(1) It shall be lawful for an agriculturist to create a charge on the movable property owned by him or on the crop raised by him, standing or otherwise, or other produce from land cultivated by him to the extent of his interest therein, in favour of a bank, to secure financial assistance from that bank, notwithstanding that he may not be 4/11 owner of the land on and from which the crop is raised.
(2) Notwithstanding anything to the contrary in the Bihar and Orissa Cooperative Societies Act, 1935 (B. & O. Act VI of 1935) or other law for the time being in force, no charge in respect of financial assistance extended by a cooperative society to an agriculturist shall have priority over a charge on the crops raised by him, standing or otherwise, or any other movable property in respect of any financial assistance made by the bank is prior in point of time to that of the financial assistance extended by the co-operative society.
(3) The crop or other produce or movables in respect of which a charge has been created in favour of the bank may be attached and sold to the extent of the interest of the agriculturists therein, in the manner laid down in the Bihar and Orissa Public Demands Recovery Act, 1914 (B. & O. Act IV of 1914) and the proceeds of such sale may be appropriated towards all moneys due to the bank from that agriculturist.