Section 7 in Tamil Nadu Panchayats (Acquisition and Transfer of Immovable Property) Rules, 2000
7. Transfer by lease of immovable property vested in but not belonging to a panchayat.
(1)A panchayat may lease out any property vested in but not belonging to the panchayat other than road sides and street margins:Provided that no lease shall be granted -(a)in contravention of the conditions subject to which such property became vested in the panchayat; or(b)for a period exceeding twelve months without the previous sanction of the Collector:Provided further that no such lease shall be valid if the lessee is permitted to put up any building or structure whether of masonry, bricks, wood, mud or any other material, unless the sanction of the Collector has been obtained therefor.(2)The lease-deed shall be in the Form III (a) in Schedule III with such variations as circumstances may require.
