The Assam Agricultural Credit Operations and Miscellaneous Provisions (Banks) Act, 1977

Regiitcre 1  No. A— 12
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The Assam Ga zette
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EX TR AO RD INA RY
PUBLISHED BY AU fH OB IT Y
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w t 61, 2 < x , 1977, 12 T5H , 189>
<• 61, Dtapav, Ma nda y, 2nd M ay , 1977, 12t h Va iaa kh a,
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1899 (3 E.)
GOVERNMENT OF ASSAM 
ORD ERS  BY THE GO VERNOR
LEGISLATIVE DEPARTMENT
NOTIFICATION 
The 2nd May 19 77
No.LJ L.1 43/75 /70 .—The following Act of the Assam Legislative' Assembly 
which- received the assent of the President is hereby published for general 
iafo Tm atio h.

300 THE AS SA M GAZE TTE, EXT RAORDIN ARY, MAY 2, 1977 -
ASSAM ACT VII OF  1977 . C
(R eceiv ed th e as se nt o f th e Pre side nt  of Ind ia on  2nd May
1977)
TH E ASSAM AG RI CU LT UR AL  CR ED IT OPERAT ION S AN D 
MISCELLA NE OU S PROV ISION S (BANKS)
ACT , 1977
An
Act
to mak e prov ision s to faci litate ade qua te flow of cred it for agri­
cul tural pr od uc tio n and deve lopm ent thr ough banks and oth er ins titu­
tional credit agencies and for  ma tters connected the rew ith an d, 
or, incidental thereto .
Be it ena cted in the Twenty-ei ghth  year of  the  Rep ublic of 
Ind ia as follows :—
CH AP TE R I 
Prelim inary
Short
title, extent  
a« d comm e- 
Bcemcnt.
1. (1) This Act may be called the Assam Agr icul­
tural  Credit Opera tions and Miscellaneous Prov i­
sions (Banks) Act, 1977.
(2) It shall exte nd to the  whole of the  State 
of Assam.
(3) It  shall come into  force from  such date 
as the  State Gover nment may , by notificatio n in 
the Official Gazett e, app oin t in this behalf and 
diff eren t dates may be app oin ted  for  different 
provisions of 'he  Act and for different portions of 
the State.
2. In  this Act, unless the context otherwise 
requires,.—
(a) “ Agr icultur e” and “ agricu ltural pur pose” shall 
include mak ing lan d fit for  cultiva tion , cu tiva tion  
of lan d, imp roveme nt of land, land  includin g deve­
lopm ent of sources of irriga tion, raising and  ha r­
vesting of cro ps, hor ticulture , fore stry , pla nting a nd 
farm ing and cat tle b reed ing, anim al hu sbandly , dairy 
farm ing, seed fa' rning, pisciculture, apicul­
ture, sericu l'ur e, pig, ery, pou ltry  farm ing and  such 
o'he r activities as are generally carried

TH E ASSA M GAZ ETTE, EXTRA OR DI NA RY , MAY i, A ,
on by agriculturists, dairy farm ers, cattle breeders, 
poultry farm ers and othe r cate gories of persons 
engaged in similar acti vitie s inclu ding ma rke ting of 
agricultura l products, their s ota ge and  transp ort 
and the  acquisition of imple m n s and ma chinery in 
conn ectio n with  any such activ i y ;
(b) “ Ag ricult uri st”  means a perso n who is enga­
ged in Agriculture  ;
(c) “ Ag ro- Ind ustrie s Co rporation”  mear.s a 
com pan y or oth er bod y corpo rate one of th e prin cipal 
objectives of which is to un derta ke activitie s connec­
ted with or intend ed for t he  develop men t of agricul­
tur e and not less than  fifty-one per cen t of the paid-u p 
sha re cap ital of which is held by the  C en tra l Gover n­
me nt or by any Sta te Goveinmen or pa rt y by the 
Ce ntr al Go ver nm ent  and  partly by o ne or mo re Sta te 
Gover nments ;
(d) “Ba nk ” me ans —
(i) a banking  com pany as defined in the Banking 
Regulation  Ac t, 1919:
(ii) the State Ban k of  In di a constituted  under  the 
State  Bank of I nd ia Ac t, 1955 ;
(iii) a subs idiary ban k as defined in the State 
Ba nk of India  (Subsidiary Bank s) Act, 1959 ;
(iv) a corresp onding new ba nk  constitu ted 
under the Banking Companies (Acquisition and  
Trans fer  of Undertakings) Act, 1970 ;
(v) a Regiona l Ru ral  Bank establish ed un de r the 
Regional Ru ral Banks Act, 1976 ;
(vi) any ban king  ins titu tion no'ifie d by the  
Central Gover nm ent  under  Section 51 of the 
Ban king Reg ulation  Act, 1949 ;
(vii) Ag ricu ltural Refinance and  Development 
Co rpo ration  con stituted under  the Agr icultur al 
Refinance and Develop men t Corpo rati on 
Act, 1963 ;
30 i
(viii) the  Agro-In dustries Co rpo rat ion  as de­
fined in sub-section (c);
(ix) the  Agricultura l Fin ance Corpo rati on 
Lt d.,  a com pan y incorp ora ted  und er the 
Com panies Act, 1956  ; and

30 2 THE ASSAM GAZETTE, EXTR AORDINARY, MAY 2, 19 77
(x) othe r finan cial ins titu tion ! notified 
by the  Sta te Gov ernm ent in the Official 
Gazette as a  bank for  th e purpo se of this 
Act.
(e) "Co-o per ativ e Society”  mea ns a  Co­
ope rative  Society registered or deemed 
to be registered un de r the Assam Co­
operativ e Societies Act, 1949 (Act I of 
1950) the  object of  whi ch ii to prov ide 
financial assistance as defined in  clause 
(f) of this section to its mem bers and in­
cludes a Co-operativ e La nd  Mort gage/ 
Dev elop men t Bank; and
(f) "finan cia l assistance”  for the  purp ose 
of this Act means assistanc e gra nte d by 
way of loa ns, advance , gua rantee or 
otherwise for agr icultur al purp oses .
CH APTER II
Righ ts of Agriculturist! to alienate land / 
interest in lan d in favo ur of Bank s.
Re mo va l of 
re itri cl io ai  
on alimi- 
ati on .
3. Notwi ths tan din g any thin g con tained  in any 
law for the  tim e bein g in force or any custom 
or  tra dit ion , it shall be lawfu l for  an  ag­
ricu ltur ist whose rights of alienation of lan d or  
of any intere st therein  are  restricte d to alie nate the 
lan d or his intere st the rein , inclu ding  by creatio n 
of a  charge or mortga ge on such  lan d or inte rest  
in favo ur of  a bank for the  purpo se of obtaining 
financial assistance from th at  bank subject  to res­
trictions  imposed on disposal of  such lan d in 
section 4.
State Gover- 4. Not withstand ing a nyth ing c ontained  in any law 
nm en t m* y fo r  the time  being in force, the  Sta te Gov ern ment may, 
tiorTre it agri-by notif icati on in the  Official Gazette veit any class o r 
eu ltnr is tj n ot classes of  agriculturists not h avin g rights  of  aliena- 
h*vin j »li»n-tion in lan d or  any interest therein , with righ ts of 
able right! alienation including the  righ t to crea te a charg« or 
rights.SUCh m o r t 8a gc  ’ on s u c ^ land or interest in fav ou r of 
ban k for the purpo se of  obtaining financial assis­
tance fro m th at bank subject to such restrictions
as may be specified in the  not ific atio n.
C ha rg e o» 
cr sp  an d 
ot he r m«v- 
ab le pr o­
pe rty in 
fav our of  a 
ban k-
5. (1) It  shall be lawful for an agriculturi st to 
create a  charge on the  movable prop ert y own ed by 
him  or  on the cro ps rais ed by him, standing or 
otherwise or oth er produc e from  lan d cultivated 
by him , to the  extent of  his intere st therein  in 
favour of a ban k to secure finan cial assistance from

THE ASSAM GAZETTE, EXTRAORDINARY, MAY 2, 1977
the ban k notwithstand ing th at he may no t be owner 
of the lan d on and  from  which the  crop is raised.
30 3
(2) Notwithst anding any thin g to the  con trary 
in the Assam  Co-operativ e Societies Act, 1949 
(Act 1  of 1950) or any oth er law for the time 
being in force, no charge in respect of financial 
assistance extended  by a Co-ope rati ve Society to 
an agri culturi st shall have prior ity  over a charge 
on the  cro ps raised  by him, stan ding or otherwise, 
or any othe r movabl e prop ert y in resp ect of any 
financial assistance given to him by a ban k, pr od de d 
the financial assistance  made by the bank is prio r 
in point  of time  t o th at of the  financial assistance 
extended  by the Co operativ e Society ;
(3) A bank  may distrain and sell thr ough an 
officer designated in this behalf by the Sta te Go vern­
me nt the crop or oth er prod uce or other movable 
pr op erty char ged to th at bank to the extent of  the 
agriculturist’s interest therein and ap prop ria te the 
proceeds of such sale tow ards all moneys due to 
the ban k from th at agriculturist.
*
C re at io n of 6. (1) Where an agriculturi st create a charge on 
fa iu t^in  fav-  ^a n < ^’ o r  a n 7 o t her  immo vable pro perty  which he 
ou r of  a ba nk O w n s  o r  in  which he has an interest in respect of 
by de clar a- any financial assistance  given to him by a ban k, he 
tio n. m a y make a declaration on the lines of  the form
set ou t in the  Schedule here to or  as nea r thereto  
as circu mstances * permi t, declarin g th at  he thereby 
creates, in fav our of the bank , charg e on such land 
or his interest ther ein, or  othe r imm ovab le pro perty  
as the  case may be, to secure the finan cial assis­
tance given to him  by the ban k ;
(2) A dec laration mad e un de r sub-section (1) 
may be varied fro m time  to time  by the agricul­
turis t wit h the  consent of the  bank in whose fav our  
the declaration  has been  made. Such variation 
sha ll tak e effect from such date on which  the 
var iation , if it has been  an orig inal dec laration , 
wou ld have effect under section 9.
CHA PTER III
Cha rges  an d Mortgag es in fav our of  banks 
an d th eir prio ritie s.
Re mo va l of  7 -  Notwi thstanding any thin g to the  con trary 
disa bilit y in con tain ed in the Assam Co-operativ e Societies Act, 
cre ation of  1949 (A ct 1  of 1950) or  any othe r law for the  time 
charg es a n d bein g in force and  not wit hstand ing  th at  any land  
mo rtgage r. o r  i n t e r e s t  the rein stan ds alread y charged or mo r­
tgag ed to a Co-ope rati ve Society it shall be lawful

A iiu xi iy  ui <
charge* and •  
mortgages in a i
favour of  
Government 
bank and a  
Co-operative 
Society.
304 TH E AS SA M GAZE TT E, ' EX TR AO RD IN AR Y, MA Y 2, 1»??
fo r an agriculturist to create a charge or  mortgage x ,
on such lan d or  interest th erein in favo ur of a bank 
as secu rity for any financial assistance given to the 
agriculturi sts by the bank .
8. (1) No twith sta nd ing  any thin g to the c on tra ry 
ny law for the time being in for ce,—
(a) no charge or  mortgage cre ate d on auy 
land or inte rest  therein , afte r the  comm - 
encement of  this Act, in fav our of  the 
Go ver nment or a Co-o perative Society, 
shall hav e priority ove r a cha rge or 
mortga ge on such lan d or intere st cre a­
ted  by an agriculturi st in fav our of  a 
bank as security for financial assistance 
given to the  agriculturist by the bank 
af ter th e comm encement of  this Act and  
pr ior to the  c harg e or m ort gage in favo ur 
of  the Gover nment or the Co- operative 
Society ; and
(b) any  charge or mortgage  created on any 
land or interest therein  in favo ur of a  bank 
in respect of finan cial assistance  given to 
an a griculturist by th at ban k shall have  
pr iorit y over  any  oth er charge or mo rt­
gage th at  may  have been  created over 
such lan d or  interest in fav our of any 
perso n oth er tha n the  Gov er nm en t, a 
co-operative society or any oth er ban k, 
prior  to the  date on whic h the charge 
or mortgage was created  in favour of 
the  ban k.
(2) Where diffe rent charges or mortgag es 
over the same lan d or interest there in have been 
created by an agri culturi st in fav our of  the Gover n­
ment, a co- operative society or a ba nk  or more 
tha n one bank any such c harge or mortgage cre ate d 
as security for  financial assistance given 
by the Government, Co-op erative  S o c i e t y  
or the  ba nk  or ban ks by way of  term  
laan for deve lopm ent purp oses  shall have 
priority over oth er charges or mortgages or mort­
gage cr eated in favou r of the Gov ernm ent, co-opera tive 
society or  any of  the banks, pro vid ed pr ior notice 
of an y such financial assistance by wa y of term  
loan for development purpos es ha d been given to 
such Government, co-o pera tive society or ban k and  
such Gov erm ent, co-o pera tive society or  ba nk has 
conc urred in such financial assistance, an d where 
mor e than one such cha rge or mortgag e is as 
security for finan cial assistance give n by way of
e >

