Dissolution of Corporation.(Substituted by Act of 1994)
(1) If in the opinion of the. Government, a Corporation is not competent to perform its
duties or persistently makes default in the performance of duties imposed on R by or under this Act or any other law for the time being in force or
exceeds or abuses any of its powers, the Government may, by an order published, alongwith the reasons therefor, in the Official Gazette, dissolve such
Corporation: Provided. that the Corporation shall be given a reasonable opportunity of being heard before its dissolution.
(2) When a Municipal Corporation is dissolved under sub-section
(i) all Councillors of the Corporation shall vacate their offices forthwith;
(ii) all powers and duties of the Corporation during its dissolution shall be exercised and performed by such person or authority, as the
Government may, by notification, appoint in this behalf; and
(iii) all property in possession of the Corporation shall be held by the Government.
(3) Upon dissolution of a Corporation under sub-section
(1), the Government shah reconstitute a Corporation as specified under sub-section
(2) of
Section 3, and election to reconstitute such Corporation shah be completed before the expiration of a period of six months from the date of dissolution:
Provided that where the remainder of the period for which the dissolved Corporation would have continued, is less than six months, it shall not be
necessary to hold any election under this sub-section for reconstituting the Corporation for such period.
(4) The Corporation reconstituted upon the dissolution of the existing Corporation before the expiration of its duration, shall continue only for the
remainder of the period for which the dissolved Corporation would have continued under section 7 had it not been so dissolved. |