- In a grain chit, for the purpose of security under Section 2 the grain shall be valued by the Registrar as follows ;(a)the total quantity of grain due from all subscribers at one instalment of the chit shall be ascertained;(b)the market value for the time being of the total quantity referred to in Clause (a) shall then be calculated;(c)in assessing the market value, the Registrar shall adopt the current market prices prevailing at the nearest taluk/town as ascertained from the Tahasildar having jurisdiction;(d)one and quarter times the market value mentioned in Clause (b) shall be taken to be the chit amount for the purpose of furnishing security by the foreman under Sub-section (1) of Section 20.
