RAJASTHAN
CO-OPERATIVE LAND MORTGAGE BANKS ACT, 1956 THE RAJASTHAN CO-OPERATIVE LAND MORTGAGE BANKS ACT, 1956 [Act No. 38 of 1956] [ 31st October, 1956] An Act to facilitate the working of Co-operative Land Mortgage
Banks in the State of Rajasthan. Whereas it is expedient to
make provision for facilitating the working of Co-operative Land Mortgage Banks
in the State of Rajasthan with a view to providing for the grant of long term
loans to holders of land to enable them to discharge their debts, to carry out
agricultural improvements, to acquire land for the formation of economic
holdings and other like purposes and thereby to promote thrift and self help
among them; Be it enacted by the
Rajasthan State Legislature in the Seventh Year of the Republic of India as
follows:? The Act may be called the
Rajasthan Co-operative Land Mortgage Banks Act, 1956. (1)
This Act extends to the whole of the State of Rajasthan. (2)
It shall come into force at once. In this Act, unless the
subject or context otherwise requires,? (a)
"Board" means the Board of Directors of the Central
Mortgage Bank; (b)
"Central Mortgage Bank" means the Rajasthan Co-operative
Central Land Mortgage Bank which is, or may hereinafter be, established and
registered or deemed to be registered as such under the Rajasthan Co-operative
Societies Act, 1953 (Rajasthan Act IV of 1953); (c)
"Committee" means, in relation to a Mortgage Bank, the
Committee of Management or other directing body of a mortgage bank to whom the
management of its affairs is entrusted; (d)
"Mortgage Bank" means a Co-operative Land Mortgage Bank
registered or deemed to be registered under the Rajasthan Co-operative
Societies Act, 1953 (Rajasthan Act IV of 1953) and admitted as a member of the
Central Mortgage Bank; (e)
"Registrar" means the person appointed by the State
Government to be Registrar of Co-operative Societies for the State of Rajasthan
under section 6 of the Rajasthan Co-operative Societies Act, 1953 (Rajasthan
Act IV of 1953); (f)
"Trustee" means the Trustee referred to in section 5; (g)
"Principal Officer of the Co-operative Department"
means, in relation to a district, the Assistant Registrar of Co- operative
Societies having jurisdiction over the district; and (h)
references to the Transfer of Property Act, 1882 (Central Act IV
of 1882) shall, in cases where that Act does not apply, be construed as
references to that Act as adapted to the State of Rajsthan by the Rajasthan
Adaptation of Central Laws Ordinance, 1950 (Rajasthan Ordinance IV of 1950) (1) (a) With
the previous sanction of the Trustee, the Board may issue debentures of one or
more denominations for such periods as it may deem expedient on the security of
the mortgages assigned or deemed under section 24 to have been assigned, and
other assets transferred, by mortgage banks to the Central Mortgage Bank and of
the other properties of such Bank. (b) Such debentures may
contain a term fixing a period not exceeding ten years from the date of issue
during 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. (2) The total
amount due on the debentures issued by the Board and out sanding at any time,
shall not exceed the aggregate of? (i) ???the total amount due on the mortgages
assigned or deemed under section 24 to have been assigned by the mortgage banks
to the Central Mortgage Bank. (ii) ???the value of other assets transferred by the
mortgage banks to the Central Mortgage Bank and subsisting at such time, and (iii) ??the amount paid under the mortgages referred
to in clause (I) and remaining in the hands of the Board or of the trustee at
that time. (1)
The Registrar, or, where the State Government appoints any other
person in this behalf, such person, shall be the Trustee for the purposes of
securing the fulfillment of the obligations of the Central Mortgage Bank to the
holders of debentures issued by the Board. (2)
The mortgages assigned or deemed under section 24 to have been
assigned, and other assets transferred, by the mortgage banks to the Central
Mortgage Bank shall vest in the Trustee. (3)
The holders of the debentures issued under section 4 shall have a
floating charge on all mortgages and assets referred to in that section, on the
amount paid under such mortgages and remaining in the hands of the Board or of
the Trustee and on the other properties of the Central Mortgage Bank. (4)
The powers and functions of the Trustee shall be governed by the
instrument of trust executed between the Central Mortgage Bank and the Trustee
as modified from time to time by mutual agreement. (5)
The form of such instrument, or any modification thereof which the
parties thereto may mutually agree to make in any of its terms after its
execution, shall be subject to the previous approval of the State Government. (1)
The principal of, and interest on, the debentures issued under
section 4 to such maximum amount as may be fixed by the State Government and
subject to such conditions as it may think fit to impose, shall, subject to the
provisions of sub-sections (3) and (4), carry the guarantee of the State
Government. (2)
The State Government may increase the maximum amount of any
guarantee given by it. (3)
