The Slum Areas (Improvement and Clearance) Act, 1956

Administered Ministry: Ministry of Housing and Urban Affairs

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Section
Section 1 Short title, extent and commencement.
(1) This Act may be called the Slum Areas (Improvement and Clearance) Act, 1956.
(2) It extends to all Union territories except the Union territories of the Andaman and Nicobar Islands and the Laccadive, Minicoy and Amindivi Islands.
(3) It shall come into force in a Union territory on such date1 as the Central Government may, by notification in the Official Gazette, appoint; and different dates may be appointed for different Union territories.
1. 8th February, 1957 in respect of the Union territory of Delhi, vide Notification No. S.R.O. 421, dated 4th February, 1957, see Gazette of India, Extraordinary, Part II, sec. 3(ii).
1st April, 1958 in respect of the Union territory of Tripura, vide Notification No. S.R.O. 414, dated 31st March, 1958, see Gazette of India, Extraordinary, Part II, sec. 3(ii).
Extended to Pondicherry Act 26 of 1968.
Section 2 Definitions.
In this Act, unless the context otherwise requires,―
(a) “Administrator” means the Administrator of a Union territory;
(b) “building” includes any structure or erection or any part of a building as so defined but does not include plant or machinery comprised in a building;
(c) “competent authority” means such officer or authority as the Administrator may, by notification in the Official Gazette, appoint as the competent authority for the purposes of this Act;
(d) “erection” in relation to a building includes extension, alteration or re-erection;
2 (e) “land” includes benefits to arise out of land, and things attached to the earth or permanently fastened to anything attached to the earth;
(f) “occupier” includes―
(a) any person who for the time being is paying or is liable to pay to the owner the rent or any portion of the rent of the land or building in respect of which such rent is paid or is payable;
(b) an owner in occupation of, or otherwise using his land or building;
(c) a rent-free tenant of any land or building;
(d) a licensee in occupation of any land or building; and
(e) any person who is liable to pay to the owner damages for the use and occupation of any land or building;
(g) “owner” includes any person who is receiving or is entitled to receive the rent of any building or land whether on his own account or on behalf of himself and others or as agent or trustee, or who would so receive the rent or be entitled to receive it if the building or land were let to a tenant;
(h) “prescribed” means prescribed by rules made under this Act; and
(i) “slum clearance” means the clearance of any slum area by the demolition and removal of buildings therefrom;
3 (j) “work of improvement” includes in relation to any building in a slum area the execution of any one or more of the following works, namely:―
(i) necessary repairs;
(ii) structural alterations;
(iii) provision of light points, water taps and bathing places;
(iv) construction of drains, open or covered;
(v) provision of latrines, including conversion of dry latrines into water-borne latrines;
(vi) provision of additional or improved fixtures or fittings;
(vii) opening up or paving of courtyards;
(viii) removal of rubbish; and
(ix) any other work including the demolition of any building or any part thereof which in the opinion of the competent authority is necessary for executing any of the works specified above.
2. Subs. by Act 43 of 1964, s. 2, for clauses (e) and (f) (w.e.f. 27-2-1965).
3. Ins. by Act 43 of 1964, s. 2 (w.e.f. 27-2-1965).
Section 3 Declaration of slum areas.
(1) Where the competent authority upon report from any of its officers or other information in its possession is satisfied as respects any area that the buildings in that area―
(a) are in any respect unfit for human habitation; or
(b) are by reason of dilapidation, overcrowding, faulty arrangement and design of such buildings, narrowness or faulty arrangement of streets, lack of ventilation, light or sanitation facilities, or any combination of these factors, are detrimental to safety, health or morals,
it may, by notification in the Official Gazette, declare such area to be a slum area.
(2) In determining whether a building is unfit for human habitation for the purposes of this Act, regard shall be had to its condition in respect of the following matters, that is to say―
(a) repair;
(b) stability;
(c) freedom from damp;
(d) natural light and air;
(e) water supply;
(f) drainage and sanitary conveniences;
(g) facilities for storage, preparation and cooking of food and for the disposal of waste water;
and the building shall be deemed to be unfit as aforesaid if and only if it is so far defective in one or more of the said matters that it is not reasonably suitable for occupation in that condition.
