BOMBAY AGRICULTURAL DEBTORS RELIEF ACT, 1947
(1) This Act may be called the Bombay Agriculture Debtors Relief Act, 1947.
(2) It extends to the whole of the 3 (1) 1. This clause was substituted for the original by Bombay 70 of 1948, s. 2(4) 3 (1) 1. The words were added by Bombay 70 of 1948, Sec. 2 (1). [Bombay area of the State of Gujarat].
In this Act, unless there is anything repugnant in the subject or context,- (1) "award" means an award made under sub-section (4) of (section 8) or (sections 9) , (Section 32) or (Section 33) or as confirmed or modified by the Court in appeal;
(2) "Co-operative society" means a society registered under the provisions of the Bombay Co-operative Societies Act, 1925; (Bom. VII of 1925).
(3) "Court" means the Court of the Civil Judge (Senior Division), having ordinary jurisdiction in the area where the debtor ordinarily resides and if there is no such Civil Judge, the court of Civil Judge (Junior Division), having such jurisdiction 3 (1) 1. This clause was substituted for the original by Bombay 70 of 1948, s. 2(4) 3 (1) 1. The words were added by Bombay 70 of 1948, Sec. 2 (1). [and includes any court to which an application may be referred
Save as otherwise expressly provided, nothing in this act shall affect the debts and liabilities of a debtor falling under the following heads, namely:- (i) any revenue or tax payable to Government or any other sum due to it by way of loan or otherwise,
(ii) any tax payable to a local authority or any other sum payable to such authority by way of loan or otherwise,
(iii) any sum due to a co-operative society,
(iv) any sum advanced solely for the purpose of financing of crops as provided in the repealed Act or for the purpose of seasonal finance as provided in this Act,
(v) any sum due under a decree or order maintenance passed by a competent Court 3 (1) 1. The word 'and' was deleted by Bombay 37 of 1950, s. 3. x x x
&
(1) Any debtor ordinarily residing in any local area for which a Board was established under (section 4) of the repealed Act on or after the 1st February 1947, or his creditor may make an application before the 1st August 1947 to the Court for the adjustment of his debts.
(2) Every application made under sub-section (1) shall be in writing in the prescribed form and shall be signed, verified and prescribed in the prescribed manner.
(3) Notwithstanding anything contained in (section 3) an application made under this section shall contain the amounts and particulars of all debts specified in that section due by the debtor.
(1) Notwithstanding the fact that no application has been filed under (section 4) -
(a) every creditor, on being required to do so by notice in writing by any of his debtors, shall, within two months from the date of the receipt of such notice, file before the Court a true and correct statement of all his claims against such debtor and shall at the same time send a copy thereof to such debtor, and
(b) every debtor, on being required to do so by notice in writing by any of his creditors, shall, within two months from the date of the receipt of such notice, file before the Court a true and correct statement-
(i) of all the debts owned by such debtor;
(ii) whether he holds any land used for agricultural purposes and whether he has been cultivating
(1) if the payment of a debt due by a debtor is guaranteed by a surety or if a debtor is otherwise jointly and severally liable for any debt along with any other person and if the surety or such other person is not a debtor, the debtor may make an application under (section 4) for relief in respect of such debt and the Court may after consideration of the facts and circumstances of the case proceed with the adjustment of debts under this Act in so far as such applicant is concerned.
(2) Whenever the debts due by a debtor which are guaranteed by a surety are adjusted under sub-section (1), the surety shall be discharged from liability in respect of the debts or portion of the debts of such debtor which are extinguished under sub-section (1) of (section 15) , sub-section (3) of (section 17) , sub-section (5) of (section 26) , (section 34) or sub-section (2) of (section 35) ; and the
No application shall lie under (Sec. 4)
for adjustment of any debt due from a debtor to whom such debt has been transferred or assigned after the 1st January, 1938 by any person who is not himself a debtor.
(1) If any debtor and any or all of his creditors arrive at a settlement in respect of any debt due by the debtor to the creditor, the debtor or any of the creditors may, within thirty days from the date of such settlement, make an application to the Court for recording such settlement.
