(1) The municipality shall refuse to sanction the erection or reerection of any building in contravention of any bye-law made under subsection (1) of section 204 or in contravention of any scheme sanctioned under sub-section (3) or sub-section (4) of section 205, unless it be necessary to sanction the erection of a building in contravention of such scheme owing to the municipality’s inability to pay compensation as required by section 186 for the setting back of a building.
(2) When the erection or re-erection of a building is likely in the opinion of the municipality to interfere with the enforcement of a scheme proposed under section 205 the municipality may refuse its sanction, and in such case shall communicate its refusal in writing together with the ground therefor, to the applicant within sixty days of the receipt of his application and the applicant may thereafter by written notice require the municipality to proceed with the preparation of the proposed scheme with all possible speed. The application shall be deemed to have been sanctioned if an order of refusal is not passed by the municipality, within the time specified above, or if the proposed scheme has not received the sanction of the Government within twelve months of the date of delivery of applicant’s written notice hereinbefore referred to :
Provided that should a resolution refusing such sanction be suspended under section 264, the period prescribed above shall commence to run afresh from the date of communication of final orders by the Government under its sub-section (2).
Explanation.–– A scheme shall be deemed to have been proposed under this section if a requisition for its preparation has been received by the municipality from the Deputy Commissioner or if the preparation of the scheme is under the consideration of the municipality.
(3) The municipality may refuse to sanction the erection or re-erection of any building for any other reason, to be communicated in writing to the applicant which it deems to be just and sufficient as affecting such building, or if on the land, which it is proposed to erect or re-erect such building is vested in the Government or in the municipality, and the consent of the Government or as the case may be, of the municipality has not been obtained, or if the title to the land is in dispute between such person and the municipality or the Government.
(4) Subject to the provisions of sub-section (1) the municipality may sanction the erection or re-erection of any building either absolutely or subject to such modifications in accordance with the bye-laws and rules as it may deem fit.
(5) Notwithstanding anything contained in sub-section (1) or subsection (3) but subject to the provisions of sub-section (2) of section 204 and sub-section (2) of this section if the municipality neglects or omits within sixty days of the receipt from any person of a valid notice of such person’s intention to erect or re-erect a building, or within one hundred twenty days, if the notice relates to a building on the same or part of the same site, on which sanction for the erection of a building has been refused within the previous twelve months to pass orders sanctioning or refusing to sanction such erection or re-erection, such erection or re-erection shall, unless the land on which it is proposed to erect or re-erect such buildings vests in the municipality, be deemed to have been sanctioned, except in so far as it may contravene any bye-law, or any building or town planning scheme sanctioned under section 205 :
Provided that should a resolution conveying or refusing such sanction be suspended under section 264 the period prescribed under this sub-section shall commence to run afresh from the date of communication of final orders by the Director or the Deputy Commissioner under section 267 :
Provided further that if not less than one-fifth of the members present vote against a resolution conveying sanction, the sanction shall be deemed not to have been conveyed until after the lapse of fourteen days from the passing of the resolution.
(2) When the erection or re-erection of a building is likely in the opinion of the municipality to interfere with the enforcement of a scheme proposed under section 205 the municipality may refuse its sanction, and in such case shall communicate its refusal in writing together with the ground therefor, to the applicant within sixty days of the receipt of his application and the applicant may thereafter by written notice require the municipality to proceed with the preparation of the proposed scheme with all possible speed. The application shall be deemed to have been sanctioned if an order of refusal is not passed by the municipality, within the time specified above, or if the proposed scheme has not received the sanction of the Government within twelve months of the date of delivery of applicant’s written notice hereinbefore referred to :
Provided that should a resolution refusing such sanction be suspended under section 264, the period prescribed above shall commence to run afresh from the date of communication of final orders by the Government under its sub-section (2).
Explanation.–– A scheme shall be deemed to have been proposed under this section if a requisition for its preparation has been received by the municipality from the Deputy Commissioner or if the preparation of the scheme is under the consideration of the municipality.
(3) The municipality may refuse to sanction the erection or re-erection of any building for any other reason, to be communicated in writing to the applicant which it deems to be just and sufficient as affecting such building, or if on the land, which it is proposed to erect or re-erect such building is vested in the Government or in the municipality, and the consent of the Government or as the case may be, of the municipality has not been obtained, or if the title to the land is in dispute between such person and the municipality or the Government.
(4) Subject to the provisions of sub-section (1) the municipality may sanction the erection or re-erection of any building either absolutely or subject to such modifications in accordance with the bye-laws and rules as it may deem fit.
(5) Notwithstanding anything contained in sub-section (1) or subsection (3) but subject to the provisions of sub-section (2) of section 204 and sub-section (2) of this section if the municipality neglects or omits within sixty days of the receipt from any person of a valid notice of such person’s intention to erect or re-erect a building, or within one hundred twenty days, if the notice relates to a building on the same or part of the same site, on which sanction for the erection of a building has been refused within the previous twelve months to pass orders sanctioning or refusing to sanction such erection or re-erection, such erection or re-erection shall, unless the land on which it is proposed to erect or re-erect such buildings vests in the municipality, be deemed to have been sanctioned, except in so far as it may contravene any bye-law, or any building or town planning scheme sanctioned under section 205 :
Provided that should a resolution conveying or refusing such sanction be suspended under section 264 the period prescribed under this sub-section shall commence to run afresh from the date of communication of final orders by the Director or the Deputy Commissioner under section 267 :
Provided further that if not less than one-fifth of the members present vote against a resolution conveying sanction, the sanction shall be deemed not to have been conveyed until after the lapse of fourteen days from the passing of the resolution.
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More sections of this act
Section 1 · Short title, extent and commencement.Section 2 · Definitions.Section 2A · Substitution of expression.Section 3 · Classification of municipalities.Section 4 · Procedure for declaring muni-cipal area.Section 5 · Notification of intention to include a local area in a municipal area.Section 6 · Notification of intention to exclude local area from a municipal area.Section 7 · Exclusion of local area from a municipal area.India Code, Government of India. Text fetched 13 Oct 2026. Check the linked official text and subsequent notifications when applying a provision.