RENT RESTRICTION



RENT RESTRICTION
AN ACT TO AMEND AND CONSOLIDATE THE LAW RELATING TO RENT RESTRICTION.
Act Nos,
20 of 1948
6 of 1953
[1st January
, 1949
]
Short title.

1. This Act may be cited as the Rent Restriction Act.

Operation and application of Act.

2.

(1) This Act shall be in operation-

(a) in every area in which the Rent Restriction Ordinance, No. 60 of 1942, was, by virtue of any Proclamation under section 2 of that Ordinance, in force immediately prior to the 1st day of January, 1949 ; and

(b) in every other area for the time being declared by the Minister, by Notification published in the Gazette, to be an area in which this Act shall be in operation.

(2) The Minister shall, in every Notification under subsection (1), appoint the date on which the Notification shall take effect.

(3) The Minister may, by Order published in the Gazette, declare that this Act shall, with effect from such date as may be specified therein, cease to be in operation in any area, or in any part of any area, in which the Act has been in operation.

(4) So long as this Act is in operation in any area, the provisions of this Act shall apply to all premises in that area, not being excepted premises ; and the expression ” premises to which this Act applies” shall be construed accordingly.

(5) The regulations in the Schedule shall have effect for the purpose of determining the premises which shall be excepted premises for the purposes of this Act, and may be amended from time to time by regulation made under section 24.

(6) In this Act, the expression ” appointed date ” in relation to any premises situated in any area mentioned in subsection (1) (a) of this section, means the 1st day of January, 1949, and, in relation to any premises situated in any other area, means the date specified in the Notification under this section by virtue of which this Act is in operation in that area.

Restriction on increase of rent.

3.

(1) It shall not be lawful for the landlord of any premises to which this Act applies-

(a) to demand, receive or recover as the rent of such premises, in respect of any period commencing on or after the appointed date, any amount in excess of the authorized rent of such premises as defined for the purposes of this Act in section 4 ; or

(b) to increase the rent of such premises in respect of any such period to an amount in excess of such authorized rent.

(2) It shall not be lawful for the tenant of any premises to which this Act applies to pay or offer to pay, as the rent of such premises, any amount in excess of the authorized rent of such premises as defined for the purposes of this Act in section 4.

(3) Any transfer to a tenant of any burden or liability previously borne by the landlord shall, for the purposes of this Act, be treated as an alteration of rent, and where, as the result of such transfer, the terms on which any premises are held are on the whole less favourable to the tenant than the previous terms, the rent shall be deemed to be increased, whether or not the sum periodically payable by way of rent is increased ; and any increase of rent in respect of any transfer to a landlord of any burden or liability previously borne by the tenant where, as the result of such transfer, the terms on which any premises are held are on the whole not less favourable to the tenant than the previous terms, shall be deemed not to be an increase of rent for the purposes of this Act:

Provided that, for the purposes of this section, the rent shall not be deemed to be increased where the liability for rates is transferred from the landlord to the tenant, if a corresponding reduction is made in the rent.

Authorized rent.

4. For the purposes of this Act, the authorized rent of any premises shall be the standard rent of the premises determined under section. 5, or where any increase of rent is permitted by section 6 in the case of such premises, the aggregate of the standard rent and every such permitted increase.

Standard rent.

5.

(1) In the case of any premises the annual value of which was or is assessed for the purposes, of any rates levied by any local authority under any written law, the standard rent per annum of the premises means –

(a) the amount of the annual value of such premises as specified in the assessment in force under such written law during the month of November, 1941, or if the assessment of the annual value of such premises is made for the first time after that month, the amount of such annual value as specified in such first assessment; or

(b) if the rates so levied are, under the terms of the tenancy, payable by the landlord, the aggregate of the amount determined under paragraph (a) and of the amount payable per annum by way of such rates in respect of such premises for the year 1941, or, as the case may be, for the year in which such first assessment is made,

and the standard rent of the premises per month or per quarter or per half-year shall be determined in proportion :

Provided, however, that in the case of any such premises let at a progressive rent payable under the terms of a lease executed prior to the 1st day of November, 1941, the standard rent of the premises in respect of any period shall be the rent payable in respect of that period under the terms of the lease ;

Provided, further, that in the case of any such premises which are first assessed or first separately assessed after the appointed date, the board may, on the application of the tenant, fix as the standard rent of the premises such amount as may in the opinion of the board be fair and reasonable.

