Section 7
Disposal of cantonment fund and cantonment development fund when area ceases to be included in a cantonment.
About this Act
An Act to consolidate and amend the law relating to the administration of cantonments with a view to impart greater democratisation, improvement of their financial base to make provisions for developmental activities and for matters connected therewith or incidental thereto.
(1) When, by a notification under section 4, any local area forming part of a
cantonment ceases to be under the control of a particular Board and is immediately placed under the
control of some other local authority, such portion of the cantonment fund or the cantonment development
fund and other property vesting in the Board and such portion of the liabilities of the Board, as the Central
Government may, by general or special order, direct, shall be transferred to that other local authority.
(2)When, in like manner, any local area forming part of a cantonment ceases to be under the control of a particular Board and is not immediately placed under the control of some other local authority; such portion of the cantonment fund or the cantonment development fund and other property vesting in the Board shall vest in the Central Government, and such portion of the liabilities of the Board shall be transferred to that Government, as the Central Government may, by general or special order, direct.
(2)When, in like manner, any local area forming part of a cantonment ceases to be under the control of a particular Board and is not immediately placed under the control of some other local authority; such portion of the cantonment fund or the cantonment development fund and other property vesting in the Board shall vest in the Central Government, and such portion of the liabilities of the Board shall be transferred to that Government, as the Central Government may, by general or special order, direct.