Section 14(1) in Tamil Nadu Debt Conciliation Act, 1936
(1)If the creditors to whom more than fifty per cent of the total amount of the debtor's debts is owing come to an amicable settlement with the debtor, such settlement shall forthwith be reduced to writing in the form of an agreement recording the amounts payable to such creditors and the manner in which, the assets from which and the times at which they are to be paid. Such agreement if considered equitable by the board shall be read out and explained to the parties concerned, and shall be signed or otherwise authenticated by the board and the parties who have agreed to the amicable settlement:Provided that, when a co-operative society is one of such creditors, no settlement, insofar as it affects the debts owing to such society, shall be valid without the previous approval in writing of the Registrar of Co-operative Societies:Provided further that when a secured creditor does not agree to the settlement, such settlement shall not affect his rights to proceed against the secured property.
