(1) It shal l be lawfu l for an agriculturi st to create a charge on the movable prop ert y owned by him or on the cro ps rais ed by him, standing or otherwise or other produc e from lan d cult ivated 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 that he may no t be owner of the land on and from which the c rop is raised .
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(2) Notwi thst and ing 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 rative Society to an agri cul turi st sha ll have pr ior ity over a charge on the cro ps rai sed by him, standing or otherwise, or any othe r movable prop ert y in respect of any financial assistance given to him by a ban k, pr od de d the financia l assis tance made by the bank is prio r in po int of time t o that of the financial assistance extended by the Co operativ e Society ;
(3) A bank may dis tra in and sell through an officer designated in this behalf by the Sta te Go vern ment the crop or other produce or other movable prop er ty charged to that bank to the extent of the agriculturist’s inte rest therein and ap prop ria te the proceeds of such sale tow ards all moneys due to the ban k from that agriculturi st.
* C re at io n of 6. (1) Where an agriculturi st create a charge on fa iu t^ in fav- â n < ^’ o r a n 7 o t her immovable pro perty which he ou r of a ba nk O w n s o r in which he has an inte rest in respect of by de clar a- any financial assis tance given to him by a ban k, he tio n. m a y make a declara tion 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 crea tes, in fav our of the bank , charge 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-sect ion (1) may be vari ed fro m time to time by the agricul tu ris t with the consent of the bank in whose favour the declara tion has been made . Such var iation sha ll tak e effect from such date on which the var iat ion , if it has been an orig ina l dec lara tion , wou ld have effect under section 9.
CHA PTER III Charges and Mortgages in fav our of banks an d th ei r prio ritie s.
Re mo va l of 7 - Notwi ths tanding any thin g to the con tra ry di sa bi lit y in con tain ed in the Assam Co-operativ e Societies Act, cre at ion of 1949 (A ct 1 of 1950) or any othe r law for the time charg es an d bein g in force and notwithstand ing th at any land mortgager. o r in t e r e s t the rein stan ds alread y charged or mo r tgag ed to a Co-ope rative Society it shall be lawful Aiiuxiiy 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 land or inte rest th erein in favo ur of a bank as secu rity for any financial assistance given to the agriculturi sts by the bank .