Section 123: Mortgages 13[and other instruments] not to be questioned on insolvency of mortgagors 14[or executants.
The Maharashtra Co-operative Societies Act, 1960State Act of Maharashtra · Act 24 of 1961
Notwithstanding anything contained in the Presidency-towns Insolvency Act, 1909 (III of 1909) or the Provincial Insolvency Act, 1920 (V of 1920) or any corresponding law for the time being in force, a mortgage, 15[or any other instruments supporting the loan] executed in favour of a 16[Co-operative Agriculture and Rural Multipurpose Development Bank] shall not be called in question in any insolvency proceedings on the ground that it was not executed in good faith for valuable consideration, or on the ground that it was executed in order to give the Bank a preference over other creditors of the mortgagor 17[or of the executant of the instrument].
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