Section 4 Power of competent authority to require improvement of buildings unfit for human habitation.
(1) Where the competent authority upon report from any of its officers or other information in its possession is satisfied that any building in a slum area is in any respect unfit for human habitation, it may, unless in its opinion the building is not capable at a reasonable expense of being rendered so fit, serve upon the owner of the building a notice requiring him within such time not being less than thirty days as may be specified in the notice to execute the works of improvement specified therein and stating that in the opinion of the authority those works will render the building fit for human habitation:
4 Provided that where the owner of the building is different from the owner of the land on which the building stands and the works of improvement required to be executed relate to provision of water taps, bathing places construction of drains, open or covered, as the case may be, provision of water-borne latrines or removal of rubbish and such works are to be executed outside the building, the notice shall be served upon the owner of the land.
(2) In addition to serving a notice under this section on the owner, the competent authority may serve a copy of the notice on any other person having an interest in the building 4 or the land on which the building stands whether as lessee, mortgagee or otherwise.
(3) In determining, for the purposes of this Act, whether a building can be rendered fit for human habitation at a reasonable expense, regard shall be had to the estimated cost of the works necessary to render it so fit and the value which it is estimated that the building will have when the works are completed.
4. Ins. by Act 43 of 1964, s. 3 (w.e.f. 27-2-1965).
Section 5 Inforcement of notice requiring execution of works of improvement.
(1) If a notice under section 4 requiring the owner of the building 5 or of the land on which the building stands, as the case may be, to execute works of improvement is not complied with, then, after the expiration of the time specified in the notice the competent authority may itself do the works required to be done by the notice.
(2) All expenses incurred by the competent authority under this section, together with interest, at such rate as the Central Government may by order fix, from the date when a demand for the expenses is made until payment, may be recovered by the competent authority from the owner of the building 5 or of the land on which the building stands, as the case may be, as arrears of land revenue: Provided that if the owner proves that he―
(a) is receiving the rent merely as agent or trustee for some other person; and
(b) has not in his hands on behalf of that other person sufficient money to satisfy the whole demand of the authority, his liability shall be limited to the total amount of the money which he has in his hands as aforesaid.
5. Ins. by s. 4, ibid. (w.e.f. 27-2-1965).
Section 6 Expenses of maintenance of works of improvement etc., to be recoverable from the occupiers of buildings.
Where works of improvement have been executed in relation to any building in a slum area in pursuance of the provisions of sections 4 and 5, the expenses incurred by the competent authority or, as the case may be, any local authority in connection with the maintenance of such works of improvement or the enjoyment of amenities and conveniences rendered possible by such works shall be recoverable from the occupier or occupiers of the building as arrears of land revenue.
Section 6A Restriction on building, etc., in slum areas.
6 (1) The competent authority may, by notification in the Official Gazette, direct that no person shall erect any building in a slum area except with the previous permission in writing of the competent authority.
(2) Every notification issued under sub-section (1) shall cease to have effect on the expiration of two years from the date thereof except as respects things done or omitted to be done before such cesser.
(3) Every person desiring to obtain the permission referred to in sub-section (1) shall make an application in writing to the competent authority in such form and containing such information in respect of the erection of the building to which the application relates as may be prescribed.
(4) On receipt of such application, the competent authority, after making such inquiry as it considers necessary, shall, by order in writing,―
(a) either grant the permission subject to such terms and conditions, if any, as may be specified in the order; or
(b) refuse to grant such permission:
Provided that before making an order refusing such permission, the applicant shall be given a reasonable opportunity to show cause why the permission should not be refused.
(5) Nothing contained in sub-section (1) shall apply to―
(a) any works of improvement required to be executed by a notice under sub-section (1) of section 4 or in pursuance of an undertaking given under sub-section (2) of section 7; or (b) the erection of any building in any area in respect of which a slum clearance order has been made under section 10.
