LexThe ASSAM CO-OPERATIVE LAND MORTGAGE BANK ACT, 1960 (SINGLE DOCUMENT)
Assam · state statute
Open in Lexace · Ask the AI about this actASSAM ACT NO. I OF 1961
(Received the assent of the President on the 29th December, 1960)
THE ASSAM CO-OPERATIVE LAND MORTGAGE BANK ACT, 1960
AN
ACT
to facilitate the working of the 1[Cooperative
Agriculture and Rural Development Banks] in the
State of Assam.
Preamble. 2[Whereas it is expedient to facilitate the working of
Cooperative Agriculture and Rural Development Banks in
the State of Assam with a view to providing for grant of
long-term and short -term loans for the purposes of
agricultural development and activities incidental thereto,
to finance construction of houses in rural areas, to promote
rural industrialization by providing loans to artisans,
craftsmen and small entrepreneurs and to advance loans to
institutions and corp orate bodies engaged in activities
which directly or indirectly help the farmers and the rural
people, in the manner hereinafter appearing ;]
It is hereby enacted in the Eleventh Year of the
Republic of India as follows:-
Short title,
extent and
commencement.
1. (1) This Act may be called 3[The Cooperative
Agriculture and Rural Development Banks] 1960.
(2) It extends to the whole of the State of Assam
(3) It shall come into force on such date as the State
Government may, by notification in the official
Gazette, appoint.
Definitions. 2. In this Act, unless there is anything repugnant in the
subject or context,-
4[(a) “Board” means the Board of Directors of the
Central Mortgage Bank and includes Managi ng
Body of a registered Society or by whatever
name such body is called but does not include the
Administrative Council of the Society.
1. Subs. by Assam Act No. VIII of 1990.
2. Subs. by Assam Act No. VIII of 1990.
3. Subs. by Assam Act No. VIII of 1990.
4. Subs. by Assam Act No. IV of 1976.
2
(b) “Central Mortgage Bank” means 1[The
Cooperative Agricul ture and Rural
Development Bank Ltd.] and includes any other
registered Co -operative Society notified by the
State Government in this behalf.
(c) “Mortgage Bank” means a 2[Cooperative
Agriculture and Rural Development Bank] of
registered under t he Assam Co -operative
Societies Act, 1949 and includes any other
registered Co-operative Societies notified by the
State Government in this behalf and admitted as
a member of the Central Mortgage Bank.]
(d) “Committee” means, in relation to Mortgage
Bank, the Board of Directors or Board of
Management or the Panchayat or the Committee
of Management or the Gover ning Body to
whom the management of its affairs is entrusted.
(e) “Prescribed” means prescribed by rule made by
the State Government under this Act.
(f) “Registrar” means a person appointed to Assam
perform the duties of Registrar of Co -operative
Societies under the Assam Co -operative
Societies' Act of 1949.
(g) “Sale Officer” means the Sale Officer appointed
under Section 19 of this Act to attach and sell
the property of defaulters or to execute any
decree by attachment and sale of property.
(h) “Trustee” means the Trustee appointed under
Section 3 of this Act.
Assam Act I
of 1950.
Assam Act I
of 1950.
Appointment of
Trustee and his
powers and
functions.
3. (1) The Registrar, or where the State Government
appoint any other person in this behalf, such officer,
shall be the Trustee for the purpose of securing the
fulfilment of the obligations of the Central Mortgage
Bank to the holders of debentures issued by the
Board.
1. Subs. by Assam Act No. VIII of 1990.
2. Subs. by Assam Act No. VIII of 1990.
3
(2) The powers and functions of the Trustee shall be
governed by the provisions of this Act and by the
instrument of trust executed between the Central
Mortgage Bank and the Trustee as modified from
time to time by mutual agreement between the Board
and the Trustee.
Trustee to be a
Corporation
Sole.
4. The Trustee appointed under Section 3 shall be a
Corporation Sole by the name of the Trustee for the
debentures and as such shall have perpetual succession
and a common seal and in his Corporate name shall sue
and be sued.
Issue of
debentures by
the Board.
5. (1) With the previous sanction of the Trustee of the
Board may, from time to time, issue debentures one
or more denominations for such periods as it may
deem expedient, on the security of the mortgages and
other assets transferred or deemed to have been
transferred under Section 21 by the Mortgage Banks
to the Central Mortgage Bank and other properties of
Central Mortgage Bank.
