Amendment status not verified — confirm the current text below against the official source.
(1) If on the expiry of the said period the debtor shall have paid into court the full amount due from him the Collector shall discharge all his debts. (2) If on the expiry of the said period the debtor shall not have paid into court the full amount due from him the Collector shall expend the amount, if any, paid in discharging the debts in order of priority and shall proceed to liquidate the amount still remaining due in accordance with provisions of the following sections. —————————————————————————————————————————— 1 Add. by s. 22 of U. P. Act XI of 1939. 2 Subs. by the A. O. 1950 for [Provl.Govt.]which had been subs. by the A. O. 1937 for (L. G.). [The United Provinces Encumbered Estates Act, 1934] 19 1[23-A. The Collector shall require the Compensation Officer and Rehabilitation Grants Officer as may be necessary to place at his disposal in pursuance section 70 of the U. P. Zamindari Abolition Land Reforms Act, 1950, the amount of compensation money and rehabilitation grant payable to the landlord in respect of his proprietary rights in land reported to be liable to attachment or sale under the provisions of sub-section (2) of section 19. Compensation and rehabilitation grant to be placed at the disposal of Collector 23-B. (1) Without prejudice to the provisions of section 8 of the U. P. Zamindars‘ Debt Reduction Act, 1952, the amount or the bonds on account of compensation or rehabilitation grant received by the Collector in pursuance of the requisition under section 23-A shall be expended or utilized by the Collector in liquidation of the amount of the secured debt which having regard to the provisions of the U. P. Zamindars‘ Debt Reduction Act, 1952, was secured on the proprietary rights in land in respect of which such money has been received. Liquidation of secured debt recoverable from compensation and rehabilitation grant. (2) If any balance out of the compensation or rehabilitation grant received by the Collector in pursuance of the requisition under section 23-A remains in the lands of the Collector after utilizing the same in accordance with the provisions of sub-section (1), such balance shall be utilized by the Collector in discharging the debts, other than the debts, referred to in the said sub-section in order of priority.]1