Section 60B(2) in Tamil Nadu District Municipalities Act, 1920
(2)Whenever, in pursuance of section 60-A, the State Government requisition any vehicle, vessel or animal, there shall be paid by the municipal council to the owner thereof compensation, the amount of which shall be determined by the State Government on the basis of the fares or rates prevailing in the locality for the hire of such vehicle, vessel or animal:Provided that where the owner of such vehicle, vessel or animal, being aggrieved by the amount of compensation so determined, makes an application to the State Government within one month from the date of service of the order determining the compensation for referring the matter to an arbitrator, the amount of compensation to be paid shall be such as the arbitrator appointed in this behalf by the State Government may determine: Provided further that where immediately before the requisitioning the vehicle or vessel was by virtue of a hire purchase agreement in the possession of a person other than the owner, the amount determined under this sub-section as the total compensation payable in respect of the requisition shall be apportioned between that person and the owner in such manner as they may agree upon, and in default of agreement, in such manner as an arbitrator appointed by the State Government in this behalf may decide.