(2) Such debentures may contain a term fixing a period
not exceeding ten years from the date of issue durin g
which they shall be irredeemable or reserving to the
Board the right to call in at any time any of the
debentures in advance of the date fixed for
redemption after giving to the debenture holder
concerned not less than three months' notice in
writing.
(3) The total amount due on the debentures issued by the
Board and outstanding at any time shal l not exceed
the aggregate of (a) the amounts due on the mortgage
and the value of the other assets transferred or
deemed to have been transferred under Section 21 by
the Mortgage Ban ks to the Central Mortgage Bank
and subsisting at such time; and (b) the amounts paid
under the mortgages aforesaid a nd remaining in the
hands of the Board or of the Trustee at that time.
Charge of
Debenture
Holders on
certain
properties.
6. The holders of the debentures have a floating charge on-
(a) all such mortgages and assets as are referred to
in clause (a) of sub-section (3) of Section 5;
(b) the amount paid under such mortgages and
remaining in the hands of the Board or of the
Trustee; and
4
(c) the other properties of the Central Mortgage
Bank.
Gaurantee by
state
Government of
principal of,
and interest on,
debentures.
7. (1) The principal of , and interest on, the debentures
issued under Section 5, shall in respect of such
maximum amount as may be fixed by State
Government and subject to such condition as it may
think fit to impose, carry the guarantee of the State
Government.
(2) The State Government may subject to any law of the
legislature of the State increase the maximum amount
of any guarantee given under sub-section (1)
(3) The State Government may, after consulting the
Board and the Trustee:-
(a) by notification in the official Gazette; and
(b) by notice of not less than fourteen days in such
of the principal news papers in the State and of
other States in India as the State Government
may select in this behalf;
discontinue any guarantee given by it or
restrict the maximum amount thereof or mo dify
the conditions, subject to which it is given , with
effect from a specified date, not being earlier
than six months from the date of publicat ion of
the notification in the Official Gazette:
Provided that the withdrawal, restriction or
modification of any guarantee shall not in any
way affect the guarantee carried by any
debenture issued prior to the date on which such
withdrawal, restriction or modification takes
effect.
(4) Every notificat ion and notice referred to in sub -
section (3) shall , where the maximum amount of
guarantee is to be restricted or the conditions subject
to which the guarantee is given are to be modified,
set forth precisely the scope and effect of the
restriction or modification, as the case may be.
5
Distraint- when
to be made.
8. (1) If any instalment payable under mortgage executed in
favour of 1[the Central Mortagage Bank or] a
Mortgage Bank or any part of such instalment has
remained unpaid for more than one month from the
date on which it fell due, the 2[Board or the ]
Committee may in addition to any other remedy
available to the 3[Central Mortgage Bank or the] said
Mortgage Bank, apply to the Registrar or to such
person as the State Government may appoint in this
behalf for the recovery of such instalment or part by
distraint and sale of the produce of the mortgaged
land including the standing crops thereon.
(2) On receipt of such application the Registrar or the
person as the State Government may appoint in this
behalf may, notwithstanding anythi ng contained in
the Transfer of Prooerty Act, 1882, take action in the
manner as prescribed for the purpose of distrainin g
and selling such produce :
Provided that no distraint shall be made after the
expiry of twelve months from the date on which the
instalment fell due.
(3) The value of the property distrained shall be , as
nearly as possible, equal to the amount due and the
expenses of the distraint and the cost of the sale.
Act IV of
1882.
Distraint how to
be effected.
9. (1) Before or at the time when a distraint is made under
Section 8, the distrainer shall serve or cause to be
served upon the defaulter a written demand
specifying the amount for which the distraint is
made.
(2) The demand shall be dated and signed by the
distrainer and shall be served upon the defaulter by
delivering a copy to him or in h is absence to some
adult member of his family at his usual place of
abode or to his authorised agent or when such service
can not be effected, by affixing a copy of the demand
on some conspicuous part of his abode and of his
land.
1. Ins. by Assam Act No. XXIV of 1964.
2. Ins. by Assam Act No. XXIV of 1964.
3. Ins. by Assam Act No. XXIV of 1964.
6
Sale of property
distrained.
10. (1) If, within 15 days from the date of service of demand
referred to in Section 9, the defaulter does not pay the
amount for which the distraint was effected, the
distrainer may sell, in auction, the distrained property
or such part thereof, as may in his opi nion be
necessary to satisfy the demand together with the
expenses of the distraint and the cost of the sale.
