(6)     "Instalment" means periodical payment of interest and a part of the principal amount as may be determined by the Government;

(7)     "Officer of the Bank" means the Officer appointed by the Reserve Bank of India to perform the duties under the Act;

(8)     "Form" means a Form as set out in the Schedule to these Rules;

(9)     "Public Debt Office" means the office of the Reserve Bank of India on the books of which a bond is registered or may be registered;

(10)   "Mutilated Bonds" means a bond which has been destroyed, torn or damaged in material parts thereof and the material parts of a bond, are those where-

(i)       the number, description and the face value of the bond or payments of installments are recorded, or

(ii)      the endorsement or the name of the payee is written, or

(iii)     the renewal receipt is supplied;

(11)   "Defaced Bond" means a Bond which has been made illegal or rendered undecipherable in material parts;

(12)   "Lost Bond" means a bond which has actually been lost and shall not mean a bond which is in the possession of some person adversely to the claimant.

Rule 3. From of Bond issuable as Government security under Section 2(2)(b) of the Act.--

The Government may issue a bond in Form A or as near thereto as circumstances permit. Save as otherwise provided in these Rules, a Bond in such a form shall be deemed to be a Government security for all the purposes of the Act.

Rule 4. Transfer of Bonds.--

(1)     A Bond shall be transferable by endrosement and delivery like a promissory note payable to order.

(2)     No endorsement of a bond shall be valid unless made by the signature of the holder or his duly constituted attorney or representative inscribed on the back of the bond itself.

(3)     No writing on a Bond is valid for the purpose of negotiation if such writing purports to transfer only a part of the amount denominated by the bond.

(4)     The treasury or sub-treasury, or any office of the bank of the Public Debt Office may decline to accept a Bond, endorsed in bank for any purpose unless the endorsement in blank is converted into that in full before presentation.

Rule 5. Payment of Instalment.--

Instalments on a bond may be made payable at any treasury or sub-treasury in the State concerned or at the Public Debt Office, subject to compliance by the holder with such formalities as the Public Debt Office may require and installments shall accordingly be paid at such Treasury or sub-Treasury of Public Debt Office on presentation of the bond. The payee shall give a receipt in Form B. Where however, installments are payable at a place where a Public Debt Office, is located the bond shall unless otherwise directed by the Public Debt Office, be presented at the Public Debt Office which shall issue an installment in favour of the holder payable at the local office of the Bank or any agency thereof conducting Government treasury business or at a Treasury. Notwithstanding anything contained herein, any installment due on a bond, the installments on which are payable at a Treasury or sub-Treasury, may be paid by the Public Debt Office by an installment warrant payable at such Treasury or sub-Treasury.

Rule 6. Procedure when a Bond is lost etc.--

(1)     When a bond is lost, stolen, destroyed, mutilated or defaced, the person entitled thereto may apply for the issue of a duplicate bond in the manner laid down in sub-rule (3) to the Public Debt Office at which the bond is registered with a statement showing particulars, such as number, amount and description of the bond.

(2)     The Bank may by its order suspend payment of istalments on or the maturity value of the bond or postpone the making of any order under Section 11 of the Act until the vesting order has been made.

(3)     Every application for the issue of a duplicate bond in place of a bond which is alleged to have been lost, stolen, destroyed, mutilated or defaced, either wholly or in part, shall be accompanied by-

(a)      a statement of the following particulars, namely:

(i)       the last half-year for which installment has been paid;

(ii)      the person to whom such installment was paid;

(iii)     the person in whose name the Bond was issued (if known);

(iv)    the place for payment of installment at which the bond was for the time being enfaced;

(v)      the circumstances attending the loss, theft, destruction, mutilation or defacement; and

(vi)    whether the loss or theft was reported to the police.

(b)      the Post Office registration receipt for the letter containing the bond, if the same was lost in transmission by registered post;

(c)      a copy of the police report, if the loss or theft was reported to the police;

(d)      where the last payment of installment was not made by a warrant issued by the Public Debt Office, a letter signed by the Officer of the Treasury where installment was last paid, certifying the last payment of installment on the bond and stating the name of the party to whom such payment was made.

(e)      if the applicant is not the holder in whose name the bond was originally issued, an affidavit sworn before a Magistrate testifying that the applicant was the last legal holder of the bond all documentary evidence necessary to trace back the title to the original holder;

(f)       any portion of fragments which may remain of the lost, stolen, destroyed, mutilated or defaced Bond.

(4)     Any duplicate of the letter sent to the Public Debt Office but not of its enclosures, shall also be sent to the Treasury where installments are payable.

