(1) All land which are deemed to have been placed at the disposal of the Authority under section 90-B of the Rajasthan Land Revenue Act, 1956 (Act No. 15 of 1956) upon resumption or surrender of tenancy rights and interest of khatedars thereof, as the case may be, shall be available for allotment, or regularisation, preferably to the persons having possession over such land or part thereof, as the case may be, on the basis of allotment made or Patta given to them by the Housing Co-operative Society or on the basis of any other document of transfer of land to them either by tenant or any other person claiming through the tenant, whose tenancy rights have been resumed or surrendered, under the said provision on such terms and conditions and subject to payment to the Authority of such charges of premium or both, as the case may be, and at such rates of as may be prescribed by the State Government in this behalf:
Provided that no allotment or regularisation of any land shall be made which-has been duly earmarked for public utilities/services such as park, nursery, civil or military aviation, us stand, transport terminal, railways, public roads, highways, footpath, sewage lines water supply, electricity supply, telephone lines, hospital, school educational institution university, cremation ground, graveyard and such other purposes as the State Government may specify by notification in the official Gazette.
(2) The charges realised under sub-section (1) shall be credited to the Consolidated fund of the State and to the fund of the Authority as may be determined by the State Government.