(2) In the case of any premises to which the provisions of subsection (1) do not apply, the standard rent of the premises means –

(a) the rent at which the premises were let on the 1st day of November, 1941; or

(b) where the premises were not let on that day, but had been let previously, the rent at which the premises were last let before that day, or such other rent as may be fixed by the board on the application either of the landlord or of the tenant; or

(c) where the premises, not having been previously let, are let on or after that day, such rent as may be fixed by agreement between the landlord and the tenant, or whether or not there has been any such agreement, by the board on the application either of the landlord or of the tenant for the time being:

Provided that in the case of any premises let at a progressive rent payable under the terms of a lease executed prior to the 1st day of November, 1941, the standard rent of the premises in respect of any period shall be the rent payable in respect of that period under the terms of the lease ;

Provided, further, that where any premises, which were let fully furnished at the date by reference to which the standard rent of the premises is determined for the purposes of this Act, are let unfurnished or not fully furnished at any time after the appointed date, the board may, on the application of the tenant, reduce the amount of the standard rent to such amount as the board may consider reasonable, having regard to all the circumstances of the case.

Permitted increases.

6.

(1) Any increase of the rent of any premises in accordance with the provisions of any of the following paragraphs shall be a permitted increase for the purposes of this Act : –

(a) The standard rent of any premises may be increased by an amount not exceeding ten per centum of such rent.

(b) Where the landlord of any premises has, since the date by reference to which the standard rent of the premises is determined for the purposes of this Act, incurred, or hereafter incurs, expenditure on the improvement or structural alteration of the premises (not including expenditure on decoration or repairs), the standard rent per annum, may be increased by an amount calculated at a rate not exceeding six per centum of the amount so expended:

Provided, however, that the board may, on the application of the tenant of such premises, direct that the standard rent shall not be increased as herein before provided, or reduce the amount by which the standard rent may be so increased, on any of the following grounds, that is to say : –

(i) that such expenditure was excessive having regard to the nature and extent of the improvements or alterations effected or that the rental value of the premises has not been enhanced by such improvements or alterations ; or

(ii) that, in the case of expenditure incurred after the appointed date, it was incurred without the prior consent of the tenant for the time being, or without the prior approval of the board granted on the board being satisfied that the consent of the tenant was unreasonably withheld.

(c) Where the rates levied under any written law in respect of any premises are, under the terms of the tenancy, payable by the landlord, and the actual amount for the time being payable per annum by way of such rates is in excess of the amount so paid for the year which included the date by reference to which the standard rent of the premises is determined for the purposes of this Act, the standard rent per annum may be increased by an amount not exceeding the amount of such excess.

(d) Where repairs have been or are at any time executed to any premises at the written request of the tenant, and the amount of the expenditure incurred on such repairs exceeds one-twelfth of the standard rent per annum of the premises, the standard rent per annum may be increased, in respect of the period of one year commencing on the first day of the month succeeding that in which the repairs were or are completed, by an amount equal to one-half of such excess :

Provided, however, that on the application of the tenant, the board may, if satisfied that the amount of the expenditure stated by the landlord to have been incurred was excessive, having regard to the nature and extent of the repairs executed, direct that the standard rent shall not be increased as herein before provided or reduce the amount by which the standard rent may be so increased.

(e) Where any premises-

(i) the standard rent of which is ascertained under section 5 (1), or

(ii) which were let unfurnished at the date by reference to which the standard rent thereof is determined under section 5 (2),

are let fully furnished at any time after the appointed date, the standard rent per annum may be increased by an amount equal to twenty-five per centum of such standard rent:

Provided, however, that on the application of the tenant, the board may, if it considers it expedient so to do, having regard to all the circumstances of the case, reduce the amount by which the standard rent may be increased under the preceding provisions of this paragraph.

(2) Where the rent of any premises is under the terms of the tenancy payable by the month or the quarter or the half-year, the amount of any permitted increase of the standard rent per annum shall be apportioned accordingly.

Special provisions for premises let in separate parts.

7. Where any premises to which, this Act applies are let or occupied in separate parts (whether furnished or unfurnished), which are not separately assessed for the purpose of rates, and the aggregate of the amount demanded or received as the rent for such separate parts exceeds the authorized rent of the premises, the landlord shall be deemed to have contravened the provisions of section 3 of this Act.

Prohibition of excessive advance, premium or other additional payment.

8. No person shall, as a condition of the grant, renewal or continuance of the tenancy of any premises to which this Act applies, demand or receive, or pay or offer to pay –

(a) as an advance of rent, any amount exceeding the authorized rent for a period of three months; or

(b) in addition to the rent of such premises, any premium, commission, gratuity or other like payment or pecuniary consideration whatsoever.

Restriction as to subletting of premises.

9.

(1) Notwithstanding anything in any other law, but subject to any provision to the contrary in any written contract or agreement, the tenant of any premises to which this Act applies shall not, without the prior consent in writing of the landlord, sublet the premises or any part thereof to any other person.

(2) Where any premises or any part thereof is sublet in contravention of the provisions of subsection (1), the landlord shall, notwithstanding the provisions of section 13, be entitled in an action instituted in a court of competent jurisdiction to a decree for the ejectment from the premises of his tenant and of the person or each of the persons to whom the premises or any part thereof has been so sublet.

(3) Nothing in subsection (1) or in subsection (2) shall apply in any case where any premises or part thereof had been sublet prior to the commencement of this Act to any person so long as that person continues to be the subtenant of the premises or part thereof.

(4) Where any premises are sublet by a tenant in whole or in part –

(a) the tenant shall, in relation to the subtenant or each of the subtenants, be deemed for all the purposes of this Act to be the landlord of the premises, and the other provisions of this Act shall apply accordingly ; and

(b) without prejudice to any such other provision, the tenant shall not demand, receive or recover in respect of any part of the premises which is so sublet, any amount exceeding such amount as the board may, on the application of the subtenant, fix as the reasonable proportionate rent of the part so sublet.

Use of residential premises for other purposes.

10. Notwithstanding anything in any other law, but subject to any provision to the contrary in any written contract or agreement, the tenant of any residential premises to which, this Act applies shall not, except with the prior consent of the landlord, use or permit any other person to use, any such premises or part thereof for any purpose other than that of residence.

Provision of amenities, repairs, &c.

11.

(1) “Where the board is satisfied, on application made by the tenant of any premises to which this Act applies, that the landlord –

(a) has without reasonable cause discontinued or withheld any amenities previously provided for the benefit of the tenant, or

(b) has failed to carry out any repairs or redecoration necessary in the opinion of the board to maintain the premises in proper condition,

the board may make order directing the landlord to provide such amenities or to carry out such repairs or redecoration as may be specified in the order ; and it shall be the duty of the landlord to comply with the provisions of such order before such date as may be specified in that behalf in the order.

(2) The board shall in any order under subsection (1) directing the landlord to effect any repairs or redecoration authorize the tenant, in the event of the , landlord failing to comply with the order, to carry out such repairs or redecoration and to incur for the purpose expenditure not exceeding such amount as mar be specified in that behalf in the order ; and where any repairs or redecoration are carried out by the tenant in pursuance of the authority so conferred, the tenant shall be entitled to set off against the rent payable in respect of the premises the expenditure actually incurred by him for the purpose, or the amount specified in that behalf in the order, whichever is the less.

(3) Any repairs or redecoration effected by the landlord or the tenant in compliance with or under the authority of any such order shall be deemed for the purposes of paragraph (d) of section 6 (1) to hare been executed at the written request of the tenant.

Power of board to authorize payment of rent through the board.

12.

(1) The provisions of this section shall apply only to such of the premises to which this Act applies as are situated in any Municipality or in such other area as may be declared by the Minister by notification in the Gazette to be an area in which those provisions shall apply.

(2) In any case where the board, on application made by the tenant of any premises to which this section applies, is of opinion that the landlord has failed or refused to issue proper receipts in acknowledgment of payments made to him by the tenant, or that it is otherwise expedient for the purpose of ensuring that the rent paid or received in respect of the premises does not exceed the authorized rent of such premises, the board may make order authorizing the tenant to pay through the board the rent from time to time due in respect of the premises.

(3) Where an order is made under subsection (2), it shall be lawful for the tenant from time to time to make payment of the rent to the board or to such officer or person as may be specified in that behalf by the board, and a payment so made on any day shall be deemed to be a payment received on that day by the landlord from the tenant.

(4) Where any payment is made to the board or to any officer or person under the preceding provisions of this section, a receipt shall be issued to the tenant by or on behalf of the board in acknowledgment thereof, and the amount of such payment shall as soon as may be transmitted or delivered to the landlord in such manner as may be agreed on between him and the board, or in default of such agreement, in such manner as the board may determine. It shall be the duty of the landlord to issue a receipt to the board in acknowledgment of the amounts so transmitted or delivered to him.

Restriction of right to institute proceedings for ejectment

13.

(1) Notwithstanding anything in any other law, no action or proceedings for the ejectment of the tenant of any premises to which this Act applies shall be instituted in or entertained by any court, unless the board, on the application of the landlord, has in writing authorized the institution of such action or proceedings :

Provided, however, that the authorization of the board shall not be necessary, and no application for such authorization may be entertained by the board, in any case where-

(a) rent has been in arrear for one month after it has become due ; or

(b) the tenant has given notice to quit; or

(c) the premises are, in the opinion of the court, reasonably required for occupation as a residence for the landlord or any member of the family of the landlord, or for, the purposes of the trade, business, profession, vocation or employment of the landlord ; or

(d) the tenant or any person residing or lodging with him or being his subtenant has, in the opinion of the court, been guilty of conduct which is a nuisance to adjoining occupiers, or has been convicted of using the premises for an immoral or illegal purpose, or the condition of the premises has, in the opinion of the court, deteriorated owing to acts committed by or to the neglect or default of the tenant or any such person.

For the purposes of paragraph (c) of the foregoing proviso-

(i) ” member of the family ” of any person means the wife of that person, or any son or daughter of his over eighteen years of age, or any parent, brother or sister dependent on him ;

(ii) any premises of which the landlord is a religious body or association shall be deemed to be required for the purposes of the business of the landlord, if they are, in the opinion of the court, reasonably required for any of the objects or purposes for which the body or association is constituted.

(2) Where a decree for the ejectment of the tenant of any premises to which this Act applies is entered by any court on the ground that the court is of opinion that the premises are reasonably required for occupation as a residence for the landlord or any member of his family or for the purposes of the trade, business, profession, vocation or employment of the landlord, the court shall in such decree direct that no person, other than the landlord or some member of his family whose name shall be specified in the decree, shall enter into occupation of the premises upon vacation thereof by the tenant or upon the ejectment therefrom of the tenant.

(3) Where, in any case to which subsection (2) applies, the landlord or other person whose name is specified in the decree does not enter into occupation of the premises before the expiration of a period of one month after the date of the vacation thereof by the tenant or of his ejectment therefrom, or, having thus entered into occupation of the premises, vacates them without reasonable cause within one year of the entry into such occupation, the tenant (hereinafter referred to as ” the former tenant”) may, at any time within fourteen days after the expiration of the said period of one month, or, as the case may be, at any time within fourteen days after the vacation of the premises by the landlord or the said other person, make application to the court for an order restoring him into possession of the premises. The landlord shall be named respondent to such application.

(4) Notice of any application made by the former tenant under subsection (3) shall be served on the person, if any, for the time being in occupant ion of the premises ; and where notice is so served –

(a) such person may, if he applies in that behalf to the court within fourteen days of the date of service on him of such notice, be added as a party to the proceedings upon the application ; and

(b) such person shall, whether or not he is so added as a party, be bound by any order made under subsection (5).