(2) From the proceeds of such sale, a deduction shall be
made at a rate not exceeding 6 naye paise in the rupee
on account of the cost of the sale
(3) From the balance shall be deducted the expenses
incurred by the distrainer on account of the distraint.
(4) The remainder, shall be applied to the discharge of
the amount for which the distraint was made.
(5) The surplus, if any , shall be delivered to the person
whose property has been sold and he shall be given a
receipt for the amount discharged from the proceeds
of the sale.
Power of sale
when to be
exercised.
11. (1) Notwithstanding anything contained in the Transfer
of Property Act, 1882, where a power of sale without
the intervention of the court is expressly conferred on
the 1[Central Mortgage Bank and the] Mortgage Bank
by the mortgage deed, 2[the Board or] the Committee
of such bank or any person authorised by such
Committee in this behalf shall, in case of default of
payment of the mortgage money or any part thereof,
have power in addition to any othe r remedy available
to the bank t o bring the mortgaged property to sale
without the intervention of the court.
(2) No such power shall be exercised unless and until-
(a) the Board has previously authorised the exercise
of the power conferred by sub -section (l) after
hearing the objection as, if any of the mortgagor:
(b) notice in writing requiring payment of such
mortgage money or part has been served upon-
(i) the mortgagor ;
Act IV of
1882
1. Ins. by Assam Act No. XXIV of 1964.
2. Ins. by Assam Act No. XXIV of 1964.
7
(ii) any person who has any interest in or charge
upon the property mortgaged or in or upon
the right to redeem the same ;
(iii) any surety for the payment of the mortgaged
debt or any part thereof ;
(iv) any creditor of the mortgagor who has in a
suit for the administration of his estate
obtained a decree for sale of the mortgaged
property ; and
(c) default has been made in payment of such
mortgage money or part thereof for three months
after such service.
1[11A. (1) Where advance is made against hypothecation of
assets, the Mortgage Bank shall have power to put the
assets on sale for default by the borrower of payment
of instalment due.
(2) No such power shall be exercised unless;-
(a) notice in writing requiring payment of instalment
due has been served upon the borrower ; and
(b) default has been made in payment of such
instalments due for three months after such
service.]
Application for
sale and
manner of sale.
12. (1) In exercise of the power of sale conferred by Section
11 and in confermity with the provisions thereof, 2[the
Board or] the Committee 3[***] or any person duly
authorised by such 4[Board or the] Committee may
apply to the Sale Officer appointed in that behalf
under Section 19 to sell the mortgaged property or
any Part thereof and such officer shall after giving
notice of 30 days in writing to all the persons referred
to in Section 11, sell property in the manner
prescribed.
1. Ins. by Assam Act No. VIII of 1990.
2. Ins. by Assam Act No. XXIV of 1964.
3. Omitted by Assam Act No. XXIV 1964.
4. Ins. by Assam Act No. XXIV of 1964.
8
(2) 1[The sale shall be by public auction and shall be held
in the village where the mortgage d property is
situated or at the nearest place of public resort or in
the office of the Sales Officer whichever place, in the
opinion of the Sales Officer, is likely to attract the
maximum number of bidders and the property is
likely to sell to better advantage there.]
Application to
set aside sale
and deposit and
confirmation of
sale in default
or on dismissal
of such
application.
13. (1) When a mortgaged property has been sold under the
provisions of this Act, the mortgagor or any person
having a right or interest therein affected by the sale
may, at any time, within thirty days from the date of
sale, apply to the 2[Board or the] Committee 3[***]
concerned to have the sale set aside on his depositing
at the office of such Bank.
(a) for payment to 4[the Central Mortgaged Bank or]
the Mortgage Bank the amount specified in the
proclamation of sale together with subsequent
interest and the costs, if any , incurred by the
bank in bringing the property to sale ; and
(b) for payment to the purchase r, sum equal to such
per cent of the purchase money as prescribed.
(2) If such deposit is made, 5[the Boa rd or] the
Committee shall make an order setting aside the sale.
(3) Where no application is made under sub -section (1)
or where such application is made an d disallowed,
6[the Board or] the Committee shall apply to the
Registrar or to the parson appointed by the State in
this behalf to make an order confirming the sale and
on such officer's confirming the sale, it shall become
absolute.