(5)     The loss, theft, destruction, mutilation, or defacement of a bond, or a portion of a bond shall be further notified by the applicant in three successive issues of the Official Gazette of the Government issuing the bond and if the loss, theft, destruction, mutilation or defacement occurred at a place outside the State of the Government issuing the bond, also in three successive issues of Official Gazette, if any of the State in which such place is situated. Such notification shall be in the form following or as nearly in such form as circumstances permit:

"Lost" ("stolen", "destroyed", "mutilated", or "defaced" as the case may be) The.................Bond on...........of the............. Government for Rs. Originally standing in the name of and last endorsed to.....the proprietor, by whom it was never endorsed to any other person, having been lost (stolen, destroyed, mutilated, or defaced) notice is hereby given that payment of the above bond and the installments thereupon have been sloped at the Public Debt Office, and that application is about to be made for the issue of a duplicate in favour of the proprietor. The public are cautioned against purchasing or otherwise dealing with the above mentioned bond. Name of person notifying: Residence:

(6)     After the publication of the last notification prescribed in sub-rule (5), the Bank shall, if it is satisfied of the loss, theft, destruction, mutilation or defacement, of the bond and of the justice of the claim of the applicant, cause the particulars of the bond to be included in a list such as is referred to in Rule 7 hereunder and shall order the Public Debt Office-

(i)       if only a portion to the bond has been lost, stolen, destroyed, mutilated or defaced, and if a portion of the bond sufficient for its identification has been produced, to issue to the applicant, on the execution of an indemnity bond such as is hereinafter mentioned, a duplicate bond in place of that of which a portion has been lost, stolen, destroyed, mutilated or defaced on the expiry of such period not exceedeing six months as the Bank may consider necessary from or immediately after the date of the publication of the said list; and

(ii)      If no portion of the bound so lost, stolen, destroyed, mutilated or defaced, sufficient for its identification has been produced to issue to the applicant on the execution of an indemnity bond such as is hereinafter mentioned a duplicate bond in place of the bond so lost, stolen, destroyed, mutilated or defected one year after the date of publication of the said list:

Provided that

(a)      if the date on which the final installment of the bond is due for payment falls earlier than the date on which the said period of one year expires, or if the bond is notified for redemption before that date, the Bank shall pay all the outstanding installments after the expiry of the said period of one year without issuing duplicate bond; and

(b)      if at any time before the issue of a duplicate bond, the original is discovered or it appears to the Public Debt Office for other reasons that the order should be rescinded, the matter shall be referred to the Bank for further consideration and in the meantime all action on the order shall be suspended.

(7)     The Bank may, at any time prior to the issue of a duplicate bond, if it finds sufficient reason, or after cancel any order made by the Bank under this Rule and may also direct that interval before the issue of a duplicate bond shall be extended by such period not exceeding one year as it may think fit.

(8)     Indemnity bonds.-

(i)       An indemnity bond, when executed under sub-rule (6) and not under Rule 12 shall be for twice the amount of the installments involved, that is to say, twice the amount of all back installments accrued due on the bond plus twice the amount of all installments to accrue due thereon.

(ii)      The Bank may direct that such Indemnity Bond shall be executed by the applicant alone or by applicant and one or two sureties as it may think fit, or that in lieu of furnishing personal sureties the applicant shall furnish collateral security in the shape of Government securities to be deposited with it for such amount and period as it may think fit.

Rule 7. Publication of list.--

(i)       The list referred to in Rule 6 shall be published quarterly in the Official Gazette of the Government issuing the bond in the months of January, April, July and October or as soon afterwards as may be convenient.

(ii)      All bonds in respect of which an order has been passed under Rule 6 shall be included in the first list published next after the passing of such order and thereafter such bonds shall continue to be included in each of the succeeding lists published in the months of January and July or soon therafter until the expiration of the period prescribed for the issue of duplicates.

(iii)     The list shall contain, as far as possible, the following particulars regarding each bond included therein, namely, the description of the bond, the number of the bond, its value, the person to whom it was issued, the date from which installments are due, the name of the applicant for a duplicate, the number and the date of the order passed by the Bank for payment of installments or issue of a duplicate and the date of publication of the list in which the bond was first included.

Rule 8. Determination of title by Vesting Order.--

Notwithstanding anything contained in Rule 6, the title to a lost, stolen, destroyed, mutilated, or defaced bond may be determined by the Bank by its order vesting title to the bond.

Rule 9. Determination of a mutilated or a defaced bond as requiring renewal.--

It shall be at the option of the Bank to treat a bond which has been mutilated or defaced as a bond requiring the issue of a duplicate under Rule 6 or mere renewal under Rule 14.

Rule 10. When a bond required to be renewed.--

(1)     The holder of bond may be required by the Public Debt Office to receive the same for renewal in any of the following cases namely:

(a)      if only sufficient room remains on the back of the bond for one further endorsement or if any word is written upon the bond across any existing endorsement or endorsements;

(b)      if the bond is torn or in any way damaged or crowded with writing or unfit in the opinion of the Public Debt Office;

(c)      if any endorsement is not clear and distinct or does not indicate the payee or payees, as the case may be, by name or in the case of officeholders, by office, or is made otherwise than in one of the endorsement cases on the back of the bond;

(d)      if the bond having been enfaced three times for payment of installments is presented for re-enfacement; and

(e)      if, in the opinion of the Public Debt Office, the title of the person presenting the bond for payment of installment is irregular or not fully proved.

