Amendment status not verified — confirm the current text below against the official source.
(1) Notwithstanding anything to the contrary in section 39 of the Uttar Pradesh Co-operative Societies Act, 1965 or section 18 of the Uttar Pradesh Co-operative Land Development Banks Act, 1964 or any other law for the time being in force— (a) any charge or mortgage created on any land or interest therein in favour of Government shall have priority over any other charge or mortgage that may have been crated on such land or interest by an agriculturist in favour of a bank or co-operative society prior to the date the charge or mortgage was created in favour of the Government ; (b) any charge or mortgage created on any land or interest therein in favour of a bank in respect of financial assistance given to an agriculturist by that bank shall have priority over any other charge or mortgage that may have been created on such land or interest in favour of any person other than Government, a co-operative society or any other bank, prior to the date on which the charge or mortgage was created in favour of that bank ; (c) where different charges or mortgages over the same land or interest therein have been created by an agriculturist in favour of a cooperative society or a bank or more than one bank, any such charge or mortgage created as security for financial assistance given by the cooperative society or the bank or banks by way of term loan for development purposes shall have priority over the other charges or mortgages created in favour of the co-operative society or any of the Banks, provided prior notice of any such financial assistance by way of term loan for development purposes had been given to such co-operative society or bank and such co-operative society or bank had concurred in such financial mortgage is crated as security for financial assistance given by way of term loan, the charges or mortgages by way of security for term loan for development purposes shall rank for priority in accordance with the dates of their creation. Explanation— For the purposes of this section, “term loan for development purpose” means financial assistance which would generally leak to improvement of agriculture or building up of assets in agriculture but does not include financial assistance for meeting working capital expenses, seasonal agricultural operations and marketing of crops. (2) Nothing in this section shall apply to borrowings only from one or more co-operative societies, including land development banks or the State Land Development Bank as defined in the Uttar Pradesh Cooperative Land Development Banks Act, 1964.