Section 36F in West Bengal Agricultural Produce Marketing (Regulation) Act, 1972

 

Section 36F in West Bengal Agricultural Produce Marketing (Regulation) Act, 1972

36F. Power to borrow money.

(1)For carrying out the purposes of this Act, the Board may, with the previous approval of the State Government, raise loans in the open market or from any financial institutions, and the State Government may stand guarantee for payment of the principal amount of such loan and for payment of interest, subject to such terms and condition as it may determine.

(2)The State Government may advance money or grant loans to the Board on such terms and conditions as may be determined by the State Government.

(3)The Board may advance money or grant loans to the market committees, subject to such terms and conditions as the Board may determine.

(4)Notwithstanding anything contained in any other law for the time being in force, every debt arising out of any loan taken by the Board from the State Government or any financial institution for carrying out the purposes of this Act shall-

(a)have priority over all other debts whether secured or unsecured, and

(b)be a preferential debt within the meaning of section 530 of the Companies Act, 1956 (1 of 1956),

and such debts shall rank equally among themselves and be paid in full out of the assets of the Board unless such assets are insufficient to meet them, in which case they shall abate in equal proportion.