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Agriculturist's Loans Act, 1884

Agriculturist's Loans Act, 1884

Act No. 12 of 1884

1418

[24th July, 1884.]

An Act to amend and provide for the extension of the Northern India Takkavi Act, 1879.

Preamble

WHEREAS it is expedient to amend the Northern India Takkavi Act, 1879, and provide for its extension to [other [Part A States or Part C States] ]; It is hereby enacted as follows:-

LEGISLATIVE HISTORY 6

1. Short title:- (1) This Act may be called the Agriculturists' Loans Act, 1884; and

(2) It shall come into force on the first day of August, 1884.

Object & Reasons6

Object and Reasons The object of this Bill is to repeal the Northern India Takkavi Act and re-enact it with certain amendments which appear to be desirable.

First.- The existing law makes no provision for recovery as an arrear of land revenue of interest on loans made under it and of the costs (if any)incurred by the Government in making the loans. Section 3 of Act X of 1879 only provides for the recovery in this way of the principal sum advanced. Section 5 of the Bill supplies this omission by providing that interest and costs (if any) may be recovered as arrear of land-revenue in the same manner as the principal.

Secondly.- Act X of 1879 extends to certain limited areas, namely the North Western Province and Oudh, the Punjab, the Central Provinces; Assam and Ajmer. At present there is no law in force in Bengal and Coorg under which advances of the nature of those with which the Act deals can be made. There are provisions relating to such advances in the laws in force in Bombay, Madras and British Burma; but the Local Government of Bombay and Madras are authorised to accept the extension of Northern India Act to their provinces; and the Chief Commissioner of British Burma says that if that Act is not extended in his province, it will be necessary to amend the law at present in force there in order to provide for the recovery of interest on advances. Provision has, therefore, been made in section 2 of the Bill empowering any Local Government, if it thinks fit, to extend the Act to the whole or any part of the territories under its administration.

Thirdly.- A new section 6 has at the request of the Punjab Government been inserted in the Bill similar to section 9 of the Land Improvement Loans. Act, 1883, recognising the principle of making loans on the joint responsibilities of village communities.

Lastly- As the term "Takkavi" is, it is understood, applied, in some parts of India to advances of the nature of those to which the Land Improvement Loans Act relates, it is proposed to alter the present title and to style the new Act 'The Agriculturists' Loans Act'. - Gazette of India, 1884, Part V, page 2.

STATE AMENDMENTS 6

UNION TERRITORY (Dadra and Nagar Haveli)-

In its application to the Union Territory of Dadra and Nagar Haveli, in Section 1, sub-sec. (2) shall be ommitted. - See G.S.R. 1638, Gazette of India, 8-12-1962, Pt. II, Section 3(i), p. 1982.

ANDHRA PRADESH

In its application to the State of Andhra Pradesh, in sub-section (1) of Section 2, after the expression "except the territories which immediately before the 1st November, 1956, were comprised in Part B States", add the expression "other than the territories specified in sub-section (1) of Section 3 of the States Reorganization Act, 1956" - Andhra Act 19 of 1958, Section 6.

GUJARAT

In its application to the State of Gujarat, amendment made is the same as in Maharashtra. - Act 11 of 1960, Section 87 read with Guj. A.L. (8th Am.) O. 1961 (1-5-1960).

MADHYA PRADESH

(i) in sub-section (1), after "Part B States" add the words "other than the Madhya Bharat and Sironj regions of the State of Madhya Pradesh";

(ii) In sub-section (2), for "the Central Provinces" substitute "the Madhya Pradesh". - Madhya Pradesh Act 23 of 1958, Section 3(3) and Sch.

MAHARASHTRA

In its application to the State of Maharashtra, in section 2-

(a) to sub-section (1) the following proviso shall be added-

"Provided that on the commencement of the Land Improvement Loans and Agriculturists' Loans (Extension and Amendment) Act, 1957, this section shall also extend to the Hyderabad and Saurashtra areas of the State of Bombay."

(b) in sub-section (2)

(i) after the word "Delhi" insert the words "and the State of Bombay" and

(ii) delete the word "Bombay".- Bombay Act 27 of 1958, Section 4(1) and Maha. A. L. (Am.) 0. 1961 (1-5-1960).