(2) Every such application shall be in the prescribed form and shall be signed and verified in the prescribed manner.
(3) On receipt of such application the Court shall, after giving notice to the creditor or the debtor, as the case may be, and after making such enquiry as it thinks fit, if it is satisfied that the settlement arrived at is bona fide and voluntary and is not made with intent to defeat or delay any of the creditors of the debtor, and is in the interest of the debtor, 3 (1) 1. The words, brackets, letters, and figures "and that the debtors
Notwithstanding anything contained in the proceedings before the Court or the Court in appeal, as the case may be a settlement is arrived at between a debtor and all his creditors and if such Court is satisfied that the settlement has been made by the debtor voluntarily and is for his benefit, such Court may make an award in terms of such settlement.
Every settlement of a debt due from a debtor to any creditor, which is not credited by the Court under (section 8)
, or in terms of which no award has been made under section 2, shall be void and shall not be recognised by any Court for any purpose whatsoever.
No application under (section 4)
or (section 8)
shall be entertained by the Court on behalf of or in respect of any debtor, unless the total amount of debts due from him on the date of the application is not more than Rs. 15,000.
An application for adjustment of debts under (section 4)
or an application for recording a settlement under (section 8)
shall not be withdrawn without the leave of the Court.
Where two or more applications for adjustment of debts under (section 4)
are presented by or against the same debtor, all such applications shall be consolidated. Where such separate applications are presented 3 (1) 1. These words were Inserted by Bombay 70 of 1948, s. 3. [by or] against joint debtors, all such applications shall be heard together.
3 (2) 2. This section was inserted, These words were Inserted by Bombay 70 of 1948, s. 3, s. 4 [ A Civil Judge may refer for disposal any application filed under (section 4)
or (section 8)
to a Joint Civil Judge.]
On receipt of an application for adjustment of debts, the Court shall- (a) give notice to the debtor (unless the debtor is himself an applicant) and to every creditor (other than the creditor who is himself an applicant) whose name and address are given in the application, and
(b) publish a general notice. requiring the debtor and all creditors to submit a statement in the prescribed form within one month from the date of the service of the notice or the publication of the general notice, whichever is later: Provided that if the Court is satisfied that the debtor or any creditor is for good and sufficient cause unable to comply with the notice within the time specified therein it may extend the period for the submission of the statement.
(1) Every debt due from a debtor in respect of which no application has been made under (section 4) within the period specified in the said (section 4) or in respect of which no application for recording a settlement is made under (section 8) within the period specified in the said (section 8) or in respect of which an application made to the Court is withdrawn under (section 12) and no fresh application is made under (section 4) and every debt due from such debtor in respect of which a statement is not submitted to the Court by the creditor in compliance with the provisions of (section 14) shall be extinguished.
(2) Nothing in this section shall apply to any debt due from any person who has by his declaration, act or omission intentionally caused or permitted his creditor to believe that he is not a debtor for the purposes of this Act or that no application under (section 4) can
(1) Every debtor by or against whom an application is made under (section 4) or who is a party to an application made under (section 8) shall produce all books of accounts and shall give such inventories of his property and such lists of his creditors and debtors and of the debts due from and to him, submit to such examination in respect of his property or his creditors, attend at such time before the Court and generally do all such things as may be required by the Court or as may be prescribed.
(2) It shall be the duty of every creditor to produce such books of accounts, to submit to such examination and to supply such information in respect of the debt due to him by the debtor and the securities held by him, as may be required by the Court or as may be prescribed.
(1) On the date fixed for the hearing of an application made under (section 4) , the Court shall decide the following points as preliminary issue:-
(a) whether the person for the adjustment of whose debts the application has been made is a debtor;
(b) whether the total amount of debts due from such person on the date of the application exceeds Rs. 15,000.