1. Subs. by Assam Assam Act No. VIII of 1990.
2. Ins. by Assam Act No. XXIV of 1964.
3. Omitted by Assam Act No. XXIV of 1964.
4. Ins. by Assam Act No. XXIV of 1964.
5. Ins. by Assam Act No. XXIV of 1964.
6. Ins. by Assam Act No. XXIV of 1964.
9
Distribution of
proceeds of
sale.
14. (1) The proceeds of every sale under the provisions of
Sections 11, 12, 13 of this Act shall be applied by the
Sale Officer, first in payment of all costs, charges and
expenses actually incurred by him as incident t o the
sale or any proposed sale; secondly, in payment of all
interest due on account of the mortgage in
consequence whereof the mortgaged property was
sold; thirdly, in payment of the principal money due
on account of the mortgage; and lastly, in payment of
the residue, if any, with the approval of the Registrar
or the officer appointed by the State Government in
this behalf to the person interested in the property
sold or if there are more such persons than one then to
such persons according to their respective interests
upon their joint receipt.
(2) Any person dissatisfied with the decision of the Sale
Officer in regard to the distribution of the residue
under sub -section (1) may, within thirty days of the
communication to him of such decision, institute a
suit to establish the right amount of interest he claims
in a Civil Court within whose jurisdiction the
property sold is situated.
(3) The Sale Officer shall not distribute the residue under
sub-section (1) until thirty days have elapsed from the
communication of his decision to all the persons
concerned or if a suit has been instituted within the
said period of thirty days by any such pe rson until the
suit is disposed of or otherwise terminated and on
such disposal or termination, the residue shall be
distributed in accordance with the decision of the
court.
Explanation:- In this sub -section "Court" means the
Civil Court which would have jurisdiction to entertain
a suit to enforce the mortgage and within the limits of
whose jurisdiction the property sold is situated.
Certificate to
purchaser.
15. Where a sale of mortgaged property has become absolute,
the Sale Officer shall grant a certificate specifying the
property sold and the name of the person who, at the time
of the sale, is declared to be the purchaser. Such certificate
shall bear date and the day on which the sale became
absolute.
10
Delivery of
property to
purchaser.
16. (1) Where the mortgaged property sold is in the actual
possession of the mortgagor or of some person on his
behalf or of some person claiming under a title other
than a lease for a period not exceeding three years
created by the mortgagor subsequent to the mo rtgage
in favour of 1[the Central Mortgage or] the Mortgage
Bank and a certificate in respect thereof has been
granted under Section 15, the court shall on the
application of the purchaser, order delivery of the
property to be made by putting such purchase r or his
agent specially appointed in writing for the purpose in
possession of the property.
(2) Where the property sold is in the occupation of a
tenant or other person entitled to occupy the same and
a certificate in respect thereof has been granted under
Section 15, the court shall, on the application of the
purchaser, and after notice to such tenant or other
person, order delivery to be made to the purchaser by
affixing a copy of the certificate of sale in some
conspicuous place on the property and proclai ming to
the occupant and the public by beat of drum or other
customary mode at some convenient place that the
interest of the mortgagor has been transferred to the
purchaser.
(3) In regard to the cases dealt within sub -sections (1)
and (2), the provisions of rules 97 to 103 of Order
XXI of the first schedule to the Code of Civil
Procedure, 1908 shall, mutatis mutandis and so far as
may be, apply.
Explanation: - In this Section "Court" shall have the
same meaning as in Section 14.
Act V of
1908
Appointment or
Receiver and
his powers.
17. (1) The Board may on the application of 2[the Central
Mortgage Bank or] a Mortgage Bank and under
circumstances in which the power of sale conferred
by Section 11 may be exercised, appoint in writing, a
Receiver of the produce and income of the mortgaged
property or any part thereof and such Receiver shall
be entitled either to take possession of the property or
collect its produce and income, as the case may be, to
retain out of any money realised by him, his expenses
of management including his remuneration, if any, as
fixed by the Board, and to apply the balance in
accordance with the provisions of sub -section (8) of
Section 69-A of the Transfer of Property Act, 1882.
Act IV of
1882.
1. Ins. by Assam Act No. XXIV of 1964.
2. Ins. by Assam Act No. XXIV of 1964.
11
(2) A Receiver appointed under sub -section (1) may, for
sufficient cause and o n application made by the
mortgagor, be removed by the Board.
(3) A vacancy in the office of the Receiver may be filled
up by the Board.
(4) Nothing in this Section shall empower the Board to
appoint a Receiver when the mortgaged property is
already in the possession of a Receiver appointed by a
Civil Court.
