Section 20(1) in Tamil Nadu Panchayats (Procedure for Conducting Public Auction of Leases and Sales in the Panchayats) Rules, 2001
(1)Soon after the approval of the auction of a lease by the Panchayat, the Executive Authority or the Commissioner or the Secretary, as the case may be, shall confirm the auction in writing to the successful bidder. If the lease amount exceeds Rs. 10,000 (Rupees ten thousand only), the bidder shall be directed to execute a lease deed within five days of the confirmation of the auction in a stamped paper of suitable value and register it. If the bidder fails to execute the lease deed, the auction shall be cancelled forfeiting the security deposit and the initial amount paid on the day of auction and also the re-auction of lease shall be ordered. The successful bidder shall not enter into the lease property before executing lease deed and obtaining permission for such entry from the Executive Authority or the Commissioner or the Secretary, as the case may be.