(2) If the Court finds that such person is not a debtor or that the total amount of debts due from such person on the date of the application is more than Rs. 15,000 the Court shall dismiss the application forthwith: Provided that before the application is so dismissed the creditors or any of them may remit any specific portion of their claim so as to reduce the total amount of the debts of all the creditors due from such person on the dat
3 (2) 2. Rep. by Bombay 70 of 1948, section 6. 3 (2) 2. These words, brackets and figure were substituted for the words "other than revisional", by The words, "on the date of the application" were deleted by Bombay 70 of 1948, s.7(1), s. 7(2). [X X X]
(1) All suits, appeals, applications for execution and proceedings 3 (3) 3. These words and figures were substituted for the words "other than revisional Rep. by Bombay 70 of 1948, section 6. S. 7(1). 3 (3) 3. Sub-sections (6) and (7) were added, These words, brackets and figure were substituted for the words "other than revisional", by The words, "on the date of the application" were deleted by Bombay 70 of 1948, s.7(1), s. 7(2), s. 7(3). [including Revisional proceedings Pending before a District Judge under (section 53 of the Dekkhan Agriculturists Relief Act, 1879, (XVII of 1879)) in respect of any debt pending in any civil or revenue court shall, if they involve the questions whether the persons from whom such debt is due is a debtor and whether the total amount of debts due from him 3 (1) 1. This Explanation was added by Bombay 70 of 1948, s.5.. 3 (1) 1. The words, "on the date of the application" were deleted by Bombay
If the Court finds the person making an application under (section 4)
or the person against whom an application is made under the said (section 4)
to be a person- (a) who is debtor, and
(b) the total amount of debts due from whom on the date of the application is not more than Rs. 15,000/-. the Court shall proceed to take accounts in the manner hereinafter provided.
In an application for the adjustment of debts if the amount of the creditor's claims is disputed, the Court shall, when taking accounts, examine both the creditor and the debtor as witnesses, unless for reasons to be recorded the Court deems it unnecessary so to do.
Notwithstanding any agreement between the parties or the persons (if any) through whom they claim, as to allowing compound interest or setting off the profits of mortgaged property without an account in lieu of interest, or otherwise determining the manner of taking the account, and notwithstanding any statement or settlement of account, or any contract purporting to close previous dealings and create a new obligation, the Court shall inquire into the history and merits of the case and the take account between the parties from the commencement of the transactions subsisting between the parties and the persons (if any) through whom they claim, out of such the claim has arisen and determine the amount due to each of the creditors at the date of the application made under (section 4)
, according to the following rules, namely :- (1)
(a) Se
When any mortgaged property is in the possession of the mortgagee or his tenants other than the mortgagor and the Court is unable to determine what profits have actually been received, it may fix a fair rent for such property and charge to the mortgagee such rent as profits for the purpose of (section 22)
: Provided that, if it be proved that in any year there was any suspension or remission of rent or land revenue of such land under (section 84A of the Bombay Land Revenue Code, (Bom. V of 1879)) an abatement of the whole or part of such amount may be allowed for the year.
(1) Notwithstanding to the contrary contained in law, custom, or contract, whenever it is alleged during the course of the hearing of an application made under (section 4) that any transfer of land by a person whose debts are being adjusted under this Act or any other person through whom he inherited it was a transfer in the nature of mortgage, the Court shall declare the transfer to be a mortgage, if the Court is satisfied that the circumstances connected with that transfer showed it to be in the nature of a mortgage.
(2) Any agricultural labour may make an application before the 1st August, 1947 to the Court that any transfer of land by him or any other person through whom he inherited it was a transfer in the nature of mortgage. On hearing the application, the Court shall, notwithstanding anything to the contrary contained in any law, custom, or contract, declare the transfer to
Nothing in (section 24)
shall apply to- (i) Any transfer which has been 3 (1) 1. This word was Inserted by Bombay 70 of 1948. s. 8. [finally] adjudged to be a transfer other than mortgage by a decree of a court of competent jurisdiction or by a Board established under (section 4) of the repealed Act; and
(ii) any bona fide transferee for value without notice of the real nature of such transfer or his representative where such transferee or representative holds under a registered deed executed on or before the 15th day of February 1939.
(1) On receipt of an application for adjustment of debts, the Court shall give notice to the Collector requiring him to state to the Court within such time as may be fixed by it the amount of the debt due by the debtor to Government.
