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State of Uttar Pradesh - Section

Section 542 in The General Rules (Civil), 1957

542. Nature of Security.

- In obtaining securities the District Judge shall be governed by the rules in Pargraphs 69 to 73 of the Financial Handbook, Vol. V, Part I. Without prejudice to the provisions of those rules, the rules hereinafter appearing in this Chapter are made for the guidance of District Judges.Attention must also be paid to secure that the proper forms of securities or bonds are used.Fixed deposit receipts of banks accepted as security must be issued in the name of the U. P. Government. In such case a clause must also be inserted in the depositor's security bond to the effect that Government will hold that fixed deposit receipt at the depositor's risk and will not be liable to the depositor in the event of loss of the security, due to failure of the bank or any other cause and that if the security is lost the loss will fall on the depositor who must furnish fresh security forthwith.