6. Ins. by s. 5, ibid. (w.e.f. 27-2-1965).
Section 7 Power of competent authority to order demolition of buildings unfit for human habitation.
Where a competent authority upon a report from any of its officers or other information in its possession is satisfied that any building within a slum area is unfit for human habitation and is not capable at a reasonable expense of being rendered so fit, it shall serve upon the owner of the building, and upon any other person having an interest in the building, whether as lessee, mortgagee or otherwise, a notice to show cause within such time as may be specified in the notice as to why an order of demolition of the building should not be made.
(2) If any of the persons upon whom a notice has been served under sub-section (1), appears in pursuance thereof before the competent authority and gives an undertaking to the authority that such person shall within a period specified by the authority execute such works of improvement in relation to the building as will in the opinion of the authority render the building fit for human habitation, or that it shall not be used for human habitation until the authority on being satisfied that it has been rendered fit for that purpose cancels the undertaking, the authority shall not make any order of demolition of the building.
(3) If no such undertaking as is mentioned in sub-section (2) is given, or if in a case where any such undertaking has been given any work of improvement to which the undertaking relates is not carried out within the specified period or the building is at any time used in contravention of the terms of the undertaking, the competent authority shall forthwith make an order of demolition of the building requiring that the building shall be vacated within a period to be specified in the order not being less than thirty days from the date of the order, and that it shall be demolished within six weeks after the expiration of that period.
Section 8 Procedure to be followed where demolition order has been made.
(1) Where an order for demolition of a building under section 7 has been made the owner of the building or any other person having an interest therein shall demolish that building within the time specified in that behalf by the order; and if the building is not demolished within that time the competent authority shall enter and demolish the building and sell the materials thereof.
(2) Any expenses incurred by the competent authority under sub-section (1), if not satisfied out of the proceeds of sale of materials of the building shall be recoverable from the owner of the building or any other person having an interest therein as arrears of land revenue.
Section 9 Power to declare any slum area to be a clearance area.
(1) Where the competent authority upon a report from any of its officers or other information in its possession is satisfied as respects any slum area that the most satisfactory method of dealing with the conditions in the area is the demolition of all the buildings in the area, the authority shall by an order notified in the Official Gazette declare the area to be a clearance area, that is to say, an area to be cleared of all buildings in accordance with the provisions of this Act:
Provided that any building in the area which is not unfit for human habitation or dangerous or injurious to health may be excluded from the declaration if the authority considers it necessary.
(2) The competent authority shall forthwith transmit to the Administrator a copy of the declaration under this section together with a statement of the number of persons who on a date specified in the statement were occupying buildings comprised in the clearance area.
Section 10 Slum clearance order.
(1) As soon as may be after the competent authority has declared any slum area to be a clearance area, it shall make a slum clearance order in relation to that area ordering the demolition of each of the buildings specified therein and requiring each such building to be vacated within such time as may be specified in the order and submit the order to the Administrator for confirmation.
(2) The Administrator may either confirm the order in to or subject to such variations as he considers necessary or reject the order.
(3) If the Administrator confirms the order, the order shall become operative from the date of such confirmation.
(4) When a slum clearance order has become operative, the owners of buildings to which the order applies shall demolish the buildings before the expiration of six weeks from the date on which the buildings are required by the order to be vacated or before the expiration of such longer period as in the circumstances of the case the competent authority may deem reasonable.
(5) If the buildings are not demolished before the expiration of the period mentioned in sub-section (4) the competent authority shall enter and demolish the buildings and sell the materials thereof.
(6) Any expenses incurred by the competent authority in demolishing any building shall, if not satisfied out of the proceeds of sale of materials thereof, be recoverable by the competent authority as arrears of land revenue.
