State Act

The Mumbai Municipal Corporation Act.

67. Exercise of power to be subject to sanction by Corporation of the necessary expenditure.— The exercise by any municipal authority of any power conferred or the performance of any duty imposed by or under this Act, which will involve expenditure shall, except in any case specified in sub-section (2) of section 115 12[or of section 460DD] be subject to the following provisos, namely:— (a) that such expenditure, so far as it is to be incurred in the official year in which such power is exercised or duty performed shall be provided for under a current budget grant, within the meaning of that expression as defined in section 130; 13[* *] (b) that, if the exercise of such power or the performance of such duty involves or is likely to involve expenditure for any period or at any time after the close of the said official year, liability for such expenditure shall not be incurred without the sanction of the corporation; 14[(c) that, where the sanction to the Corporation is sought by the General Manager for any contract for the purposes of Chapter XVIA, the Corporation shall consider and dispose of such proposal within thirty days from the date on which the item is first included in the agenda of any meeting of the Corporation, failing which the sanction shall be deemed to have been given by the Corporation for such contract on the last day of the period of thirty days aforesaid. A report to that effect shall be made by the General Manager to the Corporation.]