THE ASSAM GAZETTE, EX TR AO RD INAR Y, MA Y 2, 1977 305
ter m loan , the charges  or mortgages by way of 
security for term loan  for dev elopment purp oses  
will ran k for priori ty in accord anc e with  the date 
of  the ir creatio n.
E xp la na tion :—For  the purposes of this sectio n, 
“term  loa n for develop men t pu rp os e”  shall mean 
finan cial assistance whi ch would generally lead to 
imp rove men t on agr icu lture and or  buildin g up of 
assets in agr icultur e but shall not include financial 
assistanc e for mee ting wor king cap ital expenses, 
seasonal agricultur al opera tion and ma rke ting  of  
crops.
(3) Nothing in this sec .ion shall app ly to 
borrowings only from  one or  more co-o perativ e 
societies incl udin g land mortga ge bank .
Re gis tra tio n 9. (1) Notwithst anding a nything con tain ed in the 
• f  ch arg e India n Reg istr atio n Act, 1908, a charge in respect o f 
a« d mort- w h ic h  a decla rat ion  has been made under sub-se ction 
fa vo ur1 o f 0 )  sectio n 6 or  in respect of which a variation
Ban ks . has been mad e under sub-section  (2) of  tha t section 
or a mortgage executed by an agr icu lturist in favo ur 
of  a b ank i n respect of financial assistance  given by 
th at b ank, shall be deemed to have been duly regis­
tered in accordance with  the provisions of  that Act 
with effect from the date of such char ge, varia tion 
•r mortgage as the  case may be, pro vided th at  
the ba nk  sends to the  Sub-Registrar within the local 
limits of whose juris dic tio n the  whole or any pa rt 
of the pro perty  charged or  mortga ged is situated 
with in the time  stip ulated by the State Governme nt 
for this pur pose by registere d post acknowledge­
ment due, a copy of the doc ument creatin g such 
char ge, varia tion or mor tgag e duly cer tified to be 
a tru e copy by an employee of the  ba nk  au th o­
rised to sign on its beh al f;
(2) The  Sub -Re gist rar receiving the  d eclaration  
in respect of  a cha rge or var iation  or a mortgag e 
ref err ed to in sub-section (1) shall, as imm ediately 
as pra cticab le on rec eip t ther eof, reco rd, in a 
reg ister to be ma intain ed in this be ha lf the  fact 
of the  receipt  of  such dec lara tion , varia tion or 
mortgag e for registration.
Notiaf of  10 - Whenever a charge or a m ortgag e on loan
ch arge  or or intere st thereia is created in favour of  a bank 
mo rtg age ^ y  an agri culturist the bank may give intima tion  
fav our o f™  a t o  Sub-Deputy Collector or such oth er revenue 
bank in th e o ff ic ia l as may  be designated in this be ha lf by 
Rec or d of the State Go ver nm ent , of the  partic ula rs of  the 
Rig hts. charge or mortgage in its favour . Th e Sub -Deputy

306 TH E AS SA M GA ZE TT E, EX TR AO RD IN AR Y, MAY  2, 1977
Res trictio ns  
on cre ation 
of  tenancy  
by an  ag ri •  
cu ltu ris t 
bo rrow er.
Re mo va l 
ba r to
Collector or the oth er revenue official shall make 
a note of the  pa rticular s of  cha rge or  mortga ge 
in the  Rec ord  of  Righ ts relatin g to the  land over 
which the charge or mortgage is cre ated.
11.  (1) Notwi ths tan din g any thin g con tained  in 
any law for the  time  bein g in force, an agricul­
turist who  has availed him self of  financial assistance 
from a bank  by creatin g a charge or mortgage  
on land  or inter est the rein , shall not, so lon g as the 
financial assistance continues to be ou tstandin g, lease 
or create ten anc y rights  on such lan d or interest 
there in witho ut pr io r p ermission in writing of  the 
bank if he has not alread y leased or created  tena ncy 
rights  thereo n at  the time  of ava ilin g if  the finan­
cial assistance from  the  bank.
(2) Any lease gra nte d or  tenanc y rights 
cre ated in contr aventio n of  this section shall be 
void.
CH AP TE R IV
A r r a n g e m e n t fo r  R eco v ery  o f  d u es b y B an k s
12. Nothi ng in any law shall p revent in any ma nner 
atta ch m en t & ban k from causing any land or  any inte rest 
andCs5 eenbv ’herein charged or mortgaged to it by an  agric ul- 
process o f ' turist to secure any financial assistance, to be 
co urt. attach ed  and  sold thr ough a civil cou rt and ap p­
lying the  proceeds  of such sale tow ards all moneys 
due to it from  agriculturi st includin g the costs 
an d expenses as may be award ed by the  cour t; 
provided th at  such attach ed land should be sold 
only to the  Gover nm ent  or  any Ag ricu ltural Fa r­
ming Co rporati on  or deserving  landless cultiva tors  
to be so classified by the local Revenue au thori­
ties an d such lan d in specified tribal blocks shall 
be transf erred only to per son s eligible to acquire 
or possess lan d un de r Ch apter  X of the  Assam 
Land and Revenue  Regulatio n, 1886.
Re cover of (1) An  officer notified by the  State
du es oZ a*  G overn me nt as the prescribed  autho rity  for the  
ba nk  th ro u g h p u rp o se  of this section may, on  the app lica tion 
a Pres cribed  of a ba nk make an o rder on an y agriculturi st of his 
au th or ity . h e ir  or legal repr esentative direc ting the  pay ment 
of  any sum due to the  bank on accoun t of  fina n­
cial assistance availed of  by the agriculturi st, by 
the  sale of  any land or any intersest therein 
up on  which the  pay men t of  such money is c harged  
or mortga ged provide d that no ord er shall be 
mad e by the  p rescribed autho rity under this section 
for the sale of  any land or any inte rest  therein  
or any  oth er immovable pro perty  upon which the