UNION TERRITORY (Dadra and Nagar Havell)

In exercise of powers under Section 10 of the Dadra Nagar Haveli Act 1961 (35 of 1961), the Central Government has extended the Act, as in Gujarat, to the D.N.H. Union Territory with some modifications;

(1) For the words `State Government', wherever occurring, the word `Administrator shall be substituted.

(2) Sub-section (2) of Section 1 and Section 2 omitted. - See G.S.R., 1638, Gazette of India, 8-12-1962, Pt. 11, Section 3(i), p. 1982.

2. Local extent:- (1) This section and section 3 extend to the whole of India except Part B States.

(2) The rest of this Act extends in the first instance only to [Bombay, Uttar Pradesh , Punjab, the Central , Provinces , Assam , Delhi and Ajmer-Merwara.]

(3) But any State Government may, from time to time, by notification in the Official Gazette, extend the rest of this Act to the whole or any part of the territories under its administration.

3. [Repeal of Act X of 1879, and sections 4 and 5 of Act XV of 1880.] Rep.by the Repealing Act, 1938 (1 of 1938), s.2 and Sch.

4. Power for State Government to make rules:- (1) State Government [or, in a State for which there is a Board of Revenue or Financial Commissioner, such Board or Financial Commissioner, Subject to the control of the State Government] may, from time to time, [* * *] make rules as to loans to be made to owners and occupiers of arable land, for the relief of distress, the purchase of seed or cattle, or any other purpose not specified in.the Land Improvement Loans Act, 1883, but connected with agricultural objects.

(2) All such rules shall be published in the Official Gazette.

STATE AMENDMENTS 6

5. Recovery of loans:- Every loan made in accordance with such rules, all interest (If any) chargeable thereon, and costs (if any) incurred in making or recovering the same, shall, when they become due, be recoverable from the person to whom the loan and made, or from any person who has become surety for the repayment thereof, as if they were arrears of land-revenue or costs incurred in recovering the same due by the person to whom the loan was made or by his surety.

STATE AMENDMENTS 6

MADHYA PRADESH

For section 5 the following sections shall be substituted, namely-

5. Recovery of loans.- (1) Subject to such rules as may be made under section 4, a loan granted under this Act with any interest due thereon, shall in default of payment, be recoverable by the Deputy Commissioner in all or any of the following modes, namely :

(a) from the borrower - as if it were an arrear of land revenue due by him;

(b) from his surety, if any - as if it were an arrear of land revenue due by him;

(d) out of property comprised in collateral security, if any - according to the procedure for the realisation of land revenue by the sale of immovable property other than the land on which that revenue is due.

(2) It shall be in the discretion of the Deputy Commissioner acting under this section to determine the order in which he will resort to the various modes of recovery permitted by it.

5A. Loans to have priority.- A loan granted under this Act together with interest due thereon and costs of recovery shall except in respect of land revenue and a loan granted under the Land Improvement Loans Act, 1883, have priority over all encumbrances and charges created before the date of the order granting the loan on the borrower's interest in any land". - C. P. and Berar Act 34 of 1947, Section 2 (26-12-1947).

MAHARASHTRA

In its application to the Vidarbha1region of the State of Maharashtra, substitute for section 5, the following:

(i)5. Recovery of loan.- Every loan in accordance with such rules, all interest (if any) chargeable thereon, and costs (if any) incurred in making or recovering the same, shall, when they become due, be recoverable from the person to whom the loan was made, from any person who has become surety for the repayment thereof, as if they were arrears of land revenue or costs incurred in recovering the same due by the person to whom the loan was made or by his surety.

(ii) In its application to the Vidarbha region of the State of Maharashtra section 5A as inserted by C.P. and Berar Act 54 of 1957 is repealed by Bombay Act 27 of 1958, Section 5(g) (1-4-1958)

6. Liability of joint-borrowers as among themselves:- When a loan is made under this Act, to the members of a village community or to any other persons such terms that all of them are jointly and severally bound to the Government for the payment of the whole amount payable in respect thereof, and a statement showing the portion of that amount which as among themselves each is bound to contribute is entered upon the order granting the loan and is signed, marked, or sealed by each of them or his agent duly authorized in this behalf and by the officer making the order, that statement shall be conclusive evidence of the portion of that amount which as among themselves each of those persons is bound to contribute.

STATE AMENDMENTS 6