Chapter III DISTRAINT AND SALE OF PRODUCE

1. (1) If any instalment payable under a mortgage executed in favour of a primary land development bank or any part thereof has remained unpaid for more than one month from the date on which it fell due, the committee may, in addition to any other remedy available to the bank, apply to the Registrar or to any person appointed by the State Government for the recovery of such instalment, or part, by distraint and sale of the produce of the mortgaged land including the standing crops thereon. On receipt of such application, the Registrar or such person may, notwithstanding anything contained in the Transfer of Property Act, 1882, take such action as is necessary to distrain and sell such produce: Provided that no distraint shall be made after the expiry of twelve months from the date on which the instalment fell due.
2. (2) The distress shall not be excessive; the value of the property distrained shall be as nearly as possible, equal to the amount due and the expenses of the distraint and the cost of the sale.

10.

1. (1) Before or at the time when a distraint is made under section 9, the distrainer shall serve or cause to be served upon the defaulter a written demand specifying the amount for which the distraint is made.
2. (2) The demand shall be dated and signed by the distrainer and shall be served upon the defaulter by delivering a copy to him or to some adult male member of his family at his usual place of abode or to his authorized agent, or when such service cannot be effected, by affixing a copy of the demand on some conspicuous part of his abode and of his land.

11.

1. (1) If, within fifteen days from the date of service of the demand referred to in section 10, the defaulter does not pay the amount for which the distraint was effected, the distrainer may sell in auction the distrained property or such part thereof as may in his opinion be necessary to satisfy the demand together with the expenses of the distraint and the costs of the sale;
2. (2) From the proceeds of such sale, a deduction shall be made at a rate not exceeding [seven naya paise] in the rupee on account of the costs of the sale.
3. (3) From the balance shall be deducted the expenses incurred by the distrainer on account of the distraint.
4. (4) The remainder, if any, shall be applied to the discharge of the amount for which the distraint was made.
5. (5) The surplus, if any, shall be delivered to the person whose property has been sold and he shall be given a receipt for the amount discharged from the proceeds of the sale.

12. The [State Government] may make rules not inconsistent with this Chapter--

1. (i) for the manner of effecting distraint;
2. (ii) for the custody, preservation and sale of the distrained property;
3. (iii) for the investigation of claims by persons other than the defaulter to any right or interest in the distrained property and for the postponement of the sale pending such investigation;
4. (iv) for the immediate sale of perishable articles; and
5. (v) generally for the purpose of carrying out the provisions of this Chapter.