Assam Debt Conciliation Act, 1936
No: 4 Dated: Jan, 06 1937
The Assam Debt Conciliation Act, 1936
Assam Act 4 of 1936
An Act to make provision for the setting up of Debt Conciliation Boards to relieve agriculturists from indebtedness
Preamble. - Whereas it is expedient to relieve agriculturists from indebtedness by amicable settlement between them and their creditors;
And whereas the previous sanction of the Governor-General required by sub-section (3) of Section 80-A of the Government of India Act has been obtained to the passing of this Act;
It is hereby enacted as follows:
1. Short title, extent and commencement. - (1) This Act may be called the Assam Debt Conciliation Act, 1936.
(2) It extends to the whole of Assam.
(3) It shall come into force in any area on such date as the State Government may, by notification, direct.
2. Definitions. - In this Act, unless there is anything repugnant in the subject or context-
(a) "Agriculture" includes horticulture, dairy farming and sericulture, and the use of land for purpose of husbandry inclusive of keeping or breeding of live-stock, poultry or bees and the growing of fruits, vegetable and the like;
(b) "Board" means a Debt Conciliation Board established under sub-section (1) of section 3;
(c) "Creditor" means a person to whom a debt is owing and includes his heirs, executors, administrators and assigns and it also includes a Co-operative Society registered under the Co-operative Societies Act, 1912 (2 of 1912);
(d) "Debt" includes all liabilities in cash or kind, secured or unsecured, payable under a decree or order of a Civil Court or otherwise, whether due, or not due, but shall not include rent not due, arrear of wages, land revenue or anything recoverable as an arrears of land revenue, or any claim for the recovery of which a suit or application is barred by limitation;
(e) "Debtor" means a person who owes a debt and who earns his livelihood mainly by agriculture, and includes his heirs, administrators, executors and assigns ;
(f) "Prescribed" means prescribed by Rules made under this Act;
(g) "Deputy Commissioner" means the Deputy Commissioner of a District or any other officer appointed by the State Government to discharge any of the functions of a Deputy Commissioner under this Act.
3. Establishment of Debt Conciliation Board. - (1) The State Government may establish a Debt Conciliation Board for any district or part of a district. Such Board shall consist of three or more members not exceeding seven, including the Chairman to be appointed by the State Government, which may, for reasons to be recorded in writing, cancel any appointment or dissolve any Board.
(2) The Chairman and every other member of a Board so established shall be appointed for a term not exceeding three years. Such Chairman or member shall, on the expiration of the period for which he has been appointed, be eligible for re-appointment.
(3) A Board shall have such quorum as may be prescribed.
(4) Where the members of a Board are unable to agree, the opinion of the majority shall prevail. Where a Board is equally divided the Chairman shall have a second or casting vote.
4. Application for settlement between debtor and his creditor. - (1) A debtor or any of his creditors may apply to the Board appointed for the area in which the debtor ordinarily resides, to effect a settlement between the debtor and his creditors:
Provided that no application shall lie if the debtor's debts be less than Rs. 50 or more than Rs. 5,000.
(2) Where applications have been made by the debtor and any of his creditors, the applications made by his creditors, shall be merged in the application made by the debtor.
(3) If applications are made to more than one Board in respect of the debts made by the same debtor, such application shall, subject to the rules prescribed, be transferred to and dealt with by one Board.
(4) The State Government may, at any stage of a proceeding, transfer the proceeding from one Board to another, and the Board to which it is transferred shall have jurisdiction to deal with it.
5. Verification of application. - Every application to a Board under Section 4 shall be in writing and shall be signed and verified in the manner prescribed by the Code of Civil Procedure, 1908, for signing and verifying plaints.