Notwithstanding anything contained in this Act or in any other law for the time being in force,—
(i) a member who makes an application for a loan to a registered society of which the majority are Agriculturists shall, if he owns land, or other immovable property, make a declaration in the form prescribed, if any, that he thereby creates a charge upon such land or other immovable property or such portion thereby as may be specified in the declaration in respect of the loan which the society may make to the member on the application and future loans, if any, that may be made to him from time to time, by the society together with interest on such loan or loans :
Provided that it shall be lawful for a member to create subsequent charges in favour of the Agricultural and Rural Development Bank, Jammu and Kashmir Bank, the [Government of the Union territory of Jammu and Kashmir] or a Bank contained in Schedule II of the Reserve Bank of India Act, 1934, [x x x x ;]
(ii) a declaration made under clause (i) may be varied or cancelled at any time by the member with the previous written permission of the society in favour of which such charge has been created ;
(iii) no land or other immovable property in respect of which a declaration has been made under clause (i) or any part of such land or other immovable property or any interest in such land or other immovable property shall be sold until the entire amount of the loan or loans taken by the member from the society together with interest thereon is paid to society and any transaction made in contravention of this clause shall be null and void ;
(iv) the declaration made under clause (i) or any variation or cancellation thereof under clause (ii) shall be sent by registered post by the society to the Sub-Registrar having jurisdiction over the area in which the land or other immovable property is situated ;
(v) the declaration made under clause (i) for any variation or cancellation thereof under clause (ii), shall be duly registered by the society in its own records ;
(vi) any declaration made under clause (i) or any variation or cancellation thereof under clause (ii) which has not been registered shall be null and void ;
(vii) the society granting loans under this section shall forward a copy of the particulars of every charge on land or interest created under a declaration under clause (i) or clause (ii) to Tehsildar concerned for being entered in the revenue records ;
(viii) where the committee of a co-operative society fails or is found negligent in getting the charge created in revenue records as laid down under clause (vii), it shall be liable for action under section 77 for not securing the loans advanced to members.