(2) The Court shall also give similar notice to any local authority, co-operative society 3 (1) 1. These words were substituted for the words "or scheduled bank" by Bombay 37 of 1950, s.5. [scheduled bank or merged State bank] to which any debt may be due by the debtor and also to any person who is entitled to maintenance from the debtor, under a decree of order passed by a competent Court. In the case of any debt due to a co-operative society, the Court shall also give notice to the Registrar of Co-operative Societies or to such officer as the Registrar may nominate in this behalf.
(3) On receipt of such
After taking accounts under (section 22)
the Court shall in the manner hereinafter provided determine- (1) the particulars of the property belonging to the debtor,
(2) the value of the said property,
(3) the particulars of any in cumbrances on the said property, and
(4) the paying capacity of the debtor.
If in the course of the hearing of an application made under (section 4) the Court finds that the debtor has made an alienation of property and incumbrances thereon with intent to defeat or delay any of his creditors, the Court shall, by notice, summon the debtor and the person in whose favour the alienation or incumbrances is made or created to appear before it on a day to be specified in the notice.
(2) On the day specified in the notice or such other day to which the hearing may be adjourned the Court shall hear the parties 3 (1) 1. These words were Inserted by Bombay 70 of 1948, s. 9. [and record evidence as may be produced] and if it is satisfied that the alienation was made or the incumbrances was created with intent to defeat or delay any of the creditors of the debtor, the Court shall declare the alienation or incumbrances to be void.
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(1) Subject to the provisions of sub-sections (2), (3) and (4), the value of the property and other assets of a debtor for the purposes of ascertaining the paying capacity of the debtor under-section 27 shall be determined by the Court in the prescribed manner.
(2) The property or assets which are exempt from attachment in execution of a decree of a civil court under the Code of Civil Procedure, 1908 (V of 1908) shall not be taken into account.
(3) The amount of the debts mentioned in (section 3) shall be deducted.
4. The market value of the lands, which under any law for the time being in force, are not transferable or alienable except with the previous sanction of the Collector or the 3 (2) 2. This word was substituted for the word "Provincial" by the Adaptation Laws Order. 1950. [State]
The paying capacity of the debtor, shall, for the purposes of this Act, be deemed to be sixty percent, of the value of the property of the debtor: Provided that when any portion of such property yields income but the market value of such portion cannot be determined, the value of such portion shall be the amount of the income capitalized at six per cent per annum.
(1) Notwithstanding any law, custom, contract, award or decree of a court to the contrary the amounts found due under (section 22) from a debtor shall be further scaled down in the manner hereinafter provided.
(2) If all the debts found due by a debtor after taking accounts under (section 22) are unsecured, such debts shall be further scaled down pro rata to the paying capacity of the debtor.
(3) If all the debts found due by a debtor after taking accounts under (section 22) , are secured debts, and the total amount of such debts is more than sixty per cent of the value of the property belonging to the debtor, such debts shall be further scaled down pro rata to the paying capacity of the debtor.
(4) If the debts found due by a debtor after taking accounts under (section 22) are both secured
(1) After determining the amount of debts scaled down in the manner provided in (section 38) the Court shall, save as otherwise provided in (section 33) , make an award.
(2) The award shall be in the prescribed form and shall be drawn up subject to the following provisions-
(i) the amount of the secured debts scaled down shall be charged on the properties on which they may have been secured;
(ii) subject to clause (i) the amount of unsecured debts shall be charged on all the properties of the debtor [unless all the creditors declare in writing that the unsecured debts due
may not be charged on any of the properties of the debtor];
(iii) in fixing the priority in which debts shall be paid the followin
(1) Where the amount of debts of the debtor as scaled down under (section 31) by it exceeds half the value of the debtor's immovable property as determined by it, the Court shall intimate to the creditors the amount of the said debts of the debtor and the said value of the debtor's immovable property and call upon them to state in writing within a specified period not exceeding one month whether they agree to the further scaling down of the said debts so as to reduce them to a sum not exceeding half the said value of the immovable property of the debtor. If 3 (1) 1. These words were substituted for the words "all the creditors" by Bombay 70 of 1948, S. 10(1). 3 (1) 1. Sub-section (2) was substituted for the original by Bombay 37 of 1950, s. 6. [a majority in number and three- fourth in value of all the creditors] agree to the further scaling down of the debts, the Court shall make an order directing the debtor to pay the amou
The amount of debts scaled down under (section 31)
or further scaled down under (section 33)
shall for purposes of this Act be the amount due by the debtor in respect of the said debts and the position of the debts in excess of this amount shall be extinguished.