State Government may, after consulting the Board and the Trustee (a)
by notification in the [1]
[Official Gazette,] and (b)
by notice published for not less than fourteen days in such of the
principal newspapers in the State of Rajasthan and of the 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 modify the conditions
subject to which it is given with effect from a specified date, not being
earlier than six months from the date of publication of the modification in the
[Official Gazette]. (4)
In cases where the maximum amount of the guarantee is to be
restricted or the conditions subject to which the guarantee is given are to be
modified, the notification and notice aforesaid shall set forth with sufficient
clearness the scope and effect of the restriction or modification, as the case
may be. (5)
The withdrawal, restriction or modification of any guarantee under
this section shall not affect in any way the guarantee carried by any
debentures issued prior to the date on which such withdrawal, restriction or
modification takes effect. The Board may, subject to
the approval of the Trustee, make regulations not inconsistent with the
provisions of this Chapter? (i) ???for fixing the period of debentures and the
rate of interest payable thereon; (ii) ???for calling in debentures after giving
notice to debenure-holders; (iii) ??for the issue of new debentures in place of
debentures damaged or destroyed. (iv) ??for converting one class of debentures into
another bearing a different rate of interest; and (v) ???generally for carrying out the provisions of
this Chapter. (1) If any
installment payable under a mortgage executed in favour of the Central Mortgage
Bank or a mortgage bank or any part of such installment has remained unpaid for
more than one month from the date on which it fell due, the Board or the
committee, as the case may be, may in addition to any other remedy available,
apply to the Registrar or to any person appointed by the State Government under
section 6 of the Rajasthan Co-operative Societies Act, 1953 (Rajasthan Act IV
of 1953), to assist the Registrar for the recovery of such installment or part
by distrait and sale of the produce of the mortgaged land including the
standing crops thereon. On receipt of such application the Registrar or such
person may, notwithstanding anything contained in the Transfer of Property Act,
1882 (Central Act IV of 1882) but subject to the provisions of section 130 of
the Rajasthan Tenancy Act, 1955
(Rajasthan Act 3 of 1955) and section 224 of the Rajasthan Land Revenue Act,
1956 (Rajasthan Act 15 of 1956), take such action as is necessary to distain
and sell such produce: Provided that no distrait
shall be made after the expiry of twelve months from the date on which the
installment fell due. (2) The
distress shall not be excessive; the value of the property distained shall be,
as nearly as possible, equal to the amount due and the expenses of the distrait
and the costs of the sale as well as all rent, revenue and Government dues
outstanding against the defaulter in respect of that harvest only, which may be
communicated to or brought to the notice of the Registrar or other person
making the distrait. (1)
Before or at the time when a distrait is made under section 8, the
distrait shall serve or cause to be served upon the defaulter a written demand
specifying the amount for which the distrait is made. (2)
The demand shall be dated and signed by the distained and shall be
served upon the defaulter by delivering a copy to him or to some adult member
of his family at his usual place of abode or to his authorized agent or, when
such service cannot be affected, by affixing a copy of the demand on some
conspicuous part of his abode and of his land. (1)
if, within fifteen days from the date of service of the demand
referred to in section 9, the defaulter does not pay the amount for which the
distrait was effected the disdainer may sell in auction the distained property
or such part thereof as may in his opinion be necessary to satisfy the demand
together with the expenses of the distained and the costs of the sale and all
rent, revenue and Government dues referred to in sub-section (2) of section 8. (2)
From the proceeds of such sale, a deduction shall be made at a
rate not exceeding one Anna in the rupee on account of the costs of the sale. (3)
From the balance shall be deducted the expenses incurred by the
disdainer on account of the distrait and all rent, revenue and Government dues
referred to in sub-section (1). (4)
The remainder, if any, shall be applied to the discharge of the
amount for which the disdain 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. (1)
No defect, irregularity or want of form in making any distrait or
sale under this Chapter shall vitiate such distrait or sale. (2)
Any person aggrieved by such distrait or sale shall, however, have
his remedy in damages against the Central Mortgage Bank or a mortgage bank, as
the case may be, at whose instance such distrait and sale were made. The State Government may
make rules not inconsistent with this Chapter? (i) ???for the manner of effecting distrait, (ii) ??for the custody, preservation and sale of
