3. Definition of cantonments.—(1) The Central Government may, by notification in the Official
Gazette, declare any place or places along with boundaries in which any part of the Forces is quartered or
which, being in the vicinity of any such place or places, is or are required for the service of such forces to
be a cantonment for the purposes of this Act and of all other enactments for the time being in force, and
may, by a like notification, declare that any cantonment shall cease to be a cantonment.
(2) The Central Government may, by a like notification, define the limits of any cantonment for the
aforesaid purposes.
(3) When any place is declared a cantonment under sub-section (1), the Central Government shall
constitute a Board within a period of one year in accordance with the provisions of this Act:
Provided that the Central Government may, for the reasons to be recorded in writing, extend the said
period of one year for a further period of six months at a time:
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Provided further that the Central Government may, until a Board is constituted, by order make
necessary provisions for the efficient administration of the cantonment.
(4) The Central Government may, by notification in the Official Gazette, direct that in any place
declared a cantonment under sub-section (1) the provisions of any enactment relating to local
self-government other than this Act shall have effect only to such extent or subject to such modifications,
or that any authority constituted under any such enactment shall exercise authority only to such extent, as
may be specified in the notification.
4. Alteration of limits of cantonments.—(1) The Central Government may after consulting the State
Government and the Board concerned, by notification in the Official Gazette, declare its intention to
include within the cantonment any local area situated in the vicinity thereof or to exclude from the
cantonment any local area comprised therein.
(2) Any inhabitant of a cantonment or local area in respect of which notification has been published
under sub-section (1) may, within eight weeks from the date of notification, submit in writing to the
Central Government through the General Officer Commanding-in-Chief, the Command, an objection to
the notification, and the Central Government shall take such objection into consideration.
(3) On the expiry of eight weeks from the date of the notification, the Central Government may after
considering the objections, if any, which have been submitted under sub-section (2), by notification in the
Official Gazette, include the local area in respect of which the notification was published under
sub-section (1), or any part thereof, in the cantonment or, as the case may be, exclude such area or any
part thereof from the cantonment.
5. The effect of including area in cantonment.—When, by a notification under section 4, any local
area is included in a cantonment, such area shall there upon become subject to this Act and to all other
enactments for the time being in force throughout the cantonment and to all notifications, rules,
regulations, bye-laws, orders and directions issued or made thereunder.
6. Disposal of cantonment fund and cantonment development fund when area ceases to be a
cantonment.—(1) When, by a notification under section 3, any cantonment ceases to be a cantonment
and the local area comprised therein is immediately placed under the control of a local authority, the
balance of the cantonment fund or the cantonment development fund and other property vesting in the
Board shall vest in such local authority, and the liabilities of the Board shall be transferred to such local
authority.
(2) When, in like manner, any cantonment ceases to be a cantonment and the local area comprised
therein is not immediately placed under the control of a local authority, the balance of the cantonment
fund or the cantonment development fund and other property vesting in the Board shall vest in the Central
Government, and the liabilities of the Board shall be transferred to that Government.
7. Disposal of cantonment fund and cantonment development fund when area ceases to be
included in a cantonment.—(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.
8. Application of funds and property transferred under sections 6 and 7.—Any cantonment fund
or a cantonment development fund or a portion thereof or other property of a Board vesting in the Central
Government under the provisions of section 6 or section 7 shall be applied in the first place to satisfy any
liabilities of the Board transferred under such provisions to that Government, and in the second place for
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the benefit of the inhabitants of the local area which has ceased to be a cantonment or, as the case may be,
part of a cantonment.
9. Limitation of operation of Act.—The Central Government may, by notification in the Official
Gazette, exclude from the operation of any part of this Act the whole or any part of a cantonment, or
direct that any provision of this Act shall, in the case of any cantonment—
(a) situated within the limits of a metropolitan area; or
(b) in which the Board is superseded under section 60, apply with such modification as may be
so specified.