THE ASSAM GAZETTE, EXTRAORDINARY, MAY. 2, 1977  367
*
pay ment of  money cha rged or mortga ged unless 
the  agri culturist or the he ir or legal rep resentativ e 
or  the agr icultur ist, as the case may  be, has been  
served with a notice by the pre scr ibe d aut hority  
calling upon him  to pay  the money due;
(2) Every ord er passed by the pre scr ibe d 
autho rity  in term s of  sub-section (1) shall be 
deemed to be a decree of a civil court  and  shall 
be executed in the  same ma nner as a decree of 
such co urt;
(3) Nothing in this section shall de ba r a bank 
from  seeking to enfor ce its rights in any oth er 
ma nner ope n to it und er any oth er law for the 
tim e being in force.
R ig ht  of a 14. (1) Notwi ths tan din g any thin g con tained  in 
ba nk  to ac - any law for the time  being  in force, a bank shall 
d i*ire  n t  have  powe r to itself acq uire  agric ult ura l lan d or 
im moX ble intere st therein  or any oth er immo vable pro per ty 
Pr op erty. which has been charged  or mo rga atd  to it by. an 
agr icultur ist in respect of any financial assistanc e 
availed of  by him, pro vided the said lan d or  
interest the rein or any oth er imm ovab le pro perty  
has been sought to be sold by pub lic auction and  
no per son  has  offered to purchase it for  a pric e 
which is sufficient to pay to the  bank the  money
due to it;
(2) A ban k which  acq uires land or  interest 
the rei n or  any oth er immovable pro per ty in exer­
cise of  the  power vested in it un de r sub-section (1) 
shall dispose of it by sale in the  ma nner provided 
in section 12 with in a period to be specified by 
the  State Governme nt in this beh al f;
(3) If  the  ban k has to lease out any  land  
acq uired by it under  sub-section (1), pen ding sale 
the reo f as indicate d in sub-section (2), the  period 
of  lease shall no t exceed one yea r at a time  an d 
the lessee shall not acqu ire any inte rest  in th at  p rop erty 
not withstand ing any provisions to the  co ntrary in 
any oth er law for the  time being in force ;
(4) A sale by a bank of  land or interest there" 
in in term s of this section shall be subject to 
Sectio n 4 and  any prov ision s of  any law in force 
whi ch may  place restrictions on purcha se of  lan d 
by non-a griculturists  or ceiling for acqu isition of 
land or by a person no t belonging to a partic ula r 
tribe  or scheduled caste  or frag mentation  of land .