(2)     When requisition for the renewal of a bond has been made under sub-rule (1), payment of any further installments thereon may be refused until it is receipted for renewal and actually renewed.

Rule 11. Procedure for making vesting order.--

(1)     In cases to which Section 12 of the Act applies the Bank may determine the person in the manner hereunder as being entitled in its opinion to the bond and may by its order vest title in such person accordingly.

(2)     The person claiming to be entitled to a bond shall apply to the Bank and adduce documentary evidence in support of his claim.

(3)     On receipt of the application by the Bank, the Bank if it contemplates making a vesting order under the Act-

(i)       may suspend payment of installments on or the maturity value of the bond or postpone the making of any order under Section 11 until the vesting order has been made;

(ii)      may, if it considers proper, request a District Magistrate to record or to have recorded the whole or any part of such evidence as any person whose evidence the Bank requires may produce or direct one of its officers to record such evidence or may receive evidence upon affidavit.

(4)     The Bank shall thereafter give notice in writing to each claimant of whom it has knowledge stating the names of all other claimants and the time when and the Officer of the Bank by whom the determination of title will be made.

(5)     On the date and at the time fixed in the notice referred to in sub-rule (4) above, the Officer shall-

(i)           examine the evidence adduced by the parties;

(ii)          hear the parties affected and record such evidence as they adduce. No further evidence shall be recorded or entertained in cases where-

(a)      the District Magistrate has been requested to record or to have the evidence recorded, or

(b)      the Bank has directed one of its Officers to record the evidence, and

(iii)         determine the issue as to who is entitled to the bond.

(6)     After determination of the issue by the Officer, the Bank shall give notice in writing to each claimant of the determination so made.

(7)     The notices prescribed in sub-rules (4) and (6) above shall be published in three successive issues of the date on which they are respectively issued.

(8)     On the expiry of six months from the issue of the notice referred to in sub-rule (7), the Bank may make an order vesting the bond in the person found by the Bank to be entitled thereto.

Rule 12. Indemnity Bonds.--

In cases to which Sections 9, 10 or 12 of the Act applies, the Bank may require any person considered by the Bank as being entitled to a bond to execute a Security Bond in Form C, with one or more sureties or to furnish security not exceeding twice the value of the subject matter of the order, to be held at the disposal of the Bank to pay to the Bank or to any person to whom the Bank may assign the security bond or security in furtherance of sub-section (2) of Section 16 of the Act, the amount thereof.

Rule 13. Provision for recognition of title to Bonds held by managing member of Joint Hindu Family subject to Mitaksharalaw.--

The certificate required under the proviso to Section 7 of the Act shall be a certificate signed by the District Magistrate after such enquiry (if any) as may in his opinion be necessary to determine the matters in question referred to therein.

Rule 14. Receipt for renewal etc.--

(1)     Subject to any general or specific instructions of the Bank, the Public Debt Office may, by its order, on the application of the holder, renew or consolidate a bond or bonds, provided that the bond or bonds has or have been receipted in Form D or E, as the case may be.

(2)     Sub-division of a bond or bonds will not be allowed except on an order made by the Bank in its discretion. If sub-division is permitted, the bond or bonds tendered for sub-division shall be receipted in Form F.

(3)     The Public Debt Office may, under any of the sub-rules of this Rule, enquire the applicant to execute a security bond in Form C with one or more sureties approved by the Public Debt Office or to furnish security not exceeding twice the value of the subject-matter of the order, to be held at the disposal of the Bank, to pay to the Bank or to any person to whom the Bank may assign the security bond or security in furtherance of sub-section (2) of Section 16 of the Act, the amount thereof.

Rule 15. Discharge of bond.--

(1)     When the last installment on a bond becomes due for payment or the bond is notified for redemption, it shall be presented at the office at which the installment on the bond is payable or at the Public Debt Office and signed by the holder on its reverse.

(2)     If the Public Debt Office is of the opinion that a dobut exists relating to the title to a bond, it may require the claimant to execute a security bond in Form C with one or more sureties approved by the Public Debt Office, or to furnish security not exceeding twice the amount of installments involved to be held at the disposal of the Bank to pay to the bank or to any person to whom the Bank may assign the security bond or security of the amount thereof.

Rule 16. When execution of a document or maker of endorsement is unable to write.--

(1)     If any person by whom any document relating to bond is to be executed or by whom an endorsement is to be made on a bond satisfied a Magistrate that he is for any reason unable to write, and that the effect of the document or endorsement is fully understood by him, and that he is the person whom he represents himself to be, such Magistrate may, at the request of that person and subject to the provisions of this Rule, execute the document or sign the endorsement on his behalf.

