inconsistent therewith contained in any other law.
40. Power to make rules.―(1) The Central Government may, by notification in the Official Gazette,
make rules to carry out the purposes of this Act.
(2) In particular and without prejudice to the generality of the foregoing power such rules may
provide for all or any of the following matters, namely:―
(a) the manner, of authentication of notices, orders and other instruments of the competent
authority;
(b) the preparation of plans for the re-development of any slum area, and matters to be included in
such plans;
5
[(bb) the form in which an application under sub-section (3) of section 6A shall be made and the
information to be furnished and the fees to be levied in respect of such application;
(bbb) the manner in which inquiries may be held under sections 15 and 19;]
(c) the form and manner in which applications for permission under sub-section (2) of section 19
shall be made and the fees to be levied in respect of such applications;
(d) the procedure to be followed 5[and the factors to be taken into consideration] by the competent
authority before granting or refusing to grant permission under section 19;

1. Section 36 renumbered as sub-section (1) thereof by Act 43 of 1964, s. 18 (w.e.f. 27-2-1965).

2. Ins. by s. 18, ibid. (w.e.f. 27-2-1965).
3. Ins. by s. 19, ibid. (w.e.f. 27-2-1965).
4. Subs. by Act 58 of 1960, s. 3 and the Second Schedule, for “him” (w.e.f. 26-12-1960).
5. Ins. by Act 43 of 1964, s. 20 (w.e.f. 27-2-1965).

15
 (e) the time within which an appeal may be preferred under 1[sub-section (7) of section 10 or
section 20];
2
[(ee) the time within which a declaration may be filed under sub-section (1) or an intimation may
be sent under sub-section (4) of section 20A and the fees, if any, to be levied in respect of such
declaration;
(eee) the time within which plans, estimates and other particulars referred to in sub-section (2) of
section 20A may be furnished;
(eeee) the procedure to be followed by the competent authority for fixing the provisional rent
under sub-section (2) of section 20A;
(eeeee) the manner in which the rent provisionally determined under section 20A shall be
communicated to the tenants and owners;
(eeeeee) the matters in respect of which provision may be made under sub-section (5) of section
20B;]
(f) the officers and local authorities to whom powers may be delegated under section 36; and
(g) any other matter which has to be, or may be, prescribed.
3
[(3) Every rule made under this section shall be laid as soon as may be after it is made before each
House of Parliament while it is in session for a total period of thirty days which may be comprised in one
session or 4[in two or more successive sessions, and if, before the expiry of the session immediately
following the session, or the successive sessions aforesaid] both Houses agree in making any modification
in the rule or both Houses agree that the rule should not be made, the rule shall thereafter have effect only
in such modified form or be of no effect, as the case may be; so however that any such modification or
annulment shall be without prejudice to the validity of anything previously done under that rule.]
THE SCHEDULE
(See SECTION 15)
Principles for determination of the net average monthly income
1. The competent authority shall first determine the gross rent actually derived by the owner of the
land acquired including any building on such land during the period of five consecutive years referred to
in sub-section (1) of section 15.
2. For such determination the competent authority may hold any local inquiry and obtain, if
necessary, certified copies of extracts from the property tax assessment books of the municipal or other
local authority concerned showing the rental value of such land.
3. The net average monthly income referred to in sub-section (1) of section 15 shall be sixty per cent.
of the average monthly gross rent which shall be one-sixtieth of the gross rent during the five consecutive
years as determined by the competent authority under paragraph 1.
4. Forty per cent. of the gross monthly rental referred to above shall not be taken into consideration in
determining the net average monthly income but shall be deducted in lieu of the expenditure which the
owner of the land would normally incur for payment of any property tax to the municipal or other local
authority, for collection charges, income-tax or bad debts as well as for works of repair and maintenance
of the buildings, if any, on the land.
5.Where the land or any portion thereof has been unoccupied or the owner has not been in receipt of
any rent for the occupation of the land during the whole or any part of the said period of five years, the
gross rent shall be taken to be the income which the owner would in fact have derived if the land had been

1. Subs. by Act 43 of 1964, s. 20, for “section 20” (w.e.f. 27-2-1965).

2. Ins. by s. 20, ibid. (w.e.f. 27-2-1965).
3. Subs. by s. 20, ibid., for sub-section (3) (w.e.f. 27-2-1965).
4. Subs. by Act 4 of 1986, s. 52, for “in two successive sessions, and if, before the expiry of the session in which it is so laid or
the session immediately following,” (w.e.f. 15-2-1986).

16
leased out for rent during the said period, and for this purpose the rent actually derived from the land
during a period prior or subsequent to the period during which it remained vacant or from similar land in
the vicinity shall be taken into account.

17