Section 331 in U.P. Zamindari Abolition and Land Reforms Rules, 1952
331.
For the purpose of payment of compensation under Section 305 the State Government may, on the application of a co-operative farm, advance loan to the farm up to twice the valuation of the farm at hereditary rates sanctioned at the last settlement or roster operations. The loan shall be payable in four years in eight equal instalments. The rate of interest chargeable thereon per annum shall exceed the bank rate at the time of the advance by 1 per cent. The land comprised in the farm shall be given in security. The deed of security on behalf of the farm shall be executed by the President of the farm.
