Land Improvement Loans and Agriculturists’ Loans







General Principles


Provision of funds


Object of Taccavi System




Offices who may grant loans



Officers who may receive applications


Form of application


Easy payment of grants


Peripatetic distribution

Special instructions regarding the system of peripatetic distribution of taccavi


Disbursement of bills


Loans for land improvement advances


Regarding application more than one


Procedure of lists of applicants


Security of large sums of money


System to be worked without extra establishment


Points To Be Considered In Entering Applications For Loans


Testing of sources


Security. (1) (A) Under act xix of 1833


Enquiry regarding encumbrances


Hypothecation of rights of a tenant


Hypothecation of immovable property under Act XII of 1884


Patwari to be informed of land hypothecated


Date of first instalment


Periods of grace and of repayment


System of equated repayments


Action by dealing officer


Signature on order of payment by borrower


Instructions for distribution of loans


Registration of order granting loans, and instruments of Collateral security


Form of order


Record of loans


Use of T-2 forms


Use of T-3 form


Register of file of loans


Inspection of work


Suspensions of remissions of loans

Suspension  and  Remission


Suspension/remission in case of calamity


Partial recovery of loan


Accounts and Registers


Accounts of loans


Opening of ledger in form T-7


Form T-9


Form T-10


Form T-11


Copy of T-9 form


Separation of payments of interest from payment of principal


Form T-12


Refusal of advance


Inspection of tehsil khataunis


Statement in Form T-13


DC to submit statement


Estimates of advance and recoveries


Monthly Statement in form T-16


Form T-15





Land Improvement Loans and Agriculturists’ Loans

Original issue, dated 1 September, 1910.

Reprint, dated 4th July, 1912.

2nd reprint, dated 11th November, 1919.

3rd reprint, dated 4th December, 1929.

4th reprint dated 4th October, 1937.

5th reprint dated 6th June, 1951.


I- General Instructions

II- Accounts and Registers


General Principles

(In connection with this standing order  ,Chapter XVIII of the Land Administration

Manual should be consulted)


1.         Provision of funds - The Financial Commissioner informs Commissioners what amount is placed at their disposal for loans under the Acts for each financial year. Commissioners may divide the allotment between the districts of their divisions at their discretion, and have the power of transferring the sums assigned by them from one district to another, but expenditure in the division must be kept within the amount assigned. If an additional grant be required for the division, it should be at once applied for, by telegram, if a necessary. Applications received after December Ist will not ordinarily be entertained. If a Deputy Commissioner finds that his allotment is insufficient, he should at once apply to the Commissioner for extra funds. Deputy Commissioners should distribute their allotments over tehsil according to their requirements in order to avoid the delay which occurs when a tehsildar has to apply for funds to district headquarters. Deputy Commissioners may keep a reserve in their hands if they think fit and may transfer funds from one tehsil to another. The Financial Commissioner has the power of transfer from one division to another.

2.         The object of the taccavi system is, generally speaking, to supply funds and not articles. Distribution in kind is only permissible where there is disease in the crop or marked scarcity on a large scale of fodder or grain, particularly for seed purposes, and both the Collector and Commissioner are satisfied that it would be of distinct advantage to the agricultural community for Government to supply these articles direct. The sanction of the Commissioner to each case in which it is proposed to distribute taccavi in kind should be obtained beforehand, except by the Director, Irrigation Research , to whom a general sanction has been given in connection with schemes of reclamation.


3.         Interest:         


(i)         Interest will be charged at the rate notified by the state Government form time to time.


(ii)                If  taccavi is paid at any time between June 1st November 30th, six months’ interest will be charged with following rabi instalment, and if paid at any time between December 1st and may 31st six months’ interest will be charged with the following kharif instalment. Loans repaid during the harvest in which advances were made will be charged interest for six months.


(iii)       Penal interest will not be charged on instalments that have been suspended by order of competent authority, but in other cases it will ordinarily be charged at a fixed rate of 6 1/4 per cent per annum, simple interest (equivalent to one pie per rupee per mensem), on the principal overdue, when the delay exceeds one month. Compound interest will in no case be charged. The Collector may remit or reduce the penal interest if he is satisfