THE ASSAM DISPLACED PERSONS (REHABILITATION LOANS) ACT, 1951

ASSAM. ACT XVI OF 1951 *THE ASSAM DISPLACED PERSONS (REHABILITATION LOANS) ACT, 1951 [Published in the "Assam Gazette", dated the 20th June 1951] An Ad to provide for loaus to displaced persm1s for their l'cbabilitation Whereas it is expedient to provide for the grant and recovery of loans to displaced persons for their rehabilitation : It is hereby enacted as follows : . 1. Short title, extent and commencement..- (1) This Act may be called the Assam Displaced Persons (Rehabilita tion Loans) Act, 1951. (2) It extents to the whole of Assam. (3) It shall come into force at unce. 2. . l)efinitions.-In this Act, unless there is anything repugnant in the subject or context,- (a) "Borrower" means a displaced person. to whom a Joan has been &ranted under this Act and includes the heirs, succefisors, assigns and the sureties of a borrower ; (b) "Deputy Commissioner" means th~ Deputy Commissioner of th~ District; (c) "Displaced person" means (i) any person who on account of setting up of the two Dominions of India and Pakistan or on account of civil disturbances or the fear · of such disturbances in any area now forming part of India or Pakis­ tan has been displaced from or compelled to leave his place of residence in such area after the [Prescribed date]1 and who has subsequently been residing in India; and is in distress. *For Statement of Objects .and Reasons see "Assam Gazette", 1951, Part V, page 24. 1 Substituted by the Assam Displaced Persons (Rehabilitatioo Loans).' (Amendment) Act, 1951 (Act XX of 1951) for "first day of March. 19.41". 383 (i) an association, corporatecl or incorporated, formed by several such per­ sons as defined in (i) above ; (d) "Government" means the Govemment of the State of Assam; (e) "Loan" means a loan granted or deemed to have been granted, under the provisions- of this Act either in cash or in kind or partly in cash and partly m kind; (f) "Relief and Rehabilitation Commis~ioner" means an Officer appointed as sucb by the Government. (gl "Prescribt·d" mc::ans prescribed bv rules made under this Act. (h_, "Sanctio11ing Authority" me::tns tte authority wbo sanctions a loan. 1 (i) "Prescribed date" (J) in relation to a person displaced from or compelled to leave his place of residence 111 any area now forming part of East Bengal, means the fifteenth day ot October, 1946. (2) in relation to a person displaced from or compelled to leave his place of i·csidcnce i !l any area now forming part of Pak istan other than East Bengal, mciliE tbe lit st clay of Marcil, 1947. (3) in ~·ela t inn to a pe · ~;c.n dis~lac.c; J t r or,1 or compelled to leave his plac~ of re.~i<l nee in i:l.ny arcil nov· formjng part of India, means the first d;::y of January, 1950 )2 . 3. Apph:atk .: i:'<i3r Paw,-A displan:d p~r~on may Sllomit to the Deputy Commissioner withi n whose jurisdiction he intends to reside or to carry on his trade, professim1 or calling, an application for loan on ~uch form as may be prescribed. 4. Gr~mt of liJ..:ms,-(! ) Tb~ Deputy Commissioner or such other ofhcer as may be empowersd by the Goverrme1t in this behalf may, subject to any general or special d irection of t:1c Government, sanction loan s not excc~eding such limit as may be tixecl by the Grwc:rwn~n t fro m t:me to time. (2) Tbe Rdief r.na R.eiwbi!itation Com missiOlicr may, subject to any genera l or sp::;cia l direction of ,;te Governm ent, ·;a nction loans no t exceeding such limit as may be fi;;.ed by Government . The Deputy Conunis<>ion cr shall forward to the Relief and Rehabihtation Cc>mmissioncr with his rernarks such applications as require loans exceeding the amount he is autbonsed to f;anction. 5. Execution of loan bo<Hl-Before receiving payment of the loan the borrower shall execuk a bond i;1 the prescribed form undertaking to apply the money for the purpose for which, and to comply with the terms and conditions on which, the loan is sanctiond. 6. Security fm· Ioar:.--(1) All assets purchased with or created trom the Joan shall be deemerl to be n"ortgaged or hypothecated, as the case may he, to Government for the repav;nent of the loan with interegt due thereon and the amount of the Joan and the interest thereon shall be ~he first charge on such assets. (2) Subject to sub-sec-tim1 (1) al:>ovP-, tb e borrower shall not without the prior approval of the sanctioning authority mortgage, convey or otherwise trans­ fer any of his interests in the whole cr any part of the assets purchased with or created from the loan : Provided that no~hin g in this ~ecti on sh.1ll affect the borrower's right to sc11 such articles of his stock-in-trade as are meant f0r sale to customers in the normal course of business. 2 Inserted by Assam Act XX of 1951. 384 7. Inspection of assets.-Any person authorised in this behalf by the sanc­ tioning authority may enter any place or premises for inspecting any land, cons­ tructions, machineries, appliances, materials or stock-in-trade purchase, hired or created or 'Proposed to be purchased, hired or created by any borrower with the loan granted to him. 8. Power 'to require re-payment bef&re due period.