(1) Subject to any direction given by the Government under this Act, a new town development authority may dispose of any land acquired by it, to such persons, in such manner, and subject to such terms and conditions as it considers expedient for securing the development of the new town in accordance with the new town development plan approved by the Government under this Act:
Provided that, a new town development authority shall not have power, except with the consent of the Government, to sell any land or to grant a lease of any land for a term of more than ninety-nine years, and the Government shall not give consent to any such disposal of land, unless they are satisfied that there are exceptional circumstances which render the disposal of the land in that manner expedient.
(2) The powers of a new town development authority in regard to the disposal of land acquired by it under this Act shall be so exercised as to secure, so far as practicable that persons who were living or carrying on business or other activities on land so acquired shall, if they desire to obtain a plot or accommodation on land so acquired and are willing to comply with any requirements of the new town development authority as to its development and use, have an opportunity to obtain a plot or accommodation suitable to their reasonable requirements on terms settled with due regard to that price at which any such land has been acquired from them.
(3) Nothing in this Act shall be construed as enabling a new town development authority to dispose of land by way of gift, mortgage or charge, but, subject as aforesaid, reference in this Act to the disposal of land shall be construed as references to the disposal thereof in any manner, whether by way of sale, exchange or lease or by the creation of any easement, right or privilege or otherwise.