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Section 24

The Assam Co-Operative Land Mortgage Bank Act, 1960 (Single Document)State Act of Assam · Act 1 of 1961

(1) Notwithstanding anything contained in the Transfer of Property Act, 1882, or in any other law for the time being in force, a mortgagor shall not grant a lease of the mortgaged property for a period exceeding three years.

(2) Any lease granted in contravention of the provisions of sub-section (1) shall be void.

Act IV of

1882.

Mortgage not to be questioned on insolvency of mortgagor.

25. Notwithstanding anything contained in the Provincial Insolvency Act of 1920 and in any law relating to insolvency, a mortgage executed in favour of 3 [the Central Mortgage Bank or] a Mortgage Bank shall not be called in question on the ground that it was not executed in good faith for valuable consideration or on the ground that was executed in order to give 4 [the Central Mortagage Bank or] the Mortgage Bank a preference over the other creditors of the mortgage Act V of

1920.

Power of mortgage bank to receive money and grant valid discharges notwithstanding assignment of Mortgage deeds to the Central Mortgage Bank.

26. Notwithstanding that a mortgage executed in favour of a Mortgage Bank has been transferred, or is deemed under the provision of Section 21 to have been transferred to the Central Mortgage Bank-

(a) all moneys due under the mortgage may, in the absence of any specific direction to the contrary issued by the Board or Trustee and communicated to the mortgagor, be paid to 5 [the Central Mortagage Bank or] the Mortgage Bank and such payment shall be valid as if, the mortgage had not been so transferred ; and

1. Ins. by Assam Act No. XXIV of 1964.

2. Ins. by Assam Act No. XXIV of 1964.

3. Ins. by Assam Act No. XXIV of 1964.

4. Ins. by Assam Act No. XXIV of 1964.

5. Ins. by Assam Act No. XXIV of 1964.

14

(b) the Mortgage Bank shall, in the absence of any specific direction to the contrary issued by the Board or Trustee and communicated to the Mortgage Bank be entitled to sue on the mortgage or take any other proceedings for the recovery of the moneys due under the mortgage.

Priority of mortgage over certain claims.

27. A mortgage executed in favour of a Mortgage Bank and Central Mortgage Bank shall have priority over any claim of the Government arising from a loan under the Land Improvement Loans Act, 1883, or the Agriculturist's Loans Act, 1884 granted after the execution of the mortgage.

Act XIX of

1883.

Act XIX of

1884.

Right of Mortgage a Bank to pay prior debts of mortgagor.

Where this provision sits

ActThe Assam Co-Operative Land Mortgage Bank Act, 1960 (Single Document)
Section24
JurisdictionState of Assam
StatusIn force as published by the source

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