Section 28. Rebates and additional interest

In respect of either the proportionate cost of works or a special loan,- (a) the corporation may allow a land-holder a rebate for punctual payments, at such rates as may be prescribed; and (b) in the event of default by a land holder in repayment of any installment of principal or payment of interest thereon on the due date, he shall be liable to pay an additional interest at such rate, not exceeding 3 per cent per annum as may be prescribed for the period from the date of default till the date of realisation of the amount.