Powers of Agriculture and Rural Development Bank where mortgaged property is destroyed or security becomes insufficient

Where any property mortgaged to an Agriculture and Rural Development Bank is wholly or partially destroyed or the security is rendered insufficient and the mortgagor, having been given a reasonable opportunity by the board of the Agriculture and Rural Development Bank, of providing further security enough to render the whole security sufficient or of repaying such portion of the loan as may be determined by the board, has failed to provide such security or to repay such portion of the loan, the whole of the loan shall be deemed to fall due at once and the board shall be entitled to take action against the mortgagor under section 88 or section 89 for the recovery thereof. Explanation.—A security is insufficient within the meaning of this section unless the value of the mortgaged property exceeds the amount for the time being due on the mortgage by such proportion as may be specified in the bye-laws of the Agriculture and Rural Development Bank.