Mode of dealing with applications for loans.

(1) When an application for a loan is made for any of the purposes mentioned in section 85 a public notice shall be given of the application in such manner as may be prescribed calling upon all persons interested to make their objections to the loan if any, before the date specified therein. The person by whom such public notice shall be (1) The prescribed person shall consider every objection made under sub-section (1) and pass an order in writing either upholding or overruling it. When the objection is overruled, he shall recommend the application to the Agricultural Development Bank for its consideration: Provided that, when the question raised by an objection is in the opinion of such person one of such a nature that it cannot be satisfactorily decided except by a civil court, he shall postpone the proceedings on the application until the question has been so decided. (3) A notice under sub-section (1), published in the manner prescribed, shall, for the purpose of this Act be deemed to be proper notice to all persons having or claiming interest in the land to be improved, or offered as security for the loan. (4) Where an application is recommended under sub-section (2) the Agricultural Development Bank shall, in accordance with the rules made in this behalf, consider such application for the purpose of making the loan.