(2)     Where any such documents is to be executed or an endorsement signed by a Magistrate under this Rule on behalf of any person, the Magistrate shall execute the document or sign the endorsement in the presence of that person, and shall enter below his own signature a certificate to the effect that the document was executed, or the endorsement signed, as the case may be, at the request of that person, after having been previously read over to the latter, and that he is satisfied that the effect of the document or the endorsement is fully understood by such person.

(3)     Nothing in the above sub-rule shall preclude the Bank from acting upon the execution of a document relating to a holder on an endorsement thereon in a manner otherwise than referred to above; provided that the Bank is satisfied as to the genuineness and validity of the execution of the document or endorsement on the bond.

Rule 17. Application for grant of information.--

(1)     Any person requiring information regarding a bond in the custody of the Public Debt Office may apply to that office in writing stating the form in which the information is required.

(2)     Every such application shall state with precision the particulars (namely, the number, description and the face value) of the bond and shall contain a statement of the purpose for which the information is required and of the interest of the applicant in the bond. If any of the above particulars are not known to the applicant the Bank may on application in writing being made to it, direct the Public Debt Office, at its discretion, to supply the required particular or particulars, if available, to the applicant subject to such condition and on payment of such fees, if any, as it may prescribe.

Rule 18. Disposal of application for grant of information or inspection.--

The following provisions shall be observed in dealing with applications under Rule 7:

(1)     If the applicant asks for any information in respect of a bond which has been renewed, consolidated, or sub-divided otherwise than in the name of the person who has renewed, consolidated or sub-divided the bond or asks for inspection of such bond, or any register or book kept or maintained in the Public Debt Office in respect thereof or of any entry of such bond in such register or book, the application shall be refused. The Register or book shall mean the register or the book in which the bond is entered, registered or referred to.

(2)     If the applicant asks for inspection or information in respect of a bond which has been cancelled on payment of the amount due in respect thereof, it shall be referred to and disposed of under the orders of the Bank.

(3)     In any other case the Public Debt Office may subject to the provisions hereinafter contained, grant a certified copy of any endorsement on a bond or any entry in any register or book maintained or kept by the office relating to any bond on being satisfied that the bond in question had stood in the name of the applicant or of a person in whom the applicant has a representative interest, and further that the applicant has bona fide interest in the bond in respect of which the application is made:

Provided that if the bond has been cancelled for payment of the amount due in respect thereof, no copy of any endorsement thereon shall be granted which purports to give a title subsequently at the termination of the applicant's interest in the bond.

(4)     The Public Debt Office may, under a special order of the Bank, supply any information regarding a bond referred to in sub-rules (2) and (3) which is directed to be supplied by such an order.

(5)     If an applicant asks for:

(a)      any information from the record of the Public Debt Officer or the bank in connection with a bond;

(b)      a copy of any document from the record; and

(c)      inspection of any record generally or any document or documents specifically;

the application shall be referred to and disposed of subject to the provisions of sub-rule (1) of this Rule under the order of the Bank.

(6)     If the application relates to the grant of permission for inspection of an installment warrant or of information relating to payment of installments for a specific period the application may be granted by the Bank provided the applicant was the person to whom installments were paid.

(7)     No information from any document or record in respect of the proceedings instituted by the Bank under Section 12 of the Act shall be granted by the Bank.

Rule 19. Indemnity bond and fees in connection with grant of information or inspection.--

(1)     Every applicant shall, before any information is supplied or permission for inspection granted to him, execute a bond of indemnity as nearly as may be in Form G for the amount as hereinafter mentioned:-

(a)      the bond of indemnity for grant of information or inspection under any of the sub-rule (1) to (4) of Rule 18 shall be for twice the amount of the installments paid on the bond or bonds from the date of issue; and

(b)      the bond of indemnity for grant of information or of permission for inspection under sub-rule (5) and (6) of Rule 18 shall be for such amount as may be determined by the Bank.

(2)     Every applicant shall, before any information is supplied to him under Rule 17 or 18, pay a fee of Re. 1 for each bond in respect of which any information is supplied and a fee of Re. 1 shall be paid for each certified copy granted under Rule 18.

(3)     The Bank may waive the execution of a bond of indemnity or may forego the fees either wholly or party payable to the Bank under sub-rule (2) above, or may do both.

Rule 20. Fees.--

The following fees shall be paid in respect of applications under Section 11 of the Act, namely.

For each renewed, consolidated, sub-divided or duplicate bond, [25 Paise per cent, if the face value of the new bond does not exceed Rs. 400, and Re. 1 if the new bond exceeds that sum.

PUBLIC DEBT (COMPENSATION BONDS) RULES, 1954

PREAMBLE

In exercise of the powers conferred by Section 28 of the Public Debt Act, 1944 (XVIII of 1944), the Central Government hereby makes the following Rules, the same having been previously published as required by sub-section (1) of the said section namely:-

Rule 1. Short title and application.--

(1)     These Rules may be called the Public Debt (Compensation Bonds) Rules, 1954.

