Section 96(1) in The U.P. Municipalities Act, 1916
(1)The sanction of the [Municipality] [Substituted by U.P. Act No. 12 of 1994.] by resolution is required in the case of every contract, -(a)for which budget provision does not exist; or(b)[ involving a value or amount, exceeding] [Substituted by U.P. Act No. 12 of 1994.] [Fifty thousand rupees] [Substituted by section 5(a) of U.P. Act No. 22 of 2001, for 'ten thousand rupees' (w.e.f. 6.10.2001).] in the case of contract by the Municipal Council and [Fifteen thousand rupees] [Substituted by section 5(b) of U.P. Act No. 22 of 2001, for 'three thousand rupees' (w.e.f. 6.10.2001).] in the case of a contract by the Nagar Panchayat :[Provided that during the period intervening two meetings of the Municipal Council, the President may sanction contracts involving a value or amount not exceeding] [Inserted by U.P. Act No. 12 of 1994.] [One lakh rupees] [Substituted by section 5(c) of U.P. Act No. 22 of 2001, for 'twenty thousand rupees' (w.e.f. 6.10.2001).].
