(a) Where the lease period does not exceed one year, the lease amount may be permitted to be paid in not exceeding two instalments, to be decided by the Panchayat in respect of every lease:
Provided that the last instalment shall be paid before six months of expiry of the period of lease:
Provided further that in case the lease amount does not exceed Rs.5,000 (Rupees five thousand only), it shall be paid in one lumpsum within five days of execution of lease deed:
21. PANCHAYAT ASSETS 612
Provided also that in the case of lease of usufructs of avenue trees, the lease amount shall be paid in one lumpsum before the execution of lease deed;
(b) Where the lease period exceeds one year, the lease amount may be permitted to be paid in not more than two instalments for every year of lease, the last instalment being payable atleast one year before the period of expiry of the lease period of lease or in the beginning of the lease period, whichever is earlier.
(2) The Panchayat shall take action to terminate the lease in case a Lessee fails to remit the instalment within seven days after the expiry of due date besides initiating action to realise the balance as per the lease deed from the Lessee.
(3) The Panchayat shall fix the amount of the security deposit for each item of lease, so that he may not retreat from the lease after the final bid. This amount shall be retained till the expiry of the lease period as a security against the violation of lease condition. In case where the estimated lease amount exceeds Rs.10,000 (Rupees ten thousand only), the bidder shall be required to produce suitable solvency certificate for an amount to be specified in the auction notice.
(4) Every Successful bidder in an auction shall be required to remit, soon after the bidding is over for an item, and before starting the bid for the next item, and initial amount, excluding the recently deposited amount, calculated at not less than ten per cent of the bid amount which, together with early paid amount, would constitute the first installment of the amount in the case of lease not exceeding one year and fifteen per cent of the bid amount in cases where the lease period exceeds more than a year, equal to two installments of amount.
13. Place of auction - Ordinarily, every auction, or sale shall be conducted in the office of the Panchayat. In special cases, the Executive Authority or the Commissioner or the Secretary, as the case may be, shall decide the place of action of the lease or sale depending upon the nature of lease or sale and the place where the properties or articles. lie. However, the auction of usufructs of the trees, wind –fallen and withered trees may be conducted at the site itself. In case of avenue trees, the entire road length may be divided into convenient reaches, i.e., say two hundred or four hundred metres and may be auctioned reach by reach individually.