If the Court making an award under (section 32 )
is at any stage of the proceeding satisfied.- (1) that the debtor had in collusion with any creditor furnished in such proceeding incorrect information in respect of the debt due by him to such creditor with a view to defeat the lawful claims of any other creditor, the Court may refuse to scale down any of the debts of such debtor in the manner provided in (section 41) and may make an award for the full amount of the debts due from such debtor;
(2) that any claim by a creditor in such proceeding had been put forward in collusion between the debtor and such creditor with a view to defeat the lawful claims of any other creditor, the Court shall order that the debt due by the debtor to such creditor shall be extinguished and such debt shall not be recoverable.
(1) Notwithstanding that the person for the adjustment of whose debts an application has been made under (section 4) or any of his creditors does not appear on the date fixed for the hearing of the application or on any date to which it may be adjourned, the Court shall proceed ex-parte to hear the application , decide the preliminary issues and, if necessary, make the award, on the evidence available.
(2) When an application made under (section 4) is heard and disposed of ex-parte under sub-section (1) the decision on the preliminary issues or the award shall not, except for sufficient reasons, be re-opened merely on the ground that any of the parties thereto did not appear at the hearing.
If, after an award is made under (section 32)
the Court finds on an application made to it by and party or otherwise, that the debtor has other property which was disclosed to the Court when the award was made, or that any property included in the award did not belong to the debtor, the Court may, notwithstanding anything contained in this Act reopen the award and readjust the debts in accordance with the provisions of this Act: Provided that where the Court is satisfied that the non-disclosure of such property was in consequence of any fraud on the part of the debtor, the Court in revising the award shall not give the debtor the benefit of (section 31)
3 (1) 1. This sub-section was substituted for the original by Bombay 70 of 1948 s. 11(1). (1) Every award made under this Act 3 (2) 2. These words were Inserted by Bombay 37 of 1950 s. 7. [if it is in respect of debts charged on the properties of the debtor] shall, on payment of the court-fee payable under (section 44) , be registered in the manner provided in Chapter II-A.]
(2) The court-fee on the award shall be paid by the party ordered by the Court to bear the cost: Provided that any creditor who is not ordered to bear the costs may pay such court-fee. Such creditor shall be entitled to recover the amount of court-fee paid by him from the debtor with the first installment payable to him under the award. Provided further that no court-fee shall be payable by a co-operative society.
(3) The award 3 (3) 3. The words "so registered" we
.-(1) Whenever from any cause the payment of one-half or more of the land revenue payable to the [State] Government is suspended or remitted the payment of the whole of the installment due for that year and the full amount of the installment due for each subsequent year under an award made (section 8) , (section 9) , (section 32) or (section 33 ) shall be postponed for one year.
(2) Whenever from any cause the payment of any portion less than one-half of the land revenue payable to the 3 (1) 1. This word was substituted for the word "Provincial" by the Adaptation of Laws Order, 1950. [State] Government is suspended or remitted one-half of the amount of the installment for that year and the full amount of the installment due for each subsequent year under an award made under (section 8) , (section 9) , (section 32) or (section 33) shall be postponed for one year.
Notwithstanding any law or contract but subject to the provisions of 3 (2) 2. This portion was substituted for the words and figures "section 41" by Born. 70 of 1948, s. 12 (5). [ (section 41)
and (section 53)
], no alienation of any property belonging to a debt or who is a party to any proceedings 3 (3) 3. This portion was substituted for the words "or award under this Act" by Bom. 37 of 1950. s. 5. [under this Act or an award registered under this Act], made by him before all his debts are discharged shall be valid, except with the previous sanction of the 3 (4) 4. This word was substituted for the words "Provincial Government", by Bom 70 of 1948, s. 12 (2). [Court].