(5) Where the court is satisfied upon application made by the former tenant under subsection (3) that the landlord or other person whose name is specified in the decree did not enter into occupation of the premises before the expiration of the period of one month after the date of the vacation of the premises by the former tenant or his ejectment therefrom, or, having thus entered into occupation of the premises, has vacated them without reasonable cause within one year of the entry into such occupation, the court may make order for the delivery of possession of the premises to the former tenant, and may, if necessary, by the same or a subsequent order, direct the ejectment from the premises of the landlord or any person claiming by, through or under him :

Provided, however, that where any person has been added as a party to the proceedings under subsection (4), no order shall be made under the preceding provisions of this subsection, if the court is of opinion that the person so added as a party was not aware at or before the time at which he entered into occupation, that a decree had been entered for the ejectment from the premises of the former tenant.

(6) Every order made under subsection (5) and every order dismissing an application made by the former tenant under subsection (3) shall be subject to an appeal to the Supreme Court; and the provisions of the Civil Procedure Code shall apply in relation to any such appeal in like manner as though it were an appeal preferred against an order made by the court in the exercise of its ordinary-jurisdiction.

(7) An order made under subsection (5) may be enforced in like manner as an order or decree falling under Head (C) of section 217 of the Civil Procedure Code.

(8) In subsections (3) to (7), “court” means the court in which the action for the ejectment of the former tenant was instituted.

Continuance of original contract of tenancy.

14. Where an action for the ejectment of any person from any premises occupied by him as a tenant is dismissed by any court by reason of the provisions of this Act, his occupation of those premises for any period prior or subsequent to the dismissal of such action shall, without prejudice to the provisions of this Act, be deemed to have been or to be under the original contract of tenancy.

Recovery of payments in excess of authorized rent.

15. Where any tenant of any premises to which this Act applies has paid by way of rent to the landlord, in respect of any period commencing on or after the appointed date, any amount in excess of the authorized rent of those premises, such tenant shall be entitled to recover the excess amount from the landlord, and may, without prejudice to any other method1 of recovery, deduct such excess amount from the rent payable by him to the landlord.

Statement as to standard rent, receipt, &c.

16.

(1) The landlord of any premises to which this Act applies shall, on being requested in writing so to do by the tenant of the premises, supply the tenant with a statement in writing setting out the standard rent of the premises and the amount of any increase of rent which is claimed by the landlord to be a permitted increase.

(2) It shall be the duty of the landlord of any premises to which this Act applies to issue to the tenant a receipt in acknowledgment of every payment made to him by way of rent or advance, whether or not such receipt is demanded by the tenant.

Information to be furnished to board.

17. It shall be the duty of the landlord or the tenant of any premises to which this Act applies, if required so to do by the board by written notice in that behalf, to furnish to the board such information in his possession as the board may consider necessary relating to the rent of such premises, or to any contract or agreement relating to the letting or hiring thereof, or to the names and descriptions of the persons in occupation thereof, or to any other matter connected with or relevant or incidental to any matter herein before specified.

Continuance of tenancy upon death of tenant.

18.

(1) Notwithstanding anything in any other law, but subject to any provision to the contrary in any written contract or agreement, the succeeding provisions of this section shall have effect in the event of the death of the tenant of any residential premises to which this Act applies.

(2) Any person who –

(a) is the surviving spouse or the child, parent, brother or sister of the deceased tenant of the premises, or was a dependant of the deceased tenant of the premises immediately prior to his death; and

(b) was a member of the household of the deceased tenant (whether in those premises or in any other premises) during the whole of the period of three months preceding his death,

shall be entitled to give written notice to the landlord, before the tenth day of the month succeeding that in which the death occurred, to the effect that he proposes to continue in occupation of the premises as tenant thereof ; and upon such written notice being given, such person shall, subject to any order of the board as hereinafter provided, be deemed for the purposes of this Act to be the tenant of the premises with effect from the first day of such succeeding month, and the provisions of this Act shall apply accordingly.

(3) The landlord of the premises in relation to which any written notice is given under subsection (2) by, any person may make application to the board for an order declaring that such person shall not be deemed as provided in that subsection to be the tenant of the premises; and the board may make order accordingly if satisfied that such person is not entitled to give the notice for which provision is made by that subsection.

(4) In the event of written notice being given under subsection (2) by more than one person, the board may in its discretion, upon application made either by the landlord or by any such person, make order declaring which, if any, of such persons shall be the person who shall for the purposes of this Act be deemed to be the tenant of the premises.

Constitution of Rent Control Board

19.

(1) There shall be for each area in which this Act is in operation a Rent Control Board constituted in manner hereinafter provided.

(2) The board for any Municipality or town within the meaning of the Urban Councils Ordinance or the Town Councils Ordinance shall consist of –

(a) four persons appointed by the Minister, being persons who are not members of the Municipal Council, or Urban Council or Town Council, as the case may be ; and

(b) the Chief Valuer :

Provided, however, that in the case of the board for the Municipality of Colombo, the Municipal Assessor shall be a member in lieu of the Valuer. The Minister shall nominate one of the members appointed by him to be the chairman of the board.

(3) The board for any area not mentioned in subsection (2) shall consist of-

(a) the Assistant Commissioner of Local Government for the administrative region in which such area is situated, who shall be the chairman of the board ;

(b) three persons appointed by the Minister; and

(c) the Chief Valuer.

(4) Any officer of the department of the Chief Valuer authorized by him for the purpose may represent the Valuer at any meeting of any board and shall be deemed for the purposes of the meeting to be a member of the board.

(5) Any officer of the department of the Municipal Assessor authorized by him for the purpose may represent the Municipal Assessor at any meeting of the board for the Municipality of Colombo and shall be deemed for the purposes of the meeting to be a member of the board.

(6) Every person appointed under this section to be a member of any board shall, unless he earlier vacates the office by resignation or revocation of appointment, hold office for a period of three years commencing on the date of his appointment. Any member vacating office by effluxion of time shall be eligible for reappointment.

Proceedings before the board.

20.

(1) Every application to the board under this Act shall be made in such manner as may be prescribed.

(2) At any meeting of the board three members, one of whom shall be the Chief Valuer or the officer representing him, (or in the case of the Municipality of Colombo the Municipal Assessor or the officer representing him), shall constitute a quorum.

(3) Before making any order upon any application under this Act, the board shall give all interested parties an opportunity of being heard and of producing such evidence, oral or documentary, as may be relevant in the opinion of the board.

(4) The board may examine any witness on oath if it thinks fit so to do, and may summon any person to appear before it, and may require any person to produce any document, including a document of title, which may be relevant in the opinion of the board.

(5) The board may, in such circumstances and according to such scale or scales as may be prescribed, award costs when disposing of any application made to the board under this Act.

(6) Any sum ordered by the board to be paid as costs by any person may be recovered, on application made to the Magistrate’s Court having jurisdiction in the place where such person is resident, in like manner as a fine imposed by the court, notwithstanding that such sum may exceed the amount of the fine which the court may in its ordinary jurisdiction impose.

(7) All documents, notices or summonses issued under the hand either of the chairman of the board or the secretary thereto if appointed in accordance with regulations made in that behalf, shall be deemed to be issued by the board.

(8) The opinion of the majority of the members of the board present at any meeting shall be deemed to be the decision of the board on any matter. In case of an equality of votes, the chairman shall have a casting vote.

(9) In the absence of the chairman of the board from any meeting of the board, the members present shall elect some other member to be the chairman for that meeting.

(10) The proceedings of the board shall be open to the public, and minutes of such proceedings, including a summary of any oral evidence given before the board, shall be kept by or under the direction of the chairman.

(11) Any interested party may be represented before the board by an advocate or a proctor.

(12) The proceedings of the board shall be deemed to be judicial proceedings within the meaning and for the purposes of Chapter XI of the Penal Code, and the members of the board shall be deemed to be public servants within the meaning of that Code.

(13) Every order made by the board at any meeting shall be reduced to writing and signed by the chairman, and a copy of the order shall be forthwith transmitted by registered post or delivered to the applicant and to the respondent.

(14) Regulations may be made providing generally (but without prejudice to the preceding provisions of this section) for the procedure to be followed in the consideration and decision of applications and other matters arising before the board under this Act.

Board of Review.

21.

(1) There shall be for the purposes of this Act a Board of Review consisting of three persons appointed by the Minister, two at least of whom shall he persons who hold or have held judicial office or are advocates or proctors of not less than ten years’ standing. The Minister shall nominate one of the members so appointed to be the chairman of the Board of Review.

(2) Every member of the Board of Review shall, unless he earlier vacates the office by resignation or revocation of appointment, hold office for a period of two years commencing on the date of his appointment. Any member vacating office by effluxion of time shall be eligible for reappointment. (3) There may be appointed, by name or by office, a secretary to the Board of Review.

(4) Any person who is aggrieved by any order made by any Rent Control Board under this Act may, before the expiry of a period of fourteen days after the date of the receipt by him of a copy of the order, appeal against the order to the Board of Review. For the purposes of this subsection, the copy of an order which is transmitted to any person by registered post shall be deemed to have been received by him on the date on which it is delivered in the ordinary course of post at his address.

(5) Every appeal to the Board of Review shall be heard by the three members of that board, and in the event of the decision of the board not being unanimous, the decision of the majority shall be deemed to be the decision of the board.

(6) At the hearing of any appeal by the Board of Review, the appellant and the respondent shall each be entitled to be heard in person or by an advocate or by a proctor, but, save with the express consent of the board, shall not be entitled to adduce any evidence whether oral or documentary.

(7) In any case where the Board of Review thinks fit so to do, whether of its own motion or on the application of any party to an appeal, the board may examine any witness on oath, and may summon any person to appear before it, and may require any person to produce any document which it considers relevant, including any document of title.

(8) All documents, notices and summonses issued under the hand either of the chairman of the Board of Review or of the secretary to the board shall be deemed to be issued by the board.

(9) The proceedings of the Board of Review shall be deemed to be judicial proceedings within the meaning and for the purposes of Chapter XI of the Penal Code, and the members of the board shall be deemed to be public servants within the meaning of that Code.

(10) The Board of Review may in disposing of any appeal under this section award costs against any party in any amount not exceeding one hundred rupees. The provisions of subsection (6) of section 20 shall apply mutatis mutandis where any costs are awarded under this subsection.

(11) The decision of the Board of Review on any appeal under this section shall be reduced to writing and signed by the members of the board and shall be final and conclusive ; and such decision-

(a) shall, in so far as it annuls or varies the order of the Rent Control Board against which the appeal was preferred, be substituted for and take the place of that order for the purposes of this Act;

(b) shall, in so far as any question of law is deter- mined by any such decision, be binding on and followed by every Rent Control Board.

(12) Regulations may be made –

(a) prescribing the fees to be paid by persons preferring appeals to the Board of Review and the time and mode of the payment of such fees ;

(b) prescribing the form and manner in which such appeals shall be preferred ;

(c) requiring the record of the proceedings before the Rent Control Board to be transmitted to the Board of Review in the event of any appeal; and

(d) providing generally (but without prejudice to the provisions of subsections (5) to (11) ) for the hearing and disposal of appeals and for the procedure to be followed at any such hearing.

Financial provisions.

22.

(1) All expenses incurred in the administration of this Act shall be paid out of moneys provided by Parliament.

(2) Regulations may be made –

(a) prescribing the fees or rates of fees to be paid by persons making applications to any board under this Act, and providing for the recovery of any such fee;

(b) providing for the payment of remuneration and travelling allowances to members of the Board of Review or of any Rent Control Board ;

(c) providing for the payment of travelling expenses to any person who, on being summoned by a board on its own motion, appears before it for the purpose of giving any evidence or producing any document.

Offences and penalties.

23.

(1) Every person who contravenes or fails to comply with any of the provisions of this Act shall be guilty of an offence and shall, on conviction after summary trial before a Magistrate, be liable to a fine not exceeding one thousand rupees or to imprisonment of either description for a term not exceeding six months or to both such fine and such imprisonment.

(2) Where any prosecution against the landlord of any premises for any alleged contravention of the previsions of section 3 or section 8 is instituted by or at the instance of the tenant of such premises, then no prosecution against such tenant for any contravention of those provisions by reason of any payment or offer of payment alleged to have been made by him in respect of those premises, shall be instituted or maintained-

(a) at any time while the proceedings in the prosecution against the landlord are pending ; or

(b) at any time after the proceedings have terminated, if the landlord is, in such proceedings, convicted of the offence with which he was charged.

In this subsection, ” tenant” includes any person seeking to be the tenant of any premises.

Regulations.

24.

(1) The Minister may make all such regulations as may be necessary for the purpose of carrying out or giving effect to the provisions and principles of this Act.

(2) No regulation made under subsection (1) shall have effect until it has been approved by the Senate and the House of Representatives, and until notification of such approval has been published in the Gazette. Every regulation so approved by the Senate and the House of Representatives shall, upon the notification of such approval in the Gazette, be as valid and effectual as if it were herein enacted.

Enforcement of Act by authorized officers.

25.

(1) In this section, “authorized officer” means every officer of the Government or of any local authority who is declared by Order of the Minister to be an authorized officer for the purposes of this Act.

(2) The Minister shall in every declaration made under subsection (1) in relation to any officer specify the area or areas in which such officer may exercise the powers and functions of an authorized officer under this section ; and any area so specified in respect of any such officer is hereinafter referred to as ” the area of his appointment”.

Every Order under subsection (1) shall be published in the Gazette.

(3) It shall be lawful for an authorized officer-

(a) to institute a prosecution in respect of any offence under this Act alleged to have been committed within the area of his appointment;

(b) to make to the board, at the request of the tenant of any premises situated within the area of his appointment, any application authorized by this Act to be made to the board by such tenant;

(c) to make such inquiry as may be necessary in the event of any complaint being made to him of any contravention of this Act alleged to have been committed within the area of his appointment ; and for the purposes of such inquiry, to enter upon any premises at any reasonable time of the day for the purpose of inspecting such premises or of obtaining information with respect to the matter of the complaint ; and

(d) generally to make such inquiries and to take such steps, and, in accordance with regulations made in that behalf, to exercise such powers of inspection or otherwise, as may be necessary to secure compliance with the provisions of this Act.

(4) Every authorized officer shall be deemed to be a public servant within the meaning of the Penal Code.

Owner deemed to be landlord in certain cases.

26.

(1) In any case where the rent of any premises is collected, from the person in actual occupation thereof, by a person who is neither the owner of the premises nor the tenant thereof under a written contract of tenancy executed in his favour, then the person by whom the rent is so collected shall be deemed to be the agent of the tenant under the last of such contracts or, if there be no such contract, to be the agent of the owner of the premises ; and in any such case, for the purposes of this Act, the person in actual occupation of the premises shall be deemed to be the tenant of the premises, and the tenant under the last such contract or, as the case may be, the owner of the premises, shall be deemed to be his landlord.

(2) In subsection (1), “owner”, in relation to any premises, means the person who would be entitled to possession of the premises if they were not let for the time being.

Interpretation.

27. In this Act, unless the context otherwise requires-

” board “, in relation to any premises, means the Rent Control Board established under section 19 for the area in which the premises are situated ;

” business premises ” means any premises other than residential premises as hereinafter defined ;

” landlord “, in relation to any premises, means the person for the time being entitled to receive the rent of such premises and includes any tenant who lets the premises or any part thereof to any subtenant;

” prescribed ” means prescribed by regulation ;

“regulation” means a regulation made under section 24;

” residential premises ” means any premises for the time being occupied wholly or mainly for the purposes of residence.

Savings.

28. Nothing in this Act shall be deemed to authorize any increase of the rent of any premises otherwise than in accordance with the terms of any lawful agreement relating to the tenancy of those premises or with the provisions of any law applicable in that behalf.


Schedules

Chapter 274, Volume No.10, Page No.217.