[(1) No contract shall be entered into for the purchase of materials/goods or for the execution of work without the prior administrative financial sanction/approval of the following authorities:-] (A) In case of Municipal Corporation [(1)] Expenditure upto Rs. 25.00 Lacs Additional Commissioner or Deputy Commissioner
(2) Expenditure upto Rs. 100.000 Lacs Chief Executive Officer
(3) Expenditure upto Rs. 200.000 Lacs Mayor
(4) Expenditure upto Rs. 500.000 Lacs Finance Committee
(5) Full powers upto Budget Provision Corporation (B) In case of Municipal Council
(1) Expenditure upto Rs. 2.00 Lacs Commissioner
(2) Expenditure upto Rs. 50.00 Lacs President
(3) Expenditure upto Rs. 100.00 Lacs Finance Committee
(4) Full powers upto Budget Provision Council (C) In case of Municipal Board
(1) Expenditure upto Rs. 1.00 Lacs Executive Commissioner
(2) Expenditure upto Rs. 25.00 Lacs Chairman
(3) Expenditure upto Rs. 50.00 Lacs Finance Committee
(4) Full powers upto Budget Provision Board
Provided that the authorities specified under clause (A) and (B) above, shall exercise the powers subject to the provisions of Section 81 of the Act and if amount, exceeds at any time by more than twenty percent plus the actual income and expenditure of the previous year, then, -
(i) the authorities specified under clause (A) and (B) shall obtain previous approval of the State Government.
(ii) the authorities specified under clause (C) shall obtain previous approval of the Deputy Director (Regional).
(2) Every contract entered into by or on behalf of a board shall be in writing and shall be signed by the Chairman and Executive Officer and shall be scaled with common seal of the Board:
Provided that when an officer, committee or authority is appointed under section 293 or an administrator is appointed under sub-section (1) of section 293-A or person are appointed under sub-clause (ii) of clause (c) of sub-section (4) or clause (b) of sub-section (5) of section 295 in relation to a board by the State Government, it shall be sufficient for every contract entered into by or on behalf of the Board during the period of such appointment, if it is signed by such Officer, Committee or authority or the administrator or person or persons, as the case may be, and the Executive Officer.
(3) Where the contract is to be entered into after obtaining sanction of competent authority, it shall be specified in the agreement that prior sanction of the Competent authority in respect of the contents of the agreement has been obtained and a copy of such approval or sanction shall form part of the Contract.
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16. No contract shall be binding unless the requirements of these rules and the Act are complied with.