If the Court or the Court hearing an appeal against the award is at any time satisfied that it is in the interest of a debtor that any part of his property should be. sold in liquidation of his debt or part thereof, such Court may permit the debtor to sell such part of the property for such purpose within a specified period. If the debtor fails so to sell it, such Court may order an officer of the Court to sell the same. The property ordered to be sold under this section shall be sold by such officer in the manner prescribed: Provided that the part of the property ordered to be sold under this section shall not exceed the part liable to be sold under sub-section (2) of (section 47)
Except in proceedings under 3 (1) 1. These words, figures and brackets were substituted for the words and figures "sections 24 and 28" by Boom. 19 of 1952, s. 2. [ (section 24)
and (section 28)
and sub-section (3) of section 3.8] no pleader shall be entitled to appear on behalf of any party in any proceeding before the Court or the Court in appeal under this Act: 3 (2) 2. This proviso was substituted for the original by Bombay 70 of 1948. s. 13 (1). [Provided that the Court or the Court in appeal in the interest of justice for reasons to be recorded in writing may allow the parties to be represented at their own cost by a pleader :] Provided further that pleader's fees shall not be allowed as part of the costs for the appearance of a pleader in any proceeding under this Act. 3 (1) 1. These words, figures and brackets were substituted f
Notwithstanding anything contained in any other law 3 (2) 2. The words and figures "and save as otherwise provided In section 51" were deleted, This proviso was added by Bombay 70 of 1948, s. 13 (2). S..14(1). x x x (1) an appeal shall lie-
(i) from every order passed under sub-section (3) of (section 8)
;
(ii) from every order passed under (section 17)
;
(iii) from every order passed under (section 24)
;
(iv) from every order passed under (section 28)
;
(v) from every order passed under sub-section (2) of (sec. 36)
3 (1) 1. This section was Inserted, by Bombay 70 of 1948 s. 15. [.-A District Judge may refer for disposal any appeal filed under the last preceding section to an Assistant Judge, or a Civil Judge invested with power to hear appeals under (section 27 of the Bombay Civil Courts Act, 1969) (XIV of 1969.)]
(1) Notwithstanding anything contained in the Court-fees Act, 1979 (VII of 1870) Court fees payable in respect of proceedings under this Act shall be at the following rates:-
(i) on an application under sub-section (1) of (section 4)
or of (section 8)
or on an award under sub-section (4) of (section 8)
or (section 9)
. Re. 1;
(ii) on an award other than an award specified in clause (i)-Re.l for every hundred rupees, or part, thereof, of the amount of the award, subject to a maximum of Rs. 50;
(iii) on an appeal against a decision of the Court under sub-section (3) of (section 8)
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Any notice required to be served under this Act shall be served in the manner provided in the Code of Civil Procedure, 1908 (V of 1908); and when rules are made in that behalf in such manner as may be prescribed.
- Save as otherwise expressly provided in this Act, the provisions of the Code of Civil Procedure, 1908 (V of 1908), shall apply to all proceedings under this Chapter: (1) [Provided that the Court may in a proper case and on such terms as may appear to it to be just, exercise its powers to add or strike out parties under rule 10 of Order I of the said Code in any proceeding pending before it under (section 4)
or (section 24)
, notwithstanding the fact that such addition or striking out of parties is to be made after the date specified in (sec. 4)
or (section 24)
, as the case may be, has elapsed.]
In all registration offices a book called "Register of Debt Adjustment Awards" and an Index relating thereto shall be kept. The book and index shall be kept in such form and shall contain such particulars as the 3 (2) 2. This word was substituted for the word "Provincial" by the Adaptation of Laws Order, 1950. [State] Government may prescribe.
