(1) It shall be the duty of the Government to ensure that there is no encroachment or construction of an illegal structure on Government land, and it shall, for this purpose, by order authorize the officers by designation for each urban area, who shall report in writing such encroachment or violation to the Competent Authority to evict such encroachers or to demolish such illegal structure or to take such action as necessary :
Provided that if such encroachment is not removed within a period of 20 years of the report from the Authorized Officer, every slum dweller, [who is permanent resident of the State], shall be entitled to rights over such land in the same measure as provided under section 3 of this Act.
Explanation :––For the purpose of this section, Competent Authority means the authority which exercises power of eviction and demolition over land on which such encroachment or construction of illegal structure has been reported.
(2) If the Authorized Officer fails to inform the Competent Authority about the encroachment or illegal construction as the case may be or if the Competent Authority knowingly omits to take action against such encroachment or illegal construction therein, or a police officer responsible to provide assistance for removal of such encroachment or demolition of such illegal structure does not provide adequate protection and support, he shall be punished with a simple imprisonment which may extend to three years or with fine which may extend to fifty thousand rupees or with both.
(3) The Authorized Officer shall inform and file a monthly report of all cases of encroachment or construction of illegal structure along with the corrective measure taken to the City/District Slum Area Redevelopment Committee.
(4) Any person who encroaches upon the Government land or constructs an illegal structure or abets the encroachment or construction of illegal structure thereon shall be punished with imprisonment which shall not be less than three years or fine a five which shall not be less than one lac rupees or with both.