distained property, (iii) ??for the investigation of claims by persons
other than the defaulter to any right or interest in the disdained property and
for the postponement of the sale pending such investigation, (iv) ??for the immediate sale of perishable
articles, and (v) ??generally for the purpose of carrying out the
provisions of this Chapter. (1)
Notwithstanding anything contained in the Transfer of Property
Act, 1882 (Central Act IV of 1882), where a power of sale without the
intervention of the court is expressly conferred on the Central Mortgage Bank
or a mortgage bank by the mortgage deed, the Board or the committee, as the
case may be, of such Bank or any person, authorized by such Board or 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 other remedy available, to
bring the mortgaged property to sale without the intervention of the court
subject to the provisions contained in section 130 of the Rajasthan Tenancy
Act, 1955 (Rajasthan Act 3 of 1955) and in section 224 of the Rajasthan Land
Revenue Act, 1956 (Rajasthan Act 15 of 1956). (2)
No such power shall be exercised unless and until:? (a)
in the case of a mortgage bank, the Board has previously
authorized the exercise of the power conferred by sub-section I); (b)
the Board or the committee has previously heard the objections, if
any, of the mortgagor or mortgagors; (c)
notice in writing requiring payment of such mortgage money or part
has been served upon? (i) ???the mortgagor or each of the mortgagors; (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 mortgage
debt or any part thereof; and (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 (d) default
has been made in payment of such mortgage money or part for three months after
such service. (1)
In exercise of the power of sale conferred by section 13 the Board
or the Committee or any person duly authorized by such Board or committee may
apply to the sale officer appointed in that behalf under section 22 of sell the
mortgaged property or any part thereof, and such officer shall, after giving
notice in writing to all the persons referred to in section 13, sell such
property in the manner prescribed, subject to the provisions contained in
section 130 of the Rajasthan Tenancy Act, 1955 (Rajasthan Act 3 of 1955) and in
section 224 of the Rajasthan Land Revenue Act, 1956 (Rajasthan Act 15 of 1956). (2)
The sale shall be by public auction, shall, in case of the
property to be sold being an agricultural holding, be subject to the provisions
of sections 42 and 213 of the Rajasthan Tenancy Act, 1955 (Rajasthan Act 3 of
1955) and shall be held in the village where the mortgaged property is situated
or at the-nearest place of public resort if the sale officer is of opinion that
the property is likely to sell to better advantage there. (1)
When any mortgaged property has been sold under this Chapter, 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 Board
or the committee concerned as the case may be, to have the sale set aside on
his deposit at the office of the Central Mortgage Bank or the mortgage bank
concerned, as the case may be? (a)
for payment to the Central mortgage Bank or the mortgage bank, the
amount specified in the proclamation of sale together with subsequent interest
and the costs, if any, incurred in bringing the property to sale, and (b)
for payment to the purchaser, a sum equal to five percent of the
purchase money. (2)
If such deposit is made, the Board 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 and disallowed, the Board or the committee, as the case may
be, shall apply to the Principal Officer of the Co-operative Department in the
district to make an order confirming the sale and, on such officer confirming
the sale, it shall become absolute. (1)
The proceeds of every sale under this Chapter shall be applied by
the sale officer, first, in payment of all rent, revenue and Government dues in
respect of the property sold which may be communicated to, or brought to the
notice of, the sale officer; secondly, in payment of all costs, charges and
expenses properly incurred by him incident to the sale or any attempted sale;
thirdly, in payment of all interest due on account of the mortgage in
consequence whereof the mortgaged property was sold; fourthly, in payment of
the principal money due on account of the mortgage and lastly the residue, if
any, shall be paid to the person proving himself interested in the property
sold or, if there are more such persons than one, then to such persons
according to their respective interests therein or upon their joint receipt. (2)
(a) Any person dissatisfied with the decisions of the sale officer
in regard to the distribution of residue may, within thirty days of the
communication to him of such decision, institute a suit in court to establish
the right he claims. (b) The sale officer shall
not distribute such residue 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 person, until the suit is
disposed of or otherwise than in accordance with the decision of the court
therein. 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. (1)
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, the day on which the sale became absolute. (2)
The person so declared to be the purchaser of the interest of the
mortgagor in his holding or part thereof shall have the same interest in such
holding or part and be subject to the same liabilities in respect thereof as the
mortgagor. (1)
Where the mortgaged property sold is in the occupancy 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 five years created by the
mortgagor subsequent to the mortgage in favour of the Central Mortgage Bank or
a mortgage bank and a certificate in respect thereof has been granted under
section 17 the court shall, on the application of the purchaser, order delivery
to be made by putting such purchaser or by any person whom he may appoint to
receive delivery on his behalf, in possession of the property. (2)
Where the property sold is in the occupancy of a tenant or other
person entitled to occupy the same and a certificate in respect thereof has
been granted under section 17, the court shall, on the application of the
purchaser and after notice to such tenant or other person, order delivery to be
made by affixing a copy of the certificate of sale in some conspicuous place on
the property and proclaiming to the occupant 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 with in 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 (Central Act 5 of 1908) shall, mutates mutants and so far
as may be, apply. Explanation.--In this
section "court" shall have the same meaning as in sec. 16. It shall be competent to a
mortgage bank or the Central Mortgage Bank to purchase the mortgaged property
sold under this Chapter, but the property so purchased shall be disposed of by
such bank by sale with in such period as may be fixed by the Trustee. (1)
The Board may, of its own motion or, in the case of a mortgage
executed in favour of a Mortgage Bank, on the application of such mortgage bank
and under circumstances in which the power of sale conferred by section 13 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 realized 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 (Central Act IV of 1882). (2)
A receiver appointed under sub-section (1) may for sufficient
cause and on 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 where the mortgaged property is already in the possession of a receiver
appointed by a civil court. When a sale has been made
in exercise of a power of sale under section 14 and has been confirmed under
sub-section (3) of section 15, the title of the purchaser shall not be
impeachable on the ground that no case had arisen to authorize the sale, or
that due notice was not given or that the power was otherwise improperly or
irregularly exercised, but any person dandified by an unauthorized or improper
or irregular exercise of the power shall have his remedy in damages against the
Central Mortgage Bank or the mortgage bank concerned, as the case may be, by
whom the power of sale conferred by section 13 was exercised. The Registrar may appoint a
sale officer for the purpose of conducting sales under this Chapter. The State Government may
make rules not inconsistent with this Chapter:? (i) ???for the due proclamation and conduct of the
sale; (ii) ???for the recovery of the expenses of the
proclamation and sale; (iii) ??for the deposit of the purchase money; (iv) ??for the resale of the property, if the
purchase money is not deposited; and (v) ??generally for carrying out the provisions of
this Chapter. Upon the issue of
debentures under section 4, all mortgages executed in favour of a mortgage bank
by the members thereof and other assets, on the security of which debentures
are issued, shall, with effect from the date of such issue, be deemed to have
been respectively assigned and transferred by such mortgage bank to the Central
mortgage bank. Where any property
mortgaged to the Central Mortgage Bank or a mortgage bank is rendered
insufficient and the mortgagor, having been given a reasonable opportunity by
the Board or the committee, as the case may be, of providing further security
enough to render the whole security sufficient or of repaying such portion of
the loan as may be determined by the Board or the committee, has failed to
provide such security or to repay such portion of the loan, the whole of the
loan shall be deemed to fall due at once and the Board or the committee shall
be entitled to take action against the mortgagor under section 8 or section 13
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 Central Mortgage
Bank or the mortgage bank concerned. (1)
In the case of the Central Mortgage Bank the Trustee may direct
the Board and, in the case of mortgage bank, the Board or the Trustee may
direct its committee, to take action against a defaulter under section 8 or
section 13 or section 25 and, if the Board or the committee neglects or fails
to do so, the authority making the direction may take such action. (2)
(a) Where such action is taken by the Board, the provisions of
this Act and of any rules or regulations made there under shall apply in
respect thereto as if all said provisions were references to the Central Mortgage
Bank and the Board respectively. (b) Where such action is
taken by the Trustee, the provisions of this Act and of any rules and
regulations made there under shall apply in respect thereto as if all
references to the Central Mortgage Bank or a mortgage bank or to its Board or
committee in the said provisions were references to the Trustee. Notwithstanding anything
contained in the Transfer of Property Act, 1882 (Central Act No. IV of 1882) or
in the Rajasthan Tenancy Act, 1955 (Rajasthan Act No. 3 of 1955) the duration
of any lease executed by a mortgagor of property mortgaged to the Central
Mortgage Bank or a Mortgage Bank after the execution of the mortgage shall in
no case exceed five years. Notwithstanding anything
contained in the Provincial Insolvency Act, 1920 (Central Act V of 1920), a
mortgage executed in favour of 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 if was executed in order
to give the Central mortgage bank or a Mortgage Bank preference over the other
creditors of the mortgagor. Where a mortgage is
executed in favour of the Central Mortgage Bank or a mortgage bank for payment
of prior debts of the mortgagor, such bank may, notwithstanding the provisions
of sections 83 and 84 of the Transfer of Property Act, 1882 (Central Act IV of
1882) notice in writing, require any person to whom any such debt is due to
receive payment of such debt or part thereof from the bank at its registered
office within such period as may be specified in the notice. If any such person
fails to recover such payment, such debt or part thereof, as the case may be,
shall cease to carry interest from the expiration of the period specified in
the notice: Provide 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
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. (1)
Subject to such restrictions, limitation and conditions as may be
prescribed, the Registrar and persons subordinate to the Registrar who are
authorized by him in this behalf be general or special order in wring and such
other persons; being officials engaged in the relief of rural indebtedness or
officers of co-operative banks which are registered or deemed to be registered
under the Rajasthan Co?operative Societies Act, 1953 (Rajasthan Act IV of 1953)
as the State Government may, by notification in the Rajasthan Gazette,
authorized in this behalf, shall have the same powers as are vested in court
under the Code of Civil Procedure, 1908 (Central Act V of 1908), when trying a
suit; in respect of the following matters, namely:? (a)
enforcing the attendance of any person and examining him on oath
or affirmation; (b)
compelling the production of documents; and (c)
issuing commissions for the examination of witnesses. (2)
Any of the officers or persons authorized by or under sub-section
(1) may require any person present before him to furnish any information or to
produce any document then and there in his possession or power. (3)
Any officer or person before whom any document is produced under
subsection (1) or sub-section 2 shall have the power to take or to authorize
the taking of, such copies of the documents or of any entries therein as such
officer or person may consider necessary Copies so taken shall, when 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 therein, as the case may be. (4)
(a) Any person willfully or without reasonable excuse disobeys any
summons, requisition or order issued under sub- section (1) or sub-section (2)
shall be punishable with fine which may extend to fifty rupees and, in the case
of a continuing disobedience, with an additional fine which may extend to five
rupees for every day during which such disobedience continues after conviction
for the last such disobedience. (b) No court inferior to
that of Magistrate of the first class shall try an offence under clause (a). (c) Every offence under
clause (a) shall, for the purpose of the Code of Criminal Procedure, 1898
(Central Act V of 1898), be deemed to be non-cognizable. (d) No prosecution shall be
instituted under clause (a) without the previous sanction,? (i) ???of the Registrar in case the summons,
requisition or order alleged to have been disobeyed was issued by the Registrar
or any disobeyed person subordinate to him or by any officer of a co- operative
bank; and (ii) ???of the Collector of the district in other
cases. (e) Such sanction shall not
be given without giving the party concerned an opportunity to be heard. (5) The State
Government shall have powers to make rules for giving effect to the provisions
of this section. (1)
Notwithstanding anything contained in the Indian Registration Act,
1908 (Central Act 16 of 1908) it shall not be necessary for any Director,
Secretary or other officer of mortgage bank or of the Central Mortgage Bank to
appear in person or by agent at any registration office in any proceeding
connected with the registration of any instrument executed by him in his
official capacity or to sign as provided in section 58 of the Act. (2)
Where any instrument is so executed, the registering officer to
whom such' instrument is presented for registration may, if he thinks fit,
refer to such Director, Secretary or officer for information respecting the
same, and, on being satisfied of the execution thereof, shall register the
instrument. Notwithstanding that a
mortgage executed in favour of the mortgage bank has been assigned, or is
deemed under the provisions of section 24 to have been assigned, to the Central
Mortgage Bank? (a)
all money due under the mortgage shall, in the absence of any
specific direction to the contrary issued by the Board or the trustee and
communicated to the mortgagor, be payable 'o the mortgage bank, and such
payment shall be as valid as if the mortgage had not been so assigned; and (b)
the mortgage bank shall, in the absence of any specific direction
to the contrary issued by the Board or the Trustee and communicated to the
mortgage bank, be entitled to sue on the mortgage or take any other proceeding
for the recovery of the moneys due under the mortgage. (1)
Where a mortgage executed in favour of the Central Mortgage Bank
or a mortgage bank either before or after the commencement of this Act is
called in question on the ground that it was executed by the manager of a Joint
Hindu Family, for a purpose not binding on the members thereof, whether major
or minor, the burden of proving the same shall, notwithstanding any law to the
contrary, be on the party raising it. (2)
A mortgage so executed by the manager of a Joint Hindu Family
shall be binding on the members thereof, whether major or minor, if the loan secured
by the mortgage was advanced for any of the following purposes, namely:? (a)
the improvement of agricultural land or of the methods of
cultivation; and (b)
the purchase of land. Any mortgage bank or the
Central Mortgage Bank may grant copies of any document contained or kept by it
in the course of its business or of any entries therein; and any copy so
granted shall, when 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 therein, as the case may be. The provisions of Chapter III
and IV shall apply also to the loans advanced by mortgage banks from funds
which have not been borrowed from the Central Mortgage Bank. 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 registered post. The provisions of section
102 and 103 of the Transfer of Property Act, 1882 (Central Act IV of 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 be in respect
of all notices to be served under this Act. At any sale of movable or
immovable property held under the provisions of this Act in order to recover
any money due to the Central Mortgage Bank or a mortgage bank no Director,
Secretary or other officer of any such Bank (except on behalf of the Bank of
which he is a Director or Secretary or an officer), and no Sale Officer or
other person having any duty to perform in connection with such sale, shall,
either directly or indirectly, bid for, acquire or attempt to acquire any
interest in such property. The Board may, if it thinks
fit, delegate all or any of its powers under sections 13, 20 and 26 to an
executive committee constituted by it and consisting of two or more of its
members. Notwithstanding anything
contained in the Rajsthan Co-operative Societies Act, 1953 (Rajasthan Act IV of
1953) or the rules made there under, the Board shall have a general power of
supervision over the mortgage banks and may make regulations not inconsistent
with this Act or the rules made there under; (a)
for the inspection of the account books and proceedings of
mortgage banks; (b)
for the submission of returns and reports by mortgage banks in
respect of their transactions; (c)
for the periodical settlement of accounts between mortgage banks
and the Central Mortgage Bank and for the payment of the amounts recovered by
mortgage banks on mortgages assigned or deemed under the provisions of section
24 to have been assigned to the Central Mortgage Bank; (d)
for prescribing the form in which applications to the Central
Mortgage Bank or mortgage banks for loans should be made; (e)
for the valuation of the properties offered as security for such
loans; (f)
for the investment of moneys realized from the mortgagors; and (g)
generally for the purpose of safeguarding the interests of the
parties concerned and carrying out the purposes of this Act. [2]Omitted [3]Omitted [1] Substituted
by section 4 of the Rajasthan Act No. 27 of 1957 pub. in Raj. Gaz. Pt IV-A,
Exty. dated 13.8.1957, This Act now extends to the whole of the State of
Rajasthan including the Abu Ajmer and Sunel areas w.e.f. 1.9.1957 i.e., the
date of enforcement of Rajasthan Act No. 27 of 1957. [2] Omitted
vide Item No. (46) of the Schedule to the Rajasthan Act No. 27 of 1957, Pub. in
Raj. Gaz. Pt. IV-A. Exty. dated 13.8.1957. This Act now extends to the whole of
the State of Rajsthan including the Abu, Ajmer and Sunel areas with effect from
1.9.1957 i.e. the date of enforcement of Rajasthan Act No. 27 of 1957. [3] Omitted
vide Item No. (46) of the Schedule to the Rajasthan Act No. 27 of 1957, Pub. in
Raj. Gaz. Pt. IV-A. Exty. dated 13.8.1957. This Act now extends to the whole of
the State of Rajsthan including the Abu, Ajmer and Sunel areas with effect from
1.9.1957 i.e. the date of enforcement of Rajasthan Act No. 27 of 1957.
Preamble - THE RAJASTHAN CO-OPERATIVE LAND MORTGAGE BANKS ACT,
1956PREAMBLE