3 (3) 3. This portion was substituted for the portion "It shall be the duty of the Court making an award" by Bombay 37 of 1950. s. 10 [Where an award is required to be registered under (section 38)
, it shall be the duty of the Court making the award to send to the sub-Registrar of the sub-district in which the property which is the subject matter of the award or any part of such property is situated, or if there is no sub-Registrar for the area to the Registrar of the District in which the property or its part is situate a certified copy of the award after court- fee has been paid thereon in accordance with the provisions of (section 44)
together with a memorandum containing such particulars as the 3 (2) 2. This word was substituted for the word "Provincial" by the Adaptation of Laws Order, 1950. [State] Government may prescribe.
<
3 (4) 4. Section 46C was substituted for the original by Bombay 37 of 1950 S. 1 1. [-If a party files an appeal against an award under (section 43)
and if such award has been registered under (section 31)
, it shall be the duty of the Court in which the appeal is filed to send to the Sub-Registrar or the Registrar to whom a certified copy of the award has been sent under (section 46B)
, a notice regarding the institution of the appeal]
After the expiry of the period provided for an appeal against an award, if no appeal is filed, or if an appeal is filed after the disposal of the said appeal, the Sub-Registrar or the Registrar, as the case may be, shall register the award in the Register of Debt Adjustment Awards and shall also enter particulars in the Index kept under (section 46A)
All awards made under the repealed Act whether registered before the 27th day of May 1947 under the provisions of the said Act or not shall be registered under this Chapter: Provided that notwithstanding anything contained in (section 44)
no additional court-fee shall be paid on such awards under the said section.
Any person acquiring any property or any part of, or any share or interest in the property of a debtor for adjustment of whose debts an award has been made *[and registered] shall be deemed to have notice of the award as from the date the registration under this Chapter.
Except as herein provisions of the Indian Registration Act 1908 (XVI of 1908) shall mutatis mutandis apply to the registration of awards, and the words and expressions used in this Chapter but not defined in this Act shall have the meanings assigned to them in the Indian Registration Act, 1908 (XVI of 1908).
(1) If at any stage of the proceedings under Chapter II the Court finds that the income of the debtor and his movable property are not sufficient to allow his debts to be liquidated by annual installments not exceeding twelve in number, the Court shall make an order adjudicating the debtor an insolvent.
3 (1) 1. This sub-section was Inserted by Bombay 41 of 1951, s. 3. [(1A) If at any time after the expiration of two years from the date of an award, the debtor satisfies the Court that there is no reasonable probability of his being in a position to pay the remaining amount of installments fixed under the award, the Court may, notwithstanding anything contained in this Act, after giving notice to the creditor modify the terms of the award and reduce the amount of the installment as it may think fit, provided that the total annual installments in which the balance of the debts shall
The order of adjudication made [under sub-section (1) or (1A) of (section 47)
] shall have the force of an order made by a competent court in the exercise of its powers under (section 27 of the Provincial Insolvency Act, 1920 (V of 1920)) .
The proceeds realised by the sale of the property of the insolvent under (section 47)
shall be distributed in the order of priority specified in clause (iii) sub-section (2) of (section 32)
.
No application or proceeding in regard to the insolvency of a debtor shall lie in or shall be dealt with by any other Court.
(3) [Save as provided by sub-clause (vii) of clause (1) of (section 43)
, no appeal shall lie from any order passed under this Chapter.]
3 (1) 1. This section was Inserted, This section was substituted for the original by Bombay 70 of 1948, s. 18. , s. 19. [Except as otherwise provided by this Act and notwithstanding anything contained in any other law, no Civil Court shall entertain or proceed with any suit or proceeding in respect of- (i) any matter pending before the Court under this Act or
(ii) the validity of any procedure or the legality of any award, order or decision of the Board established under (section 4) of the repealed Act or of the Court or,
(iii) the recovery of any debt made payable under such award].
in computing the period of limitation for the institution of any suit or proceeding in respect of any debt due from any person who is held not to be debtor by the Court or the Court in appeal [or an application relating to which has been dismissed by the Court or the Court in appeal, the period during which the proceedings in respect of such debt were prosecuted before the Court or the Court in appeal shall be excluded.]
