Amendment status not verified — confirm the current text below against the official source.
Advance of loans and execution of loan bonds. - (1) The loan sanctioned under Section 4 may be advanced in one lump sum or in instalments according as the sanctioning authority may in its discretion decide. (2) Before receiving the advance of loan the borrower shall execute a bond in the prescribed form undertaking to apply the amount of loan solely for the purpose for which, and to comply with the terms and conditions on which, the loan is sanctioned and such bond shall include any sum referred to in Sub- section (4) of Section 4, and in the event of the loan being advanced in instalments a bond in the form so prescribed shall be executed on receipt of each such instalment.