(1)

If it shall appear to the Commissioner in respect of any area in any part of [Brihan Mumbai] [These words were substituted for the words 'Greater Bombay' by Maharashtra 25 of 1996, (w.e.f. 4.9.1996).]-

(a) that the residential buildings in that area are, by reason of disrepair or sanitary defects unfit for human habitation or are, by reason of their bad arrangement or the narrowness or bad arrangement of the streets dangerous or injurious to the health of the inhabitants of the area and that the other buildings, if any in the area are for a like reason dangerous or injurious to the health of the said inhabitants; and

(b) that the conditions in the area can be effectually remedied by the demolition of all the buildings in the area without making an improvement scheme;

(2)

Before any area is declared to be a clearance area, it shall be the duty of Corporation to satisfy themselves as to the sufficiency of their resources and to as certain the number of persons who are likely to be dishoused in such area and thereafter to take such measures as are practicable whether by the arrangement of their programme or otherwise so as to ensure that as little hardship as possible is inflicted on those dishoused.

(3)

The Commissioner on behalf of the Corporation shall forthwith transmit to the State Government a copy of the resolution passed by them under this section.

(4)

As soon as may be after the Corporation have declared any area to be a clearance area, the Commissioner shall, in accordance with the appropriate provisions hereafter contained in this Act, proceed to secure the clearance of the area in one or other of the following ways, or partly in one of those ways, and partly in the other of them, that is to say-

(a) by ordering the demolition of the buildings in the area; or

(b) by acquiring on behalf of the Corporation land comprised in the area and undertaking or otherwise securing, the demolition of the buildings thereon.