(2)     They shall apply to the arrears to which Public Debt Act, 1944 (XVIII of 1944) applies.

Rule 2. Definition.--

In these Rules, unless the context otherwise requires-

(1)     "The Act" means the Public Debt Act, 1944 (XVIII of 1944);

(2)     "The Bank" means the Reserve Bank of India;

(3)     "Bond", other than an Indemnity Bond or a Security Bond means a Bond issued under Rule 3.

(4)     "the Government", in relation to any bond means the State Government issuing the Bond;

(6)     "Instalment" means periodical payment of interest and a part of the principal amount as may be determined by the Government;

(7)     "Officer of the Bank" means the Officer appointed by the Reserve Bank of India to perform the duties under the Act;

(8)     "Form" means a Form as set out in the Schedule to these Rules;

(9)     "Public Debt Office" means the office of the Reserve Bank of India on the books of which a bond is registered or may be registered;

(10)   "Mutilated Bonds" means a bond which has been destroyed, torn or damaged in material parts thereof and the material parts of a bond, are those where-

(i)       the number, description and the face value of the bond or payments of installments are recorded, or

(ii)      the endorsement or the name of the payee is written, or

(iii)     the renewal receipt is supplied;

(11)   "Defaced Bond" means a Bond which has been made illegal or rendered undecipherable in material parts;

(12)   "Lost Bond" means a bond which has actually been lost and shall not mean a bond which is in the possession of some person adversely to the claimant.

Rule 3. From of Bond issuable as Government security under Section 2(2)(b) of the Act.--

The Government may issue a bond in Form A or as near thereto as circumstances permit. Save as otherwise provided in these Rules, a Bond in such a form shall be deemed to be a Government security for all the purposes of the Act.

Rule 4. Transfer of Bonds.--

(1)     A Bond shall be transferable by endrosement and delivery like a promissory note payable to order.

(2)     No endorsement of a bond shall be valid unless made by the signature of the holder or his duly constituted attorney or representative inscribed on the back of the bond itself.

(3)     No writing on a Bond is valid for the purpose of negotiation if such writing purports to transfer only a part of the amount denominated by the bond.

(4)     The treasury or sub-treasury, or any office of the bank of the Public Debt Office may decline to accept a Bond, endorsed in bank for any purpose unless the endorsement in blank is converted into that in full before presentation.

Rule 5. Payment of Instalment.--

Instalments on a bond may be made payable at any treasury or sub-treasury in the State concerned or at the Public Debt Office, subject to compliance by the holder with such formalities as the Public Debt Office may require and installments shall accordingly be paid at such Treasury or sub-Treasury of Public Debt Office on presentation of the bond. The payee shall give a receipt in Form B. Where however, installments are payable at a place where a Public Debt Office, is located the bond shall unless otherwise directed by the Public Debt Office, be presented at the Public Debt Office which shall issue an installment in favour of the holder payable at the local office of the Bank or any agency thereof conducting Government treasury business or at a Treasury. Notwithstanding anything contained herein, any installment due on a bond, the installments on which are payable at a Treasury or sub-Treasury, may be paid by the Public Debt Office by an installment warrant payable at such Treasury or sub-Treasury.

Rule 6. Procedure when a Bond is lost etc.--

(1)     When a bond is lost, stolen, destroyed, mutilated or defaced, the person entitled thereto may apply for the issue of a duplicate bond in the manner laid down in sub-rule (3) to the Public Debt Office at which the bond is registered with a statement showing particulars, such as number, amount and description of the bond.

(2)     The Bank may by its order suspend payment of istalments on or the maturity value of the bond or postpone the making of any order under Section 11 of the Act until the vesting order has been made.

(3)     Every application for the issue of a duplicate bond in place of a bond which is alleged to have been lost, stolen, destroyed, mutilated or defaced, either wholly or in part, shall be accompanied by-

(a)      a statement of the following particulars, namely:

(i)       the last half-year for which installment has been paid;

(ii)      the person to whom such installment was paid;

(iii)     the person in whose name the Bond was issued (if known);

(iv)    the place for payment of installment at which the bond was for the time being enfaced;

(v)      the circumstances attending the loss, theft, destruction, mutilation or defacement; and

(vi)    whether the loss or theft was reported to the police.

(b)      the Post Office registration receipt for the letter containing the bond, if the same was lost in transmission by registered post;

(c)      a copy of the police report, if the loss or theft was reported to the police;

(d)      where the last payment of installment was not made by a warrant issued by the Public Debt Office, a letter signed by the Officer of the Treasury where installment was last paid, certifying the last payment of installment on the bond and stating the name of the party to whom such payment was made.

(e)      if the applicant is not the holder in whose name the bond was originally issued, an affidavit sworn before a Magistrate testifying that the applicant was the last legal holder of the bond all documentary evidence necessary to trace back the title to the original holder;

(f)       any portion of fragments which may remain of the lost, stolen, destroyed, mutilated or defaced Bond.

