Amendment status not verified — confirm the current text below against the official source.
Notwithstanding anything contained in this Act or in any other law for the time being in force,— (a) a member who makes an application for loan to a Co-operative society of which the majority of the members are agriculturists shall, if he owns any land or has interest in any land as a tenant, make in the prescribed form a declaration that he thereby creates a charge upon such land or interest as may be specified in the declaration for repayment with interest of the loan or of the future loans, if any, that may be granted to him by the Co- operative society from time to time; (b) a declaration made under clause (a) may be varied or cancelled by the member at any time with the consent of the Co-operative society; (c) the land or the interest upon which a charge has been created under clause (a) shall not be transferred by the member until the entire amount of the loan including interest has been repaid by the member: Provided that nothing in this clause shall apply to such part of the land or interest as has been released under clause (e) from the charge created under clause (a); (d) any transfer made in contravention of clause (e) shall be void; (e) if the member repays a part of the dues on account of any loan and makes an application for release of the land or interest from the charge created under clause (a), the Co-operative society may, with the approval of the central bank or concerned region of the State Co-operative Bank to which it may be indebted and having regard to the security of the outstanding amount of the loan and the interest thereon, release from the charge such portion of the land or the interest as it may deemed proper.