Section 18(1) in The M.P. Shakari Krishi Aur Gramin Vikas Bank Adhiniyam 1999
(1)Every person who applies for a loan from a District Development Bank shall give declaration on an affidavit in such form as may be prescribed before an officer specified by the State Development Bank in this behalf that the movable or immovable property furnished as security for the loan is free from encumbrances and that he is in actual possession thereof and that he has the right to furnish such security in favour of the District Development Bank.
