Section 90 in Karnataka Co-Operative Societies Act, 1959
90. Powers of [Agriculture and Rural Development Bank] [Substituted by Act 5 of 1984 w.e.f. 09.01.1984.] where mortgaged property is destroyed or security becomes insufficient.
- Where any property mortgaged to an [Agriculture and Rural Development Bank] [Substituted by Act 5 of 1984 w.e.f. 09.01.1984.] is wholly or partially destroyed or the security is rendered insufficient and the mortgagor, having been given a reasonable opportunity by the committee of the [Agriculture and Rural Development Bank] [Substituted by Act 5 of 1984 w.e.f. 09.01.1984.], of providing further security enough to render the whole security sufficient or of repaying such portion of the loan as may be determined by the committee, has failed to provide such security or to repay such portion of the loan, the whole of the loan shall be deemed to fall due at once and the committee shall be entitled to take action against the mortgagor under section 88 or section 89 for the recovery thereof.Explanation. - A security is insufficient within the meaning of this section unless the value of the mortgaged property exceeds the amount for the time being due on the mortgage by such proportion as may be specified in the bye-laws of the [Agriculture and Rural Development Bank] [Substituted by Act 5 of 1984 w.e.f. 09.01.1984.].