Title of
purchaser not
to be questioned
on the ground
of irregularity,
etc.
18. Where any property is sold in the exercise or purported
exercise of a power of sale under the provision of this Act,
the title of the purchaser shall not be questioned on the
ground that-
(a) the circumstances required for authorising the sale
had arisen ; or
(b) due notice of the sale was not given; or
(c) the power of sale was otherwise improperly or
irregularly exercised ;
but any person who has suffered any damage by an
unauthorised, improper or irregular exercise of any such
power shall have a remedy in damages against 1[the
Central Mortgage Bank or] the Mortgage Bank. Such
property, shall vest in the purchaser free from all
encumbrances.
Appointment of
Sale Officers.
19. The Registrar shall appoint Sale Officers for the purpose of
conducting sale under the provisions of this Act.
Right of
mortgage Bank
or of the
Central
Mortgage Bank
to Purchase the
mortgaged
property at
sale.
20. (1) Notwithstanding anything contained in any law for
the time being in force, it shall be lawful for a
Mortgage Bank or the Central Mortgage Bank to
purchase any mortgaged property sold under this Act
and the property so purchased shall be disposed of by
such Bank by sale within such period as may be fixed
by the Trustee.
(2) Nothing in the Assam Fixation of Ceiling on Land
Holdings Act, 1956 fixing a maximum limit o f
agricultural holding shall apply to the acquisition of
land by a Mortgage Bank or the Central Mortgage
Bank under sub-section (1).
Assam Act I
of 1957.
1. Ins. by Assam Act No. XXIV of 1964.
12
Mortgages
executed in
favour of
Mortgage Bank
to stand vested
in Central
Mortgage Bank.
21. The mortgages executed in favour of, and all other assets
transferred to a Mortgage Bank by the members thereof
shall, with effect from the date of such execution or
transfer (including those mortgaged to a Mortgage Bank
before commencement of this Act) be deemed to have
been transferred by such Mortgage Banks to the Central
Mortgage Bank and shall stand vested in the Trustee.
Powers of the
Mortgage Bank
where property
is destroyed or
security
becomes
insufficient.
22. Where any property mortgaged to 1[the Central Mortgage
Bank or] a Mortgage Bank is wholly or partially destroyed
or the security is rendered insufficient and the mortgagor,
having been given a reasonable opportunity by 2[the Board
or] the Committee 3[***] of providing further security
enough to render the whole security sufficient of repaying
such portion of the loan as may be determined by 4[the
Board or] the Committee, has failed to provide such
security or to repay such por tion of the loan, the whole of
the loan shall be deemed to fall due at once and the
Committee shall be entitled to take action against the
mortgagor under Section 8 or Section 11 for the recovery
thereof.
Explanation.- A security is insufficient within the meaning
of this Section unless the value of the mortgaged property
exceeds the amount for the time being due on the mortgage
by such proportion as may be specified in the bye -laws of
the 5[Central Mortgage Bank or the] Mortgage Bank.
Power of Board
or of Trustee to
distrain and
sale of
property, etc.
23. (1) 6[The Trustee may direct the Board or the Committee,
and the Board may direct the Committee to take
action against a defaulter under section 8, section 11
or section 12 and if the Board or the Committee
neglects or fails to do so, the Trustee or the Board
may take such action.]
(2) Where such action is taken by the Board the
provisions of this Act and of any rules made in this
behalf shall apply in respect thereto as if all
references to the Mortgage Bank and to its Committee
in the said provisions were references to the Central
Mortgage Bank and the Board respectively.
1. Ins. by Assam Act No. XXIV of 1964.
2. Ins. by Assam Act No. XXIV of 1964.
3. Omitted by Assam Act No. XXIV of 1964.
4. Ins. by Assam Act No. XXIV of 1964.
5. Ins. by Assam Act No. XXIV of 1964.
6. Subs. by Assam Act No. XXIV of 1964.
13
(3) Where such action is taken by the Trustee, the
provisions of this Act and of any rules made
thereunder shall apply in respect thereto , as if , all
references to 1[the Central Mortgage Bank or the]
Mortgage Bank or to 2[the Board or the] Committee in
the said provisions were references to the Trustee.
Mortgagors'
Power lease.
24. (1) Notwithstanding anything contained in the Transfer
of Property Act, 1882, or in any other law for the time
being in force, a mortgagor shall not grant a lease of
the mortgaged property for a period exceeding three
years.
