Amendment status not verified — confirm the current text below against the official source.
iipplicant for loan from primary bank to furnish declara- tion -(1) Every person who ttpphes for a loan from a primay bank shall make a derlarat10n 111 the presfTlbed form before an officer specified by the Registrar 111 this behalf that the lJl.OVable or immo- vable property on wh1ch the GPh.a'1 or mortgage ·or hypothecation IS created as se:::t...rny for the loan 1s free from encumbrances, that he is in actual po~sesswn thereof and that he has the r1ght to create the Gehan m· mo<tgage or hyi)othecu.twn, c.s the case may be, thereon in favour of t 11e primary banlc (2) Notwithstanding anythmg contamed in any law for the time bemg in force, where a declaratwn undE-r sub-sectiOn (1) in respect of ::>:ty movab!e or nnmovable property 1~ false or defective, the primary bank shall, subject to the provisions of secf.ion 13, have a first charge on all other movable and immovable properties of the applicant, and all such propert1es shall be deemed" to have been mcluded in the Gehan created or mortgage or hypothecation exe- cuted by the applicant as security for the loan granted to him by the primary bank. , 13) Any person, who makes a false declaration under sub- ~::ec>tion (1) or make any statement which is false in any such declaration shall be punishable with imprisonment for a term which · · may extend to six m0nths, or w~tb fine which may extend to two thom;and rupees, or with both. ( 4) The amount of loan that may be sanctioned on the basis of a declaration made u..H.ler sub-sectiOn (1) shall be subJect to such hmit :1.s may be pre'3c.-ibed. _ _; 1~ Pnm itp of Gelutn, mortgaqe and h?!pothqcation.=-. ( 1) Any amount payablf' under a GehP.n ~reated 0r mortgage o-r hypothecu- twn executed in favour of the Agricultural Development Bank or pr1mary hank shall have prwnty ove1· any cTaim of the Government arJsing from a loan under the Kerala Land Development Act, 1964 • l40 (17 of 1964), Or the Kerala Agriculturists' Loans Act, 1961 (27 of 1961), granted after the creatiOn of the Gehan or the execution of the mortgage or hypothecatwn. • (2) Notwithstandmg anythmg contained in any law for the time bemg m iorce, a ·Gehan created or mortgage or hypothecatiOn executed m favour of the Agncultural Development Bank or a pnmary bank shall take precedence over any attachment or equi- tablf: mortgage over the properties, where, after pubhcation of a nolice in the prescnbed form, the claim or mterest under such altachment or eqmtable mortgage has r:ot been notified to such bank withm the tlme prescribed in the said notice. < .. 13 Transfe?· and testmg gehan, mor~gage. and hypothecatwn wzth Agricultural De1'elopment Bank -A Gehan created or mort- gage or hypo'thcc:ltwn executed or deemed to have teen created C·i executed m favour of, a:-~d all other assets transferred or deemed to have been t;:ansferred to, a pnmary l)ank, shall with effect from E>UCh creatwn, e:~ecution or transfer or with effect from the date ot ~uch deeming, ~s the case may be, be deemed to have been trans- terred by such pnmc.ry bank to the AgriCultural Development Bank.