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State of Jharkhand - Section

Section 18 in Bihar Consolidation of Holdings and Prevention of Fragmentation Act, 1956

18. Transfer of encumbrances.

- [(1) If any holding included in a scheme of consolidation which has come into operation under Section 14 is subject to any lease, mortgage or other encumbrance, shall, with effect from the date on which possession is delivered or entered into under Section 17A, be deemed to be transferred and attached to the holding under the scheme to the raiyat or to such part of it as the Consolidation Officer may direct and shall cease to have any effect against the holding from which it is so transferred.] [Substituted by Bihar Act 35 of 1982.]
(2)If the holding to which a lease, mortgage or other encumbrance is transferred under sub-section (1) is of less market value than the original holding from which it is transferred, the lessee, mortgagee or other encumbrancer, as the case may be, shall subject to the provisions of Section 20, be entitled to the payment of such compensation by the raiyat of the former holding as the Consolidation Officer may determine; and such compensation shall be a first charge on the compensation payable to the raiyat under this Act.
(3)Notwithstanding anything contained in Section 14, any lessee or mortgagee or other encumbrancer entitled to possession, may, if necessary, be put in possession of the holding or part of the holding, as the case may be, to which his lease or mortgage or other encumbrancer has been transferred under sub-section (1).