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(1) Where a District Assembly approves the establishment or extension of a town or the President prescribes the creation of a special town, notice of the approval of the establishment or extension of the town or notice of the creation of the special town shall be given to the Lands Commission.

(2) A person shall not

(a) enter into an agreement for the sale, trade, alienation or disposal in any other way of a plot of any size, or

(b) Grant an option to buy or to obtain land, in a town established or extended under subsection (1), except in accordance with procedures specified in sections 127 and 128 for that purpose.

(3) Subsection (1) does not prohibit a person from buying land on which that person wants to develop a property that is in conformity with the approved local plan for the new town.

(4) An agreement which is in conflict with subsection (2) is void.

(5) A person who contravenes or fails to comply with the provisions of subsection (2) commits an offence and is liable on summary conviction to a fine of not less than two hundred and fifty penalty units and not more than one thousand penalty units or to a term of imprisonment of not less than two years and not more than four years or to both.