- The property belonging to a Municipality may be disposed of in the manner hereinafter provided, namely-(a)the Municipality may, in its discretion, dispose of, by sale, lease or otherwise, any moveable property belonging to the Municipality:Provided that the State Government may require a Municipality to obtain prior sanction of the State Government if value of the property exceeds certain amount mentioned in the rules ;(b)the Municipality may, for valuable consideration let out, give in lease, or sell or otherwise transfer, any immoveable property belonging to the Municipality for carrying out the purposes of this Act :Provided that the State Government may by rules prescribe the mode of such sale and specify the value which, if it increases by way of consideration, shall require the prior approval of the State Government in this behalf :(c)Save as otherwise provided in this Act, a Municipality shall not transfer any immoveable property vested in, but shall cause the same to be maintained, controlled and regulated in accordance with the provisions of this Act and the rules and regulations made thereunder :Provided that the State Government may authorise, in the public interest, disposal of such immoveable property by the Municipality if the Municipality so requires for reasons to be recorded in writing.
