Section 3B in Tamil Nadu District Municipalities Act, 1920
3B. Formation of [Third Grade Municipalities] [Substituted for the word 'Town Panchayat' by the Tamil Nadu District Municipalities (Amendment) Act 2004 (Tamil Nadu Act 24 of 2004)]
. - (1) The Governor,-(a)may, having regard to the revenue generated for local administration, the percentage of employment in non-agricultural activities, the economic importance or such other factors as he deems fit, by notification, classify and declare every local area comprising a revenue village or villages or any portion of a revenue village or contiguous portions of two or more revenue villages and having a [population estimated at not less than thirty thousand] [Substituted by the Tamil Nadu District Municipalities (Amendment) Act, 2004 (Tamil Nadu Act 24 of 2004)] as a [transitional area] [Substituted for the word 'Town Panchayat' by the Tamil Nadu District Municipalities (Amendment) Act, 2004 (Tamil Nadu Act 24 of 2004)] for the purposes of this Act; and(b)shall, by notification, specify the name of such [Third Grade Municipality] [Substituted for the words 'Town Panchayat' by the Tamil Nadu District Municipalities (Amendment) Act, 2004 (Tamil Nadu Act 24 of 2004)]:(2)In every [transitional area] [Substituted for the words 'Town Panchayat' by the Tamil Nadu District Municipalities (Amendment) Act, 2004 (Tamil Nadu Act 24 of 2004)] declared as such under sub-section (1), there shall be established a [Third Grade Municipality] [Substituted for the word 'Town Panchayat' by the Tamil Nadu District Municipalities (Amendment) Act 2004 (Tamil Nadu Act 24 of 2004)].(3)(a)The Governor may, by notification/exclude from a [transitional area] [Substituted for the word 'Panchayat Town' by the Tamil Nadu District Municipalities (Amendment) Act, 2004 (Tamil Nadu Act 24 of 2004)] any area comprised therein, provided that the population of the [transitional area] [Substituted for the words 'Panchayat Town' by the Tamil Nadu District Municipalities (Amendment) Act 2004 (Tamil Nadu 24 of 2004)] after such exclusion, is not less than [thirty thousand] [Substituted by the Tamil Nadu District Municipalities (Amendment) Act, 2004 (Tamil Nadu Act 24 of 2004)].(b)In regard to any area excluded under clause (a), the Governor shall, by notification under sub-section (1), declare it to be a [transitional area] [Substituted for the words 'Panchayat Town' by the Tamil Nadu District Municipalities (Amendment) Act, 2004 (Tamil Nadu Act 24 of 2004)] if it has a population of not less than [thirty thousand] [Substituted by the Tamil Nadu District Municipalities (Amendment) Act, 2004 (Tamil Nadu Act 24 of 2004)] or of its population is less than [thirty thousand] [Substituted by the Tamil Nadu District Municipalities (Amendment) Act, 2004 (Tamil Nadu Act 24 of 2004)], include it in any contiguous [transitional area] [Substituted for the words 'Panchayat Town' by the Tamil Nadu District Municipalities (Amendment) Act 2004 (Tamil Nadu Act 24 of 2004)] under clause (c)(i);(c)The Governor may, by notification -(i)include in a [transitional area] [Substituted for the words 'Panchayat Town' by the Tamil Nadu District Municipalities (Amendment) Act, 2004 (Tamil Nadu Act 24 of 2004)] any local area contiguous thereto; or(ii)cancel or modify a notification issued under sub-section (1); or(iii)alter the name of the [transitional area] [Substituted for the words 'Panchayat Town' by the Tamil Nadu District Municipalities (Amendment) Act 2004 (Tamil Nadu Act 24 of 2004)] specified under clause (b) of sub-section (1).(d)Before issuing a notification under clause (a) or under clause (b) read with sub-section (1) or under clause (c), the Governor shall give the [Third Grade Municipality] [Substituted for the words 'Town Panchayat' by the Tamil Nadu District Municipalities (Amendment) Act 2004 (Tamil Nadu Act 24 of 2004)] or [Third Grade Municipalities] [Substituted for the words 'Town Panchayat' by the Tamil Nadu District Municipalities (Amendment) Act 2004 (Tamil Nadu Act 24 of 2004)] which will be affected by the issue of such notification, a reasonable opportunity for showing cause against the proposal and shall consider the explanations and objections, if any, of such [Third Grade Municipality] [Substituted for the words 'Town Panchayat' by the Tamil Nadu District Municipalities (Amendment) Act, 2004 (Tamil Nadu Act 24 of 2004)] or [Third Grade Municipalities] [Substituted for the words 'Town Panchayat' by the Tamil Nadu District Municipalities (Amendment) Act 2004 (Tamil Nadu Act 24 of 2004)].(4)Any rate-payer or inhabitant of such area or any [Third Grade Municipality] [Substituted for the words 'Town Panchayat' by the Tamil Nadu District Municipalities (Amendment) Act 2004 (Tamil Nadu Act 24 of 2004)] concerned, may, if he or it objects to any notification under sub-section (1) or sub-section (3), appeal to the High Court within such period as may be prescribed.