(2) Any lease granted in contravention of the provisions
of sub-section (1) shall be void.
Act IV of
1882.
Mortgage not to
be questioned
on insolvency of
mortgagor.
25. Notwithstanding anything contained in the Provincial
Insolvency Act of 1920 and in any law relating to
insolvency, a mortgage executed in favour of 3[the Central
Mortgage Bank or] a Mortgage Bank shall not be called in
question on the ground that it was not executed in good
faith for valuable consideration or on the ground that was
executed in order to give 4[the Central Mortagage Bank or]
the Mortgage Bank a preference over the ot her creditors of
the mortgage
Act V of
1920.
Power of
mortgage bank
to receive
money and
grant valid
discharges
notwithstanding
assignment of
Mortgage deeds
to the Central
Mortgage Bank.
26. Notwithstanding that a mortgage executed in favour of a
Mortgage Bank has been transferred, or is deemed under
the provision of Section 21 to have been transferred to the
Central Mortgage Bank-
(a) all moneys due under the mortgage may, in the
absence of any specific direction to the contrary
issued by the B oard or Trustee and communicated
to the mortgagor, be paid to 5[the Central
Mortagage Bank or] the Mortgage Bank and such
payment shall be valid as if , the mortgage had n ot
been so transferred ; and
1. Ins. by Assam Act No. XXIV of 1964.
2. Ins. by Assam Act No. XXIV of 1964.
3. Ins. by Assam Act No. XXIV of 1964.
4. Ins. by Assam Act No. XXIV of 1964.
5. Ins. by Assam Act No. XXIV of 1964.
14
(b) the Mortgage Bank shall, in the absence of any
specific direction to the contrary issued by the
Board or Trustee and communicated to the
Mortgage Bank be entitled to sue on the mortgage
or take any other proceedings for the recovery of
the moneys due under the mortgage.
Priority of
mortgage over
certain claims.
27. A mortgage executed in favour of a Mortgage Bank and
Central Mortgage Bank shall have priority over any claim
of the Government arising from a loan under the Land
Improvement Loans Act, 1883, or the Agriculturist's Loans
Act, 1884 granted after the execution of the mortgage.
Act XIX of
1883.
Act XIX of
1884.
Right of
Mortgage a
Bank to pay
prior debts of
mortgagor.
28. (1) Where a mortgage is executed in favour of 1[the
Central Mortagage Bank or] a Mortgage Bank for
payment of prior debts of the mortgagor, the Bank
may, notwithstanding the provisions of Sections 75
and 76 of the Transfer of Property Act, 1882 by
notice in writing, require any person to whom any
such debt is due, to receive payment of such debt or
part thereof from the Mortgage Bank at its registered
office within such period as may be specified in the
notice.
(2) Where any such person fails to receive such notice or
such payment, such debt or part thereof as the case
may be, shall cea se to carry interest from the
expiration of the period specified in the notice:
Provided that where there is a dispute as regards
the amount of any such debt the person to whom such
debt is due shall be bound to receive payment of the
amount offered by the 2[the Central Mortagage Bank
or] Mortgage Bank towards the debt, but such receipt
shall not prejudice the right, if any, of such person, to
recover the balance claimed by him
Act VI of
1882.
Registration of
documents
executed on
behalf of a
Mortgage Bank
or of the
Central
Mortgage Bank.
29. (1) Notwithstanding anything contained in the Indian
Registration Act 1908 it shall not be necessary for any
officer of a Mortgage Bank or of the Central
Mortgage Bank to appear in person or by agent at any
registration office in any proceedings connected with
the registration of any instrument executed by him in
his official capacity or to sign as provided in Section
58 of that Act.
Act XVI of
1908.
1. Ins. by Assam Act No. XXIV of 1964.
2. Ins. by Assam Act No. XXIV of 1964.
15
(2) Where any instrument is so executed, the registering
officer to whom such istrument is presented for
registration, may, if he thinks fit, refer to such officer
as stated in sub -section (1) for information respecting
the same, and on being satisf ied of the execution
thereof, shall register the instrument.
Proof of
documents or
entries in
documents.
30. Any Mortgage Bank or the Central Mortgage Bank may
grant copies of any document obtained and kept by it in the
course of its business or of any entries in such document;
and any copy so granted shall, where certified in such
manner as may be prescribed, be admissible in evidence
for any purpose in the same manner and to the same extent
as the original document, or the entries th erein, as the case
may be.
