Section 5 in National Housing Bank (Issue And Management Of Bonds) Regulations, 1989
5.
Provisions for holding Bonds issued in the form of the stock certificate by trustees and officer holders.(1)A Bond in the form of stock certificate may be held by a holder of an office-(a)in his personal name, described in the books of the National Housing Bank and in the stock certificate, as a trustee, whether as a trustee, of the trust specified in his application or as a trustee without any such classification, or(b)by the name of his office.(2)On an application made in writing to the National Housing Bank in the Form required by the National Housing Bank the person in whose name a Bond stands and on surrender of the Bond the National Housing Bank may.(a)make an entry in its book describing him as a trustee of a specified trust or as a trust without specification of any trust and issue a stock certificate in his name described as trustee with or without the specification of the trust as the case may be, or(b)issue a stock certificate to him by the name of his office and make an entry in its books describing him as the holder of the stock by the name of his office, according to the applicant's request, provided-(i)the request is in conformity with the provisions of sub-regulation (1) hereof,(ii)the necessary evidence required by the National Housing Bank in terms of sub-regulation (7) has been furnished; and(iii)the Bond if it is in the form of promissory note has been endorsed in favour of the National Housing Bank and if in the form of stock certificate has been receipted by the registered holder in Form V.(3)The stock certificate under sub-regulation (1) may be held by the holder of the office either alone or jointly with another person or persons or with a person or persons holding an office.(4)When the stock is held by a person in the name of his office, any documents relating to the stock certificate concerned may be executed by the person for the time being holding the office by the name in which the stock certificate is held as if his personal name were so stated.(5)Where any transfer-deed, power of attorney or other document purporting to be executed by a stock certificate holder described in the books of the National Housing Bank as a trustee or as a holder of an office is produced to the National Housing Bank, the National Housing Bank shall not be concerned to inquire whether the stock certificate holder is entitled under the terms of any trust or document or rules to give any such power or to execute such deed or other document, and may act on the transfer-deed, power of attorney or document in the same manner as though the executant is stock certificate holder is or is not described in the transfer-deed, power of attorney or document as a trustee or as a holder of an office and whether he does or does not purport to execute the transfer deed, power of attorney or document in his capacity as a trustee or as a holder of the office.(6)Nothing in these regulations shall, as between any trustee or office holders, or as between any trustee or office holders, and the beneficiaries, under a trust or any document or rules, be deemed to authorise the trustees or office holders to act otherwise than in accordance with the rules of law applying to trust, the terms of the instrument constituting the trust, or the rules governing the association of which the stock certificate holder is a holder of an office and neither the National Housing Bank nor any person holding or acquiring any interest in any stock certificate shall by reason only of any entry in any register maintained by the National Housing Bank nor any person holding or acquiring any interest in any stock certificate shall be reason only of any entry in any register maintained by the National Housing Bank in relation to any stock certificate or any stock certificate holder or of anything in any document relating to stock certificate be affected with notice of any trust or of the fiduciary character of any stock certificate holder or of any fiduciary obligation attaching to the holding of any stock certificate.(7)Before acting on any application made, or on any document purporting to be executed, in pursuance of this regulation by a person as being the holder of any office, the National Housing Bank may require the production of evidence that such person is the holder for the time being of that office.