-Notwithstanding any other -provision to the contrary in this Act or in the rules made- thereunder or in any agreement, the sanctioning authority or such other authority as may be empowered by Government so to do may, after giving the borrower an opportu­ nity to show cause, order the borrower to repay the loan in full or any part of it, with interest, within such time as may be specifled in the order under one or more of the following provisions :- (i) if the borrower supplied any· false or misleading information or sup­ pressed any fact in obtaining the loan ; {ii) if the borrower fails to comply with the terms and conditions l'rtder which the loan has been sanctioned ; (iii) if the sanctioning authority is satisfied that the borrower has applied any portimt of the Joan fo r purposes other than that for which it was granted ; , (iv) if the borrower has wilfully or by negligence caused rna terial dete­ rioration to the assets purchased with or created from the loan ; ot (v) if the sanctioning authority considers it essential to effect immediate recovery. of .the Joan in order to protect the interest of Government. 9. P{)wer to· postpone rcfi!i~at!on ·m· tn wdtc off.-Notwithstanding anything contained in this Act or the rules made thereunder :- , (a) The Government or such other authority as may be prescribed may postpone the realization of any instalment of the loan ; (b) Government may write off any portion of the loan or of any interest thereon. 10. Power {{) mllke recovery or fto ~- ~~kc over 2ssets.-If the borrower fails to repay any amount of the loan or to pay any interest thereon under the terms and conditions of the loan or under the provi&ionfi of section 9, the Deputy Com­ missioner may (a) recover as arrears of land revenue such loan, instalment, inte­ rest or any cost incurred in recovering the loan with interest and also incidental expenses incurred in issuing the loan ; (b) take over in whole or in -part the assets purchased with or created · from th::: lonn on such term and conditions as may be fixed by Government. 11.. Delegation of powers.-Subject to the provisions of this Act the Gov~ ernnicnt may by order delegate all or any of its powers, ·duties and functions· under this Act or the rules made thereunder to a1ry Otlicer under its control. 12. Protection of action taken lUlder the Act.-No sujt, prosecution or other legal proceedings shall lie against any person for anything _in good · faith done or intended to be done in pursua1ice of this Act, or any rules or order made thereunder. 13. Remission of stmu1p ··duty and registration iee.-The Government may by notification in the offici ;:; ] Gazette remi t the stamp duty under· any law for the time being in force or any fee under the law of registration for the time being ' in force, chargeable on any instrument executed under this Act or the rules made thereunder by or on behalf of a displaced person. 14. Retro~ectivc Application o~ t~e Act to prior loans.-(1)1 Every lo·an granted since the first day of April 1949 to a displaced · person for his rehabili- , tation by any Officer or authority subordinate to Government shall for the pur­ pese of its recovery be d~emect to be a loan granted under this Act and the pro­ visi,ons of this Act shall mutatis mutandis apply to such Joan as they apply to . a loan granted under this Act. !Section 14 renumbered as sub-section (1) and a new sub-section (2) inserted by the Assam Displaced Persons (Rehabilitation Loans) (Amendment) Act, 1953. ·• . S• ~r te fY ~ r e p- er il'- te tg l y t s s 385 ' [:(2) Every loan. gr.anted ih the District of Cachar between the fifteenth day of April, -1950, and the actual date of transfer of the adminisration of relief and r~habihta.ti0n of displaced persons in the district of Cachar from the Government of India ti) the Go~ermnent · of Assam to -a displaced person for his rehabilitation ~y or ·on behalf of the Government of India. shall, for the purpose of its recovery, be deemed to be a loan granted under this Act and the urovisions of th-is Act shall mutatis mutandis apply to ' such a loan granted under this Act.] 1 15. Power -to make_ rules.-(1) Tbe Government may make rules for carry­ ing out the purposces of this Act. " (2) In particular, and without prejudice to the generality of the foregoing . provisions, such rules may provide for all or any of the following matters, namely:- (a) . the fornis of application for loan, order of the sanctioning authority, the' eend and any oth-er ·instr·ument to be executed by the borrower and the notices and directions by the sanctioning authority and other authorities ; (b) the terms and conditions of loans and fixation of instalments ; - (c) the fixation of the rate of interest and the manner of calculation · thereof; · ~ · (d} the ext~nt, and manner of issue, of loans and · the procedure !or realization ; ~ ' · ·· · (e) the :;fQrm and manner in. which accounts and registers are to be maintained ; · · · (f). the manner and circumstances in which remission of principal or intc~ rest may -be granted and suspension of realization may be allowed; (g) the ·manner in vvhich and the authority to whom appeals against oractll issued unCler this Act may be instituted ; ,. (h) the manner an(! the machinery fo t' investigations into applications for loans and io.to the proper utilization of the loan money ; (i) all ·matters , w hi~h are required by this Act to be prescribed.