Religious Institution Property Lease and Audit Rules
This official rules extract governs leases of property and rights belonging to religious institutions, including auctions, bidder eligibility, security, approval, rent remission and fair rent. It records that the exclusion provision was substituted by the department identified as T.D.C. & R.E. in G.O. Ms. No. 117 dated 25th April 2000, and also includes The Manner of Audit of Accounts Rules issued by the Revenue Department in G.O. Ms. No. 4065 dated 26th September 1961, as amended by the department identified as C.T. & R.E. in G.O. Ms. No. 200 dated 30th May 1996.
What the rules govern
The religious institution property lease rules regulate how trustees and executive authorities decide lease terms, conduct auctions and accept bids. They affect people bidding for or holding leases of temple and other covered religious institution property or rights.
Key requirements include:
- Trustees must decide the lease period, rent terms, security, penalties, land blocks and auction arrangements at least two months before an existing lease expires.
- Auctions must be conducted within one month after the trustees decide the terms.
- Auction notices must be displayed at specified religious institution, local body and Assistant Commissioner offices at least 15 days before the auction. Publicity must also be given in the local language.
- A bidder must deposit earnest money. Anyone in arrears to the religious institution cannot bid.
- A successful bidder must provide security and execute the required lease deed. Transfer or sublease is not permitted.
- The highest bid is ordinarily accepted. Another bid may be accepted in a special case if reasons are recorded in writing.
- A lease deed cannot provide for an extension. Further extension of a lease originally granted for less than five years requires prior sanction from the Commissioner, up to five years from the original grant date.
Approval and financial controls
A lease with annual rent or contract value of Rs. 1,000 or more, or its equivalent in kind, must be reported to the Commissioner and the relevant jurisdictional authority within one week. The Commissioner may veto a lease after recording reasons and giving affected parties a reasonable opportunity to make representations. If no veto is received within 60 days from the auction, the executive authority must confirm the lease.
For a lease longer than one year, security must ordinarily equal at least one year’s rent. Rent remission is generally unavailable, but may be considered where adverse seasonal conditions or other factors beyond the lessee’s control reduce gross produce by more than 25 per cent. The approving authority depends on the remission amount stated in the rules.
Exclusions, fair rent and audit
The public auction and remission provisions do not apply to land covered by the Tamil Nadu Public Trusts (Regulation of and Administration of Agricultural Lands) Act, 1961. The lease rules also do not apply to maths or specific endowments attached to maths.
Fair rent for religious institution sites and buildings must be revised at least once every three years, using land market value and building cost under the Public Works Department code.
The Manner of Audit of Accounts Rules require audit at the institution’s office or another place directed by the Commissioner. Auditors must verify cash, securities, bank passbooks and specified financial records.
This summary is generated from the source document to help you find what is relevant. The PDF above is authoritative. For advice on your own property, use LandLens One or speak to a qualified professional.
Common questions
Can I bid for a temple property lease if I owe money to the institution?
No. A person who is in arrears to the religious institution cannot participate in the auction.
Can a successful lessee transfer or sublease the property?
No. The auction notice must state that the lessee cannot transfer the lease or sublease the property.
Does the highest bidder always receive the lease?
The lease is ordinarily given to the highest bidder. In a special case, another bid may be accepted if the reasons are recorded in writing.
How often must fair rent for a religious institution building be revised?
Fair rent must be revised periodically, at least once every three years, based on the land’s market value and building cost worked out under the Public Works Department code.