308 TH E AS SA M GA ZE TT E, EX TR AO RD INAR Y, MAY 2, 197 7
Exe m pt 'on 15. Nothing in any law for the time bein g in 
to ba nks fo rc e placing a ceiling or  limit on the holding of  
c t^ s^ o n  sha’l apply to a ban k acq uiring lan d in term s
acqu isitio n of  section 14 and holding such land till such time  
of  la n d  in the  ba nk  is in a position to sell the  lan d in th e  
ex ce ss of manner provide d in section 14 or otherwis e, at  aceil ing. pric e which is ade quate  to cove r its dues.
CH APTER V
FI NA NC IN G OF CO -O PE RA TIVE  SOCIETIE S 
BY BANK S
ble'^o^be- Notwithstanding  any thin g contained in the
co me mem-Assam Co-operativ e Societies Act, 1949 (Act lo f ’  
be r of  a C o- 1950) or any  law for the time being in force, it 
op erative shall be lawful for a bank to beco me a member
o c ie ty -  o f a Co- ope rati ve Society.
Powe r to Co - 17.  No twithstanding anythin g con tained  in the 
op eativ e Soc ie.Assa m Co-operativ e Societies Act, 1949 (Act 1  of  
ties to bo rr ow jg gQ  ) j t  s ]fau  ^e lawful for any Co-o perative 
rom  an s.  § o c je ty t o  b o r r o w  from a bank .
Insp ec tio n of  i s , ( i )  a Bank shall have  the  right to in- 
o^iuuhreSoc' sPe c t the books of any co-o perative society which 
iety  by  aVan k* bas eit he r applied to the  bank for financial assi­
stance or is ind ebt ed to the  bank on account of
financial assistanc e gra nte d earl ier;
(2) The  inspectio n may  be carried out by 
an Officer or any othe r member of  the  paid staff  
of the ban k with the  previous sanction in writing 
of  the Regis trar of Co-operativ e Societies;
(3) Th e officer or any oth er mem ber of 
the  paid  staff of the bank, undertakin g such ins­
pection, shall, at  all reasonable time s, have access 
to the books of accounts, documents, securities, 
cash  an d oth er properties  belonging to or in the 
custody of  the co-o pera tive society insp ected by 
him , and shall also be supplied by such society 
such info rmatio n, stateme nts and  return s as may 
be req uir ed by him to assess the  financial con di­
tion  of  the society and the safety of financial 
assistance to be made to the society or alre ady  
made to it.
Disputes b et-  19. Q) No twithstanding anythin g contained in 
a Ce- a n y  o t h e r  ! a w  ^ o r  t i m e  being in force, any 
op erative So- disp u’e touchin g the constitu tion, man agemen t or 
c:ety . the business of a co-o pera tive society, between a
ban k financing a co-o perative society and  the

THE ASSAM GAZETTE, EXTRAORDINARY, MAY 2, 19 77  309
coo pera tive  society so financed , oth er than  disputes 
reg ard ing  the disc ipli nary acti on taken by society 
or its comm ittee aga inst  a paid employee of  the 
society, shall be referr ed by either of the parties to 
the  disp ute to the Re gis trar of Co-op erative  Soci­
eties for decision;
(2) Whe re any question arises whe ther, for 
purposes of  the foregoing sub-section, a ma tter 
ref erred to fo r decision is a disp ute or no t, the 
que stio n sha ll be decid ed by the Re gis trar of  
Co-op era tive Societies whose decision shall be final.
Settle me nt 20. (1) If  the Regis trar is satisfied th at  any 
of disp ute s, ma tter referr ed to him  or bro ugh t to his notice 
is a disp ute with in the meaning  of  Sectio n 19,  
the  Regis trar shall decide the disp ute hirr.self or 
refe r it for dispos al to a nominee  or a Board
of  nominees appointed by him;
(2) Wh ere any disp ute is referred un de r the 
foregoing sub-se ction for decision to the Regis­
tr ar’s nominee or Board of nominees, the  R egistrar  
may . at  any time, for reasons to be rec orded in 
writin g, with draw  such disp ute from  his nominee 
or  Board of nominees and may decid e the dispute 
him self or refer it again for decision to any 
oth er nominee or  Boa rd of  nominees ap po inted 
by him;
(3)  No twith sta nding  anythin g con tain ed in Sec­
tio n 19, the  Reg istr ar may , if he thinks fit, suspend  
proc eedings in regard to any  disp ute if  the  ques­
tion at  issue between a co-o perative society and  a 
ban k is one involving complicated que stio n 
of  law and  fact, until the  question has 
been trie d by a regu lar suit ins titute d by one of 
the parties to the dispu te. If  any ' such suit is 
not ins titu ted  within two mo nth s from  the B egis- 
tr ar’s ord er suspend ing proc eedings , the  Regis trar 
shall take acti on as is provided in sub-section (1).
Procedure 21. The  Regis trar or  his nominee or Board 
for hea ring of nom inees hearing a disp ute under the  last 
of disputes. p r e c e d i n g  Section shall hea r the disp ute in the  
ma nn er th at  m ay be prescribed  by the Regis trar
in  this behalf.
Decision of 22. Wh en the dispute is refe rred fo r decision, 
Reg istrar or the  Regis trar or his nominee or  the  Board  of 
his nomin?e nom inees may, aft er giving a reasonable opportu- 
or Board  of  nity  to th e parties to the dispute to be hea rd 
nominees. m a j,s  a n  award on the  dispute, on the expenses 
inc urred by the  parties  to the dispu te in connec tion
wit h the proceedings and  fees, expenses paya ble to the

