Issue of debentures by the Board

Finance193438 sections4 chapters

Chapter II DEBENTURES

Statutory text

(a) With the previous sanction of the Trustee, the Board may issue debentures of one or more denominations for such periods as it may deem expedient on the security of the mortgages and other assets transferred [or deemed under the provisions of section 23-A to have been transferred] by the [primary land development banks] to the [State Land Development Bank] and of the other properties of such Bank.
(b) Such debentures may contain a term fixing a period not exceeding ten years from the date of issue during which they shall be irredeemable, or reserving to the Board the right to call in at any time any of the debentures in advance of the date fixed for redemption after giving to the debenture-holder concerned not less than three months' notice in writing.

(2) The total amount due on the debentures issued by the Board (including those issued before the commencement of this Act) and outstanding at any time shall not exceed the aggregate of
- (a) the amounts due on the mortgages, and the value of the other assets, transferred or deemed under the provisions of section 23-A to have been transferred by the [primary land development banks] to the [State Land Development Bank] and subsisting at such time and
- (b) the amounts paid under the mortgages aforesaid and remaining in the hands of the Board or of the Trustee at that time

Study data processing for this section.

PDF: pending for this language.