This proviso was added, by Bom. 69 of 1953, s. 3 (2).

(1) If the holding of a owner included in a scheme of consolidation which has come into force under section 22 is burdened with a mortgage, debt or other encumbrance other than a lease such mortgage, debt or other encumbrance shall be transferred therefrom and attach itself to the holding allotted to him under the scheme or to such part of it as the Consolidation Officer may, subject to any rules made under section 37, appoint; and the mortgagee, creditor or other encumbrancer, as the case may be, shall exercise his rights accordingly.

(2) If the holding to which a mortgage, debt or other encumbrance is transferred under sub-section (1) is of less market value than the original holding from which it is transferred the mortgagee, creditor or other encumbrancer, as the case may be, shall subject to the provisions of section 30 be entitled to the payment of such compensation by the owner of the holding, as the case may require, as the Consolidation Officer may determine.

(3) Notwithstanding anything contained in section 21, the Consolidation Officer shall, in the prescribed manner, put any mortgagee or other encumbrancer entitled to possession into possession of the holding to which his mortgage or other encumbrance has been transferred under sub-section (1).