Amendment status not verified — confirm the current text below against the official source.
Grant of permission for mortgage of leased plots/premises.— (a) Upon receipt of an application the Board of the Corporation or any official authorized to that effect and extent, may decide in respect of permitting an allottee to mortgage the lease hold rights over the plot allotted, over the machinery installed/to be installed and the factory building constructed on the said plot, to any Financial Institution for raising funds for setting up the project. (b) Pursuant to the decision referred to under clause 20 (a) above a letter conveying no objection shall be issued to the Financial Institution for financing the allottee for setting up the project, to have the First, Second or pari passu charge over the lease hold rights of the plot allotted, over the machinery installed/to be installed and the building constructed on the said plot provided the allottee regularly remits the annual lease rent fixed. (c) On behalf of the Corporation the letter to the financial institutions will be issued by the Managing Director or any other officer authorized by the Corporation within a period of 15 days from the receipt of the application and/or from the date of payment of any outstanding dues by the allottee whichever is later. (d) Processing fees prescribed under clause 21 would be applicable. (e) In case of any unforeseen circum-stances if the movable or immovable assets of the allottee are attached by the Financial Institution for recovery of dues and the said assets are put to auction then the financial institution shall also recover the outstanding dues if any of the Corporation by the allottee and remit the same to the Corporation. (f) No transfer shall be eventuated unless and until the outstanding dues of the Corporation are deposited with the Corporation either by the financial institution or the bidder parties. It would be incumbent upon the bidder parties and/or financial institutions to check the outstanding dues of the Corporation if any, against the said assets before bidding so as to avoid further complication to get the plot transferred in their names. (g) Auction of the allottees assets attached by the Financial Institution shall be only for use under category permitted by the Corporation to be set up by the prospective bidders.