310 TH E AS SA M GA ZE TT E, EX TR AO RD INAR Y, MAY 2, 197 7 -r
Re gistr ar or his nominee or, as the  case  may 
be, to the  Board of nominees. Such an  award 
shall not be invalid  merely on the  gro un d that 
it was mad e after the expiry of  the per iod  fixed 
for deciding  the  disp ute by the  Regis trar and 
shall subject to app eal or review or revision  by 
the  State Gover nm ent  be bind ing on the  par ties 
to the  disp ute.
Re cov ery  o f 
mo ne y aw ar ­
de d.
23. Every award  given by the  Registrar  
or the  Re gis trar’s  nominee or the Board  of nom i­
nees un de r Sectio n 22, shall, if not carried  out, 
on a certificate signe d by the Registrar , be deemed 
to be a decree of a civil court  and shall be 
executed in the same man ne r as a decree of  such
cou rt.
Powers o f a 24. (1) If a Co -op era tive Society is unable to
bank to pr o-  pay its debts to a ba nk  from  which  it has 
ceed against borrow ed, by reason of its members defa ultin g 
mem bers8o fa ^n  pay ment of  the mon ey due by th em , the bank 
Go-ope rative may direct the comm ittee  of such society to proce ed 
Socie ty. against such mem bers by tak ing action  under  the  
Assam  Co-ope rativ e Societies Act, 1949 (Act 1  of 1950)
(2) If  the c ommit t e of  the Co-o perative Society 
fails to proc eed again st its defa ultin g mem bers 
wit hin a p eriod of nin ety  days from the date of 
receipt of  such dire ctio n from the  bank, the ba nk; 
itse lf may pro cee d aga inst such defa ultin g mem bers 
in whic h event, the provisions of the  Assam Co­
ope rative  Societies Act, 1949 (Act  I of 1950), the 
rules and the bye-law s made there un der shall 
app ly as if all refe renc es to the  society or its 
comm ittee  in the said provisions, rules and bye­
laws were references to the  bank;
(3) Wh ere a bank has obtain ed a decree or  
award  aga inst  a Co-o perative Society ind ebt ed to it, 
the bank may proceed to recover such money 
firstly from  the  assets of the  Co -op era tive Society 
and secondly fro m the  m embers  of the  Co-operativ e 
Society to the exte nt of  the ir debts due to the 
society.
Au dit  insp ec- 25. Th e Regis trar of Co-op erative  Societies, 
tion  and shall dra w th e attention of the ba nk  financ ing  a 
"o r?  of so d - Co-operativ e Society to the defects notified in every 
et ic s° to5°b e audit  or inquiry  or  insp ection of  such society con- 
av ail ab le to duc ted as pe r provisions of the  C o-operativ e Societies 
ba nk . Act, and  sha ll also  supply a copy each of  such 
au di t, inquiry  or  inspection rep ort if dem and ed in
writing, by the  ban k.