(4)     Any duplicate of the letter sent to the Public Debt Office but not of its enclosures, shall also be sent to the Treasury where installments are payable.

(5)     The loss, theft, destruction, mutilation, or defacement of a bond, or a portion of a bond shall be further notified by the applicant in three successive issues of the Official Gazette of the Government issuing the bond and if the loss, theft, destruction, mutilation or defacement occurred at a place outside the State of the Government issuing the bond, also in three successive issues of Official Gazette, if any of the State in which such place is situated. Such notification shall be in the form following or as nearly in such form as circumstances permit:

"Lost" ("stolen", "destroyed", "mutilated", or "defaced" as the case may be) The.................Bond on...........of the............. Government for Rs. Originally standing in the name of and last endorsed to.....the proprietor, by whom it was never endorsed to any other person, having been lost (stolen, destroyed, mutilated, or defaced) notice is hereby given that payment of the above bond and the installments thereupon have been sloped at the Public Debt Office, and that application is about to be made for the issue of a duplicate in favour of the proprietor. The public are cautioned against purchasing or otherwise dealing with the above mentioned bond. Name of person notifying: Residence:

(6)     After the publication of the last notification prescribed in sub-rule (5), the Bank shall, if it is satisfied of the loss, theft, destruction, mutilation or defacement, of the bond and of the justice of the claim of the applicant, cause the particulars of the bond to be included in a list such as is referred to in Rule 7 hereunder and shall order the Public Debt Office-

(i)       if only a portion to the bond has been lost, stolen, destroyed, mutilated or defaced, and if a portion of the bond sufficient for its identification has been produced, to issue to the applicant, on the execution of an indemnity bond such as is hereinafter mentioned, a duplicate bond in place of that of which a portion has been lost, stolen, destroyed, mutilated or defaced on the expiry of such period not exceedeing six months as the Bank may consider necessary from or immediately after the date of the publication of the said list; and

(ii)      If no portion of the bound so lost, stolen, destroyed, mutilated or defaced, sufficient for its identification has been produced to issue to the applicant on the execution of an indemnity bond such as is hereinafter mentioned a duplicate bond in place of the bond so lost, stolen, destroyed, mutilated or defected one year after the date of publication of the said list:

Provided that

(a)      if the date on which the final installment of the bond is due for payment falls earlier than the date on which the said period of one year expires, or if the bond is notified for redemption before that date, the Bank shall pay all the outstanding installments after the expiry of the said period of one year without issuing duplicate bond; and

(b)      if at any time before the issue of a duplicate bond, the original is discovered or it appears to the Public Debt Office for other reasons that the order should be rescinded, the matter shall be referred to the Bank for further consideration and in the meantime all action on the order shall be suspended.

(7)     The Bank may, at any time prior to the issue of a duplicate bond, if it finds sufficient reason, or after cancel any order made by the Bank under this Rule and may also direct that interval before the issue of a duplicate bond shall be extended by such period not exceeding one year as it may think fit.

(8)     Indemnity bonds.-

(i)       An indemnity bond, when executed under sub-rule (6) and not under Rule 12 shall be for twice the amount of the installments involved, that is to say, twice the amount of all back installments accrued due on the bond plus twice the amount of all installments to accrue due thereon.

(ii)      The Bank may direct that such Indemnity Bond shall be executed by the applicant alone or by applicant and one or two sureties as it may think fit, or that in lieu of furnishing personal sureties the applicant shall furnish collateral security in the shape of Government securities to be deposited with it for such amount and period as it may think fit.

Rule 7. Publication of list.--

(i)       The list referred to in Rule 6 shall be published quarterly in the Official Gazette of the Government issuing the bond in the months of January, April, July and October or as soon afterwards as may be convenient.

(ii)      All bonds in respect of which an order has been passed under Rule 6 shall be included in the first list published next after the passing of such order and thereafter such bonds shall continue to be included in each of the succeeding lists published in the months of January and July or soon therafter until the expiration of the period prescribed for the issue of duplicates.

(iii)     The list shall contain, as far as possible, the following particulars regarding each bond included therein, namely, the description of the bond, the number of the bond, its value, the person to whom it was issued, the date from which installments are due, the name of the applicant for a duplicate, the number and the date of the order passed by the Bank for payment of installments or issue of a duplicate and the date of publication of the list in which the bond was first included.

Rule 8. Determination of title by Vesting Order.--

Notwithstanding anything contained in Rule 6, the title to a lost, stolen, destroyed, mutilated, or defaced bond may be determined by the Bank by its order vesting title to the bond.

Rule 9. Determination of a mutilated or a defaced bond as requiring renewal.--

It shall be at the option of the Bank to treat a bond which has been mutilated or defaced as a bond requiring the issue of a duplicate under Rule 6 or mere renewal under Rule 14.