7 (7) Subject to the provisions of this Act, where a slum clearance order has become operative, the owner of the land to which the order applies may re-develop the land in accordance with plans approved by the competent authority and subject to such restrictions and conditions (including a condition with regard to the time within which the re-development shall be completed), if any, as that authority may think fit to impose:
Provided that an owner who is aggrieved by a restriction or condition so imposed on the user of his land or by a subsequent refusal of the competent authority to cancel or modify any such restriction or condition may, within such time as may be prescribed, appeal to the Administrator and the Administrator shall make such order in the matter as he thinks proper and his decision shall be final.
(8) No person shall commence or cause to be commenced any work in contravention of a plan approved or a restriction or condition imposed under sub-section (7).
7. Subs. by Act 43 of 1964, s. 6, for sub-section (7) (w.e.f. 27-2-1965).
Section 11 Power of competent authority to re-develop clearance area.
8 (1) Notwithstanding anything contained in sub-section (7) of section 10, the competent authority may at any time after the land has been cleared of the buildings in accordance with a slum clearance order but before the work of re-development of that land has been commenced by the owner, by order, determine to re-develop the land if that authority is satisfied that it is necessary in the public interest to do so.
(2) Where land has been cleared of the buildings in accordance with a slum clearance order, the competent authority, if it is satisfied that the land has been, or is being, re-developed by the owner thereof in contravention of plans approved by the authority or any restrictions or conditions imposed under sub-section (7) of section 10 or has not been re-developed within the time, if any, specified under such conditions, may, by order, determine to re-develop the land:
Provided that before passing such order, the owner shall be given a reasonable opportunity to show cause why the order should not be passed.
8. Subs. by s. 7, ibid., for section 11 (w.e.f. 27-2-1965).
Section 12 Power of Central Government to acquire land.
(1) Where on any representation from the competent authority it appears to the Central Government that, in order to enable the authority to execute any work of improvement in relation to any building in a slum area or to re-develop any clearance area, it is necessary that land within, adjoining or surrounded by any such area should be acquired, the Central Government may acquire the land by publishing in the Official Gazette a notice to the effect that the Central Government has decided to acquire the land in pursuance of this section:
Provided that, before publishing such notice, the Central Government may call upon the owner of, or any other person who, in the opinion of the Central Government, may be interested in, such land to show cause why it should not be acquired; and after considering the cause, if any, shown by the owner or any other person interested in the land, the Central Government may pass such order as it deems fit.
(2) When a notice as aforesaid is published in the Official Gazette, the land shall, on and from the date on which the notice is so published, vest absolutely in the Central Government free from all encumbrances.
Section 13 Land acquired by Central Government to be made available to the competent authority.
Where any land in a slum area or clearance area has been acquired under this Act the Central Government shall make the land available to the competent authority for the purpose of executing any work of improvement or carrying out any order of demolition or for the purpose of re-development:
9 Provided that where on any representation from the competent authority, the Central Government is satisfied that any such land or any portion thereof is unsuitable for the purposes mentioned in this section, the Central Government may use the land or allow it to be used for such other public purpose or purposes as it may deem fit.
9. Added by Act 43 of 1964, s. 8 (w.e.f. 27-2-1965).
Section 14 Right to receive compensation.
Every person having any interest in any land acquired under this Act shall be entitled to receive from the Central Government compensation as provided hereafter in this Act.
Section 15 Basis for determination of compensation.
(1) The amount payable as compensation in respect of any land acquired under this Act shall be an amount equal to sixty times the net average monthly income actually derived from such land during the period of five consecutive years immediately preceding the date of publication of the notice referred to in section 12.
(2) The net average monthly income referred to in sub-section (1) shall be calculated in the manner and in accordance with the principles set out in the Schedule.
(3) The competent authority shall, after holding an inquiry in the prescribed manner, determine in accordance with the provisions of sub-section (2) the net average monthly income actually derived from the land and publish a notice in the Official Gazette specifying the amount so determined and calling upon the owner of the land and every person interested therein to intimate to it before a date specified in the notice whether such owner or person agrees to the amount so determined and if he does not so agree, what amount he claims to be the net average monthly income actually derived from the land.
