8. (1) Where the Competent Authority upon information received or otherwise in its possession, is satisfied that any building within a slum area in unfit for human habitation and is not capable at a reasonable expense of being rendered so fit, it shall serve upon the owner of the building and upon every other person having, within its knowledge, interest in the building, whether as lessee, mortgagee, or otherwise, a notice to show cause, within such time as may be specified in the notice, show cause, within such time as may be specified in the notice, as to why an order of demolition of the building be not made.
(2) If the person upon whom a notice under sub-section (1) is served fails within the period specified in the notice to satisfy the Competent Authority, even after having been afforded reasonable opportunity of being heard and producing evidence, if any, that an order of demolition will not be just and proper, the Competent Authority shall, except in cases covered by sub-section (3) or as otherwise provided by or under this Act, pass an order of demolition of the building or any part thereof, as may be considered necessary by it for carrying out the purposes of this Act.
(3) No order for the demolition of any building in pursuance of the notice under sub-section (1) shall, except in provided in subsection (4), be passed by the Compensation Authority, if any, of the persons upon whom the said notice has been served, appears before it and either-
(a) satisfies the Competent Authority that an order of demolition will not be just and proper ; or
(b) gives an undertaking to it that he shall-
(i) within a period agreed to by the Competent Authority execute such works of improvement in relation to the building as will in its opinion render it in for human habitation ; or
(ii) not use the building for human habitation units the Competent Authority on being satisfied that it has been rendered fit for that purpose cancels the under taking.
(4) The Competent Authority may, where-
(i) no such undertaking as is mentioned in sub-section (3) is given ; or
(ii) any such undertaking has been given but any work of improvement to which the undertaking relates in not carried out to the satisfaction of the Competent Authority within the specified period ; or
(iii) the building is at any time used in contravention of the terms of the undertaking. make an order for the demolition of the building in respect of which a notice under sub-section (1) has been served, and call upon the occupier thereof to vacate the building within the period to be specified in the order, not being less than forty-five days from the date of the service of the order, and call upon the owner to demolish the building within six weeks after the expiration of the period allowed for its vacation.