Rule 10. When a bond required to be renewed.--

(1)     The holder of bond may be required by the Public Debt Office to receive the same for renewal in any of the following cases namely:

(a)      if only sufficient room remains on the back of the bond for one further endorsement or if any word is written upon the bond across any existing endorsement or endorsements;

(b)      if the bond is torn or in any way damaged or crowded with writing or unfit in the opinion of the Public Debt Office;

(c)      if any endorsement is not clear and distinct or does not indicate the payee or payees, as the case may be, by name or in the case of officeholders, by office, or is made otherwise than in one of the endorsement cases on the back of the bond;

(d)      if the bond having been enfaced three times for payment of installments is presented for re-enfacement; and

(e)      if, in the opinion of the Public Debt Office, the title of the person presenting the bond for payment of installment is irregular or not fully proved.

(2)     When requisition for the renewal of a bond has been made under sub-rule (1), payment of any further installments thereon may be refused until it is receipted for renewal and actually renewed.

Rule 11. Procedure for making vesting order.--

(1)     In cases to which Section 12 of the Act applies the Bank may determine the person in the manner hereunder as being entitled in its opinion to the bond and may by its order vest title in such person accordingly.

(2)     The person claiming to be entitled to a bond shall apply to the Bank and adduce documentary evidence in support of his claim.

(3)     On receipt of the application by the Bank, the Bank if it contemplates making a vesting order under the Act-

(i)       may suspend payment of installments on or the maturity value of the bond or postpone the making of any order under Section 11 until the vesting order has been made;

(ii)      may, if it considers proper, request a District Magistrate to record or to have recorded the whole or any part of such evidence as any person whose evidence the Bank requires may produce or direct one of its officers to record such evidence or may receive evidence upon affidavit.

(4)     The Bank shall thereafter give notice in writing to each claimant of whom it has knowledge stating the names of all other claimants and the time when and the Officer of the Bank by whom the determination of title will be made.

(5)     On the date and at the time fixed in the notice referred to in sub-rule (4) above, the Officer shall-

(i)           examine the evidence adduced by the parties;

(ii)          hear the parties affected and record such evidence as they adduce. No further evidence shall be recorded or entertained in cases where-

(a)      the District Magistrate has been requested to record or to have the evidence recorded, or

(b)      the Bank has directed one of its Officers to record the evidence, and

(iii)         determine the issue as to who is entitled to the bond.

(6)     After determination of the issue by the Officer, the Bank shall give notice in writing to each claimant of the determination so made.

(7)     The notices prescribed in sub-rules (4) and (6) above shall be published in three successive issues of the date on which they are respectively issued.

(8)     On the expiry of six months from the issue of the notice referred to in sub-rule (7), the Bank may make an order vesting the bond in the person found by the Bank to be entitled thereto.

Rule 12. Indemnity Bonds.--

In cases to which Sections 9, 10 or 12 of the Act applies, the Bank may require any person considered by the Bank as being entitled to a bond to execute a Security Bond in Form C, with one or more sureties or to furnish security not exceeding twice the value of the subject matter of the order, to be held at the disposal of the Bank to pay to the Bank or to any person to whom the Bank may assign the security bond or security in furtherance of sub-section (2) of Section 16 of the Act, the amount thereof.

Rule 13. Provision for recognition of title to Bonds held by managing member of Joint Hindu Family subject to Mitaksharalaw.--

The certificate required under the proviso to Section 7 of the Act shall be a certificate signed by the District Magistrate after such enquiry (if any) as may in his opinion be necessary to determine the matters in question referred to therein.

Rule 14. Receipt for renewal etc.--

(1)     Subject to any general or specific instructions of the Bank, the Public Debt Office may, by its order, on the application of the holder, renew or consolidate a bond or bonds, provided that the bond or bonds has or have been receipted in Form D or E, as the case may be.

(2)     Sub-division of a bond or bonds will not be allowed except on an order made by the Bank in its discretion. If sub-division is permitted, the bond or bonds tendered for sub-division shall be receipted in Form F.

(3)     The Public Debt Office may, under any of the sub-rules of this Rule, enquire the applicant to execute a security bond in Form C with one or more sureties approved by the Public Debt Office or to furnish security not exceeding twice the value of the subject-matter of the order, to be held at the disposal of the Bank, to pay to the Bank or to any person to whom the Bank may assign the security bond or security in furtherance of sub-section (2) of Section 16 of the Act, the amount thereof.

Rule 15. Discharge of bond.--

(1)     When the last installment on a bond becomes due for payment or the bond is notified for redemption, it shall be presented at the office at which the installment on the bond is payable or at the Public Debt Office and signed by the holder on its reverse.

(2)     If the Public Debt Office is of the opinion that a dobut exists relating to the title to a bond, it may require the claimant to execute a security bond in Form C with one or more sureties approved by the Public Debt Office, or to furnish security not exceeding twice the amount of installments involved to be held at the disposal of the Bank to pay to the bank or to any person to whom the Bank may assign the security bond or security of the amount thereof.