Provisions of
the Act shall
apply to loans
advanced by
Mortgage
Banks from
funds not
borrowed from
the Central
Mortgage Bank.
31. The provisions of the Act shall apply also to the loans
advanced by Mortgage Banks from funds which have not
been borrowed from the Central Mortgage Bank.
Service of
notice.
32. Whenever under the provisions of this Act notice is
required to be given to any person in writing, it shall be
sufficient to send such notice by : -
(i) Registered post with acknowledgement due, or
(ii) personal service through official messenger
or (iii) affixing a copy of the notice at the last
known place of residence or business of the
person concerned through any office bearer or
employee of the Central Mortgage Bank or
Mortgage Bank, as the case may be, with two
witnesses when the person concerned refuses to
accept the notice and sign the acknowledgement
or he cannot be found.
Sections 102,
103 and 104 of
the Transfer of
property Act
1882, to apply
to such notices
under this Act.
33. The provisions of Sections 102 and 103 of the Transfer of
Property Act, 1882, and of any rules made by the High
Court under Section 104 of that Act for carrying out the
purposes of the said Sections, shall apply, so far as may, in
respect of all notices to be served under this Act.
Act IV of
1882.
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Officer of
Mortgage Bank
and the Central
Mortgage Bank
and sale officers
not to bid at
sale.
34. At any sale of movable or immovable property held under
the provisions of this Act in order to recover any money
due to a Mortgage Bank, n o Director, Secretary or other
officer of such Bank or of the Central Mortgage Bank
(except on behalf of the Bank of which he is a Director or
Secretary or an Officer) and no sale s officer or other
persons having any duty to perform in connection with
such sale, shall either directly or indirectly bid for or
acquire or attempt to acquire any interest in such property.
Delegation of
certain powers
by Board.
35. The Board may, if it thinks fit , delegate all or any of its
powers under Sections 11, 17 and 23 to an Executive
Committee constituted by it and consisting of two or more
of its members.
Powers of the
State
Government to
make Rules.
36. (1) The State Government may, by notification in the
official Gazette, make rules for carrying out the
purposes of the Act.
(2) In particular, and without prejudice to the generality
of the foregoing power, such rules may provide for all
or any of the following matters, namely-
(a) the manner of effecting distraint ;
(b) the custody, preservation and sale of distrained
property ;
(c) the investigation of claims by persons other than
the defaulter to any right or interest in the
distrained property and for the postponement of
the sale pending such investigation ;
(d) the immediate sale of perishable articles ;
(e) the due proclamation and conduct of the sale ;
(f) the recovery of the expenses of proclamation
and sale ;
(g) the deposit of the purchase money ;
(h) the re -sale of the property, if the purchase
money is not deposited ; and
(i) any othe r matter which has to be, or may be,
prescribed.
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(3) All rules made under this Section shall be laid for not
less than fourteen days before the Assam Legislative
Assembly as soon as possible after they are made, and
shall be subject to such modifications as the
Legislative Assembly may make during the Session in
which they are so laid or the Session immediately
following.
Power of the
Board to make
Regulations.
37. (1) The Board may, subject to the approval of the
Trustee, make regulations not inconsistent with the
provisions of this Act and the rules made there under
for enabling it to discharge its functions under this
Act.
(2) In particular, and without prejudice to the generality
of the foregoing power, such regulations may provide
for all or any of the following matters, namely:-
(a) fixing the period of debentures and the rate of
interest payable thereon ;
(b) calling in debentures after giving notice to
debenture holders ;
(c) the issue of new debentures in place of
debentures damaged or destroyed ;
(d) converting one class of debenture into another,
bearing a different rate of interest ;
(e) the inspection of the account books and
proceedings of Mortgage Banks ;
(f) the submission of returns and reports by
Mortgage Banks in respect of their transaction ;
(g) the periodical settlement of accounts between
Mortgage Bank and the payment of the amounts
recovered by Mortgage Banks on mortgages
transferred or deemed under the provisions of
Section 21 to have been transferred to the
Central Mortgage Bank ;
(h) specifying the form in wh ich applications to
Mortgage Banks for loans should be made and
for the valuation of the properties offered as
security for such loans ;
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(i) the investment of moneys realised from
mortgagor ; and
(j) generally for any other matter in respect of
which the Board considers provision should be
made for the purposes of this Act.
(3) All such regulations shall be published in the official
Gazette.