Section 48 in The Delhi Agricultural Produce Marketing (Regulation) General Rules, 2000
48. Condition subject to which a committee may borrow loan from Government and grant loan to another Committee.
- Subject to the provision of Section 72 of the Act, a marketing committee may obtain loan from Government or from any other marketing committee and also grant loan to another Marketing Committee with the previous approval of the Board. The loan so granted shall be regulated, by the following general conditions-(1)A specific term should be fixed which should be as short as possible, within which the loan should be fully repaid with interest due. The term may in very special cases extend to thirty years.(2)The term is to be calculated from the date on which the loan is completely drawn.(3)The repayment of loans should be effected by instalment, which should ordinarily be fixed on annual basis, due dates of payment mentioned in the agreement.(4)Installments paid before the due date will be taken entirely to principal unless any interest for a preceding period is overdue.(5)The interest shall be charged on the loan at the rate prescribed by the Board.Provided that a loan shall bear interest, for the day of payment but not for the day of repayment.(6)When a loan is taken out in instalments, each instalment of the loan so drawn shall be treated as a separate loan for purposes of repayment of principal and payment of interest thereon except where various instalments drawn during a financial year are, for the purpose, allowed to be consolidated into a single loan as at the end of that particular financial year. In the latter event, simple interest at the prescribed rate on the various loan instalments from the date of drawl of each instalment to the date of their consolidated drawl shall be separately payable by the borrower.(7)The committee may obtain loan from Government at such term and conditions as may be determined by the Government and specified in agreement.
