Section 39(2) in The M.P. Shakari Krishi Aur Gramin Vikas Bank Adhiniyam 1999
(2)(a)On execution of an agreement as provided in sub-section (1), the marketing co-operative society or any other institutions referred to in that sub-section shall, on a requisition, in writing by the District Development Bank and so long as such debt or demand or any part of its remains unpaid, make a deduction, in accordance with the requisition, from the sale proceeds of the agricultural produce belonging to the applicant and marketed through them and pay the amount so deducted to the District Development Bank within such period as may be prescribed from the date of deduction.(b)If the marketing co-operative society or any other institutions referred 10 in sub-section (1) fails to make the payment to the Bank within aforesaid time, the marketing co-operative societies or any other institutions referred in sub-section (1) shall be liable to pay interest on the amount so recovered at the same rate which is recoverable from the borrower, in case of default.(c)After receipt of the aforementioned deducted amount by the State Development Bank or District Development Bank, as the case may be, the obligation of the borrower shall be discharged upto such extent.