TH E AS SA M GA ZE TT E, EX TR AO RD IN AR Y MAY  2, 1977 311
CHAPTER VI
M i sc el la n eon s
Exemp tion 26. Nothi ng in any law for the time being in 
from leg- fo r c e  dealing  with  money-lending or agricultur ists ’ 
tim^to m - d ^ t  relie f shah apply to financial assistanc e availed 
ney lending of by an agr icu lturist  from  a bank .
and  agricu­
lturists deb t
relief.
Mortgages 27. Notwithst anding any thin g con tained  in any 
executed by ja w  f o r  the time being in force, mortgag es execu- 
Jo hn  H b id ut c c l  a i ? t e r  t h e  commenceme nt of this Act, by the 
families. ma nag er of a Jo int  Hin du family in favour  of 
a ban k for securing financial assistance for 
an agricultur al purpo se shall be bind ing on 
every mem ber of  such Joint Hindu family. Where 
a mortgag e executed in favo ur of  a ban k is called 
in question on the  gro und th at  it was executed 
by the man ager  of a Jo in t Hindu  fami ly for a 
pur pose no t binding on the  membe rs (wh ether such 
mem bers have att ain ed  maj orit y or not) the reo f 
th e bur den  of proving  the  same shall lie on the
party  alleging it.
Modified 28. Section 8 of  the Hindu  Minority  and
appli catio n Guardianship. Act, 1956, shall app ly to mortga ges 
°p ^c t i o n 8 in fav ur  Of  a bank subject to the mod ification 
XXXII of t l i a t  r e fe r e n ce to the  court  therein  shall be cons- 
1956. trued as reference to the Com mission er of  Divi­
sion  or his nominee and any appeal aga inst  the 
ord er of  the  Com mission er of Division or his nom i­
nee shall lie to the  State  G overnment.
Power of 29. The  Sta+e  Governme nt may  make rules to
State Gov ern-pr o v ide for all ma tter s for which provision is 
make rules, nece ssary or expedient for the purpose of giving 
effect to the  provisions of  thi s] Act and  all such
rules shall be pub lished in the Official Gazette.
Rep eal an d 30.(1) The Assam  Agricultural Cre dit Op era - A ss am  
Savings. tions and  Miscellaneous Provisions (Banks) Ordi-  Ord inance
nance, 1977 is here by repealed. 1 of 1977.
(2) No tw ith sta nd ing  such repeal, any or de r 
passed, notif icati on issued, any thin g d one ! or any 
action tak en under  the  Ordin anc e so repea led 
shall be deem ed to have been passed, issued , done 
or taken, as the case may  be, und er the correspon ­
din g prov isions of this Act.

312 TH E ASSAM  GA ZE TT E, EX TR AO RD INAR Y, MAY  2, 197?
SCHEDULE
Declaration under section 6 (1)
I ............................................................. aged.........................  .............. years
residing a t ................................................... being desirous of  availing myself
of financial assistance from  th e............................... Bank make this declara­
tion  as requ ire d by section 6(1) of the  Assam Ag ric ult ura l Cre dit 
Ope rations and Misce llaneou s Prov isions (Banks) Act, 1977 tha t T ,
.....................- ................................  own/hav e interest as a ten ant in the land
specified below , and I hereby crea te a charge on the said land/inte res t 
in land  in favo ur of the bank  for securing the financial assistance  
which the ban k may make an d for all futu re assistance if any, which 
the ban k ma y make to me toge ther wit h interest and  costs and expenses 
ther eon.
schedule
Name of Name  of 
Village Mouza/Parganah
Name of District/ 
Sub-Division
Patta No. Dag No. Boundaries
(1) (2) (3) (4) (5) (6)
Areas-Bigh as/ 
Acres
Assessment 
Rs. P.
Approximate
value
Encumbrances if Remark, if 
any, Nature/amount any
(7) (8) (9) (10) (11) c.
No rth
East
Sou th
West
In witness whereof, I, Sh ri........................................................................
here und er set my han d this........................................ day o f...........................
in the year one tho usa nd nine hun dred an d..............................................
Signed an d delivered bj » the  abov e nam ed in the presence of  :— 
Witnesses .
1.
2S’
Signature  of declarant
Atteste d by,
Fo rw ard ed wit h complim ents to the  Sub-D epu ty Collecto r...............
....................................................................... wit h a requ est to include the
particula rs of the  charg e/............................... crea ted under the declaration
in the Recor d-o f Ri gh t and  to return  to the Bank  for  its records.
Ma nag er/A gen t
.................................................... Bank
Place....................................................

THE  AS SA M GA ZE TTE, EXTRA ORD INA RY 7, M AY 2, 1977 313
Returned  with comp liments to the Ma nag er/Ag ent .......,...................
■"........................... ........... Bank. The charge created under the dec laration
duly inclu ded in the Record of Rights on th e...................................................
day of .................................................... . .........
Sub-Depu ty Collector.
Forwarded with compliments to ti e  Sub-Registrar with  a request
to record the part icul ars of the cha rge ............................................................
created  unde r the declaration  in hisj office.
Manag er/A gen t,
.....................................................Bank
Pla ce......... ..........................................
Returned  with complimen ts to the Manager/ Ag ent................................
.  ......................................Bank. The charge crea ted under  the declaration
is dul y reco rded .
Sub-Reg istrars
N.B.—The  irrele vant wo ds/portions may be struc k off and  relevant entries may te  
ma de where necessary.
u . TAF IBIL DAR , 
Secretary to the  Govt of Atsam, 
Legislative Dep artm ent.
G A UHATI —P ri n te d  an d pu blish ed  by  th e Sup dt . i/c , A ss am  Gov t. Pr int ing  
Press, (Ex-G azettel No. 121—1,625 +2,3 50—2-5-1977,

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