Subject to the provisions of any law in force for the Prevention of Fragmentation and Consolidation of Holdings in the State, if any sub-division of a survey number is relinquished under section 102, or is forfeited for default in payment of land revenue, the 1[Tahsildar]1 shall offer such sub-division at such prices as he may consider reasonable to the occupants of the other sub-division of the same survey number adjacent thereto in such order as, in his discretion, he may think fit; in the event of all such occupants refusing the same, it shall be disposed of as the 1[Tahsildar]1 shall deem fit.