Rule 16. When execution of a document or maker of endorsement is unable to write.--

(1)     If any person by whom any document relating to bond is to be executed or by whom an endorsement is to be made on a bond satisfied a Magistrate that he is for any reason unable to write, and that the effect of the document or endorsement is fully understood by him, and that he is the person whom he represents himself to be, such Magistrate may, at the request of that person and subject to the provisions of this Rule, execute the document or sign the endorsement on his behalf.

(2)     Where any such documents is to be executed or an endorsement signed by a Magistrate under this Rule on behalf of any person, the Magistrate shall execute the document or sign the endorsement in the presence of that person, and shall enter below his own signature a certificate to the effect that the document was executed, or the endorsement signed, as the case may be, at the request of that person, after having been previously read over to the latter, and that he is satisfied that the effect of the document or the endorsement is fully understood by such person.

(3)     Nothing in the above sub-rule shall preclude the Bank from acting upon the execution of a document relating to a holder on an endorsement thereon in a manner otherwise than referred to above; provided that the Bank is satisfied as to the genuineness and validity of the execution of the document or endorsement on the bond.

Rule 17. Application for grant of information.--

(1)     Any person requiring information regarding a bond in the custody of the Public Debt Office may apply to that office in writing stating the form in which the information is required.

(2)     Every such application shall state with precision the particulars (namely, the number, description and the face value) of the bond and shall contain a statement of the purpose for which the information is required and of the interest of the applicant in the bond. If any of the above particulars are not known to the applicant the Bank may on application in writing being made to it, direct the Public Debt Office, at its discretion, to supply the required particular or particulars, if available, to the applicant subject to such condition and on payment of such fees, if any, as it may prescribe.

Rule 18. Disposal of application for grant of information or inspection.--

The following provisions shall be observed in dealing with applications under Rule 7:

(1)     If the applicant asks for any information in respect of a bond which has been renewed, consolidated, or sub-divided otherwise than in the name of the person who has renewed, consolidated or sub-divided the bond or asks for inspection of such bond, or any register or book kept or maintained in the Public Debt Office in respect thereof or of any entry of such bond in such register or book, the application shall be refused. The Register or book shall mean the register or the book in which the bond is entered, registered or referred to.

(2)     If the applicant asks for inspection or information in respect of a bond which has been cancelled on payment of the amount due in respect thereof, it shall be referred to and disposed of under the orders of the Bank.

(3)     In any other case the Public Debt Office may subject to the provisions hereinafter contained, grant a certified copy of any endorsement on a bond or any entry in any register or book maintained or kept by the office relating to any bond on being satisfied that the bond in question had stood in the name of the applicant or of a person in whom the applicant has a representative interest, and further that the applicant has bona fide interest in the bond in respect of which the application is made:

Provided that if the bond has been cancelled for payment of the amount due in respect thereof, no copy of any endorsement thereon shall be granted which purports to give a title subsequently at the termination of the applicant's interest in the bond.

(4)     The Public Debt Office may, under a special order of the Bank, supply any information regarding a bond referred to in sub-rules (2) and (3) which is directed to be supplied by such an order.

(5)     If an applicant asks for:

(a)      any information from the record of the Public Debt Officer or the bank in connection with a bond;

(b)      a copy of any document from the record; and

(c)      inspection of any record generally or any document or documents specifically;

the application shall be referred to and disposed of subject to the provisions of sub-rule (1) of this Rule under the order of the Bank.

(6)     If the application relates to the grant of permission for inspection of an installment warrant or of information relating to payment of installments for a specific period the application may be granted by the Bank provided the applicant was the person to whom installments were paid.

(7)     No information from any document or record in respect of the proceedings instituted by the Bank under Section 12 of the Act shall be granted by the Bank.

Rule 19. Indemnity bond and fees in connection with grant of information or inspection.--

(1)     Every applicant shall, before any information is supplied or permission for inspection granted to him, execute a bond of indemnity as nearly as may be in Form G for the amount as hereinafter mentioned:-

(a)      the bond of indemnity for grant of information or inspection under any of the sub-rule (1) to (4) of Rule 18 shall be for twice the amount of the installments paid on the bond or bonds from the date of issue; and

(b)      the bond of indemnity for grant of information or of permission for inspection under sub-rule (5) and (6) of Rule 18 shall be for such amount as may be determined by the Bank.

(2)     Every applicant shall, before any information is supplied to him under Rule 17 or 18, pay a fee of Re. 1 for each bond in respect of which any information is supplied and a fee of Re. 1 shall be paid for each certified copy granted under Rule 18.

(3)     The Bank may waive the execution of a bond of indemnity or may forego the fees either wholly or party payable to the Bank under sub-rule (2) above, or may do both.

Rule 20. Fees.--

The following fees shall be paid in respect of applications under Section 11 of the Act, namely.

For each renewed, consolidated, sub-divided or duplicate bond, [25 Paise per cent, if the face value of the new bond does not exceed Rs. 400, and Re. 1 if the new bond exceeds that sum.