Section 126 in The Gujarat Co-Operative Societies Act, 1961
126. Mortgages not to be questioned on insolvency of Mortgagors.
- Notwithstanding anything contained in the Presidency-Towns Insolvency Act, 1909 (III of 1909) or the Provincial Insolvency Act, 1920 (V of 1920) or any corresponding law for the time being in force, a mortgage, executed in favour of a [Land Development Bank] [Substituted for the words 'Land Mortgage Bank' by Gujarat 24 of 1964] shall not be called in question on the ground that it was not executed in good faith for valuable consideration, or on the ground that it was executed in order to give the bank a preference over other creditors of the mortgagor.