(1) No person, who is 3 (1) 1. These words were Inserted by Bombay 70 of 1948 s. 21. [or was] a party to any proceedings or award under this Act and who is indebted to a resource society or any person authorised to advance loans under (section 78) of the repealed Act or (section 54) of this Act on account of any loan advanced to him for the financing of crops under the repealed Act or seasonal finance under this Act, shall hypothecate or sell the standing crops or the produce of his land without the previous permission of the society or of the person, as the case may be, until such loan has been repaid full.
(2) Any person who hypothecates or sells the standing crop or the produce of his land in contravention of sub-section (1), shall on convention, be punishable with imprisonment for a term which may extend to six months or with fine which may extend to Rs. 500.
&
The 3 (1) 1. This word was substituted for the word "Provincial" by the Adaptation of Laws Order, 1950. [State] Government 3 (2) 2. These words were Inserted by Bombay 70 of 1948, s. 22. or any officer empowered by it] may by notification in the Official Gazette, authorise in any local area any person to advance loans to debtors who are parties to any proceedings under this Act or in respect of whose debts an adjustment has been made under this Act. (1) Such authority shall be granted on such conditions as may be prescribed.
(1) The 3 (1) 1. This word was substituted for the word "Provincial" by the Adaptation of Laws Order, 1950. [State] Government may by notification in the Official Gazette and subject to the condition of previous publication from time to time, makes rules for carrying into effect the purpose of this Act.
(2) In particular and without prejudice to the generality of the foregoing provision, such rules may be made for all or any of the following purposes, namely:-
(a) the purposes for which loans may be advanced under clause (13) of (section 2)
;
(b) the form of application under sub-section (2) of (section 4)
and the manner of signing, verification and presentation thereof;
&
(1) 3 (2) 2. This portion was substituted for the original, by Bombay 70 of 1948 S. 24 ( I ){a). [Notwithstanding the repeal of the Dekkhan Agriculturists' Relief Act, 1879 (XVII of 1879) by the Bombay Agricultural Debtors Relief Act, 1939 (Bom. XVIII of 1939) the first mentioned Act shall, in so far as it applies to transactions and proceeding to which this Act does not apply, be deemed to have been re-enacted with effect, from the date of the coming into operation of this Act (hereinafter in this section referred to as the said date) and shall continue in for a period of three years from the said date: Provided that any proceeding in or out of any suit instituted before the expiry of the said three years shall be continued and disposed of after the expiry of the said period, as if the Dekkhan Agriculturists' Relief Act, 1879 (XVII of 1879), had continued in force after the expiry of the said period:] 3 (3) 3. These words we
3 (2) 2. Sections 57 and 58 were added by Bombay 37 of 1950, s. 13. [3 (3) 3. This marginal note was substituted for the original by Bombay 18 of 1953, s, 3 and Second Schedule. Notwithstanding anything contained in (section 4) of this Act as amended by the provisions of the Bombay Merged States (Laws) Act, in its application to the merged territories-
(a) if any debtor was owing debts to a creditor in a merged territory on the date on which such territory merged with the 3 (4) 4. This word was substituted for the word "Province" by the Adaptation of Laws Order, 1950 and remained unmodified by Gujarat A.0. 1960.
[State] of Bombay and if the place in which such debtor was ordinarily residing on the said date was outside such territory, such debtor, or
(b) his creditor
&
Notwithstanding anything contained in (section 24)
of this Act as amended by the Bombay Merged States (Laws) Act, 1950, in its application to the merged territories, an agricultural labourer entitled to apply under (section 24)
for a declaration that a transfer of any land situate in any of the merged territories is a mortgage, may make an application under the said section within six months from the date of the coming into operation of the Bombay Agricultural Debtors Relief (Amendment) Act, 1950 (Bom. XXXVII of 1950) to the Court of the Civil Judge (Senior Division) having ordinary jurisdiction in the area in which such land is situate, and if there is no such (Civil Judge) to the Court of the Civil Judge (Junior Division) having jurisdiction in the said area.]
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