(4) Any person who does not agree to the amount of the net average monthly income determined by the competent authority under sub-section (3) and claims a sum in excess of that amount may prefer an appeal to the Administrator within thirty days from the date specified in the notice referred to in that sub-section.
(5) On appeal the Administrator shall, after hearing the appellant, determine the, net average monthly income and his determination shall be final and shall not be questioned in any court of law.
(6) Where there is any building on the land in respect of which the net average monthly income has been determined, no separate compensation shall be paid in respect of such building:
Provided that where the owner of the land and the owner of the building on such land are different, the competent authority shall apportion the amount of compensation between the owner of the land and the owner of the building 10 in the same proportion as the market price of the land bears to the market price of the building on the date of the acquisition.
10. Subs. by Act 43 of 1964, s. 9, for “in such proportion as he considers reasonable” (w.e.f. 27-2-1965).
Section 16 Apportionment of compensation.
(1) Where several persons claim to be interested in the amount of compensation determined under section 15, the competent authority shall determine the persons who in its opinion are entitled to receive compensation and the amount payable to each of them.
(2) If any dispute arises as to the apportionment of compensation or any part thereof, or as to the persons to whom the same or any part thereof is payable, the competent authority may refer the dispute to the decision of the Administrator; and the Administrator in deciding any such dispute shall follow, as far as may be, the provisions of Part III of the Land Acquisition Act, 1894 (1 of 1894).
Section 17 Payment of compensation or deposit of the same in court.
(1) After the amount of compensation has been determined, the competent authority shall on behalf of the Central Government tender payment of, and pay, the compensation to the persons entitled thereto.
(2) If the persons entitled to compensation do not consent to receive it, or if there be any dispute as to the title to receive compensation or as to the apportionment of it, the competent authority shall deposit the amount of the compensation in the court of the District Judge and that court shall deal with the amount so deposited in the manner laid down in sections 32 and 33 of the Land Acquisition Act, 1894 (1 of 1894).
Section 18 Powers of competent authority in relation to determination of compensation, etc.
(1) The competent authority may, for the purposes of determining the amount of compensation or apportionment thereof, require, by order, any person to furnish such information in his possession as may be specified in the order.
(2) The competent authority shall, while holding inquiry under section 15, have all the powers of a civil court while trying a suit under the Code of Civil Procedure, 1908 (5 of 1908), in respect of the following matters, namely:―
(a) summoning and enforcing the attendance of any person and examining him on oath;
(b) requiring the discovery and production of any document;
(c) reception of evidence on affidavits;
(d) requisitioning any public record from any court or office;
(e) issuing commissions for examination of witnesses.
Section 19 Proceedings for eviction of tenants not to be taken without permission of the competent authority.
11 (1) Notwithstanding anything contained in any other law for the time being in force, no person shall, except with the previous permission in writing of the competent authority,―
(a) institute, after the commencement of the Slum Areas (Improvement and Clearance) Amendment Act, 1964, any suit or proceeding for obtaining any decree or order for the eviction of a tenant from any building or land in a slum area; or
(b) where any decree or order is obtained in any suit or proceeding instituted before such commencement for the eviction of a tenant from any building or land in such area, execute such decree or order.
(2) Every person desiring to obtain the permission referred to in sub-section (1) shall make an application in writing to the competent authority in such form and containing such particulars as may be prescribed.
(3) On receipt of such application, the competent authority, after giving an opportunity to the parties of being heard and after making such summary inquiry into the circumstances of the case as it thinks fit, shall by order in writing, either grant or refuse to grant such permission.
(4) In granting or refusing to grant the permission under sub-section (3), the competent authority shall take into account the following factors, namely:―
(a) whether alternative accommodation within the means of the tenant would be available to him if he were evicted;
(b) whether the eviction is in the interest of improvement and clearance of the slum areas;
(c) such other factors, if any, as may be prescribed.
(5) Where the competent authority refuses to grant the permission, it shall record a brief statement of the reasons for such refusal and furnish a copy thereof to the applicant.
11. Subs. by s. 10, ibid., for section 19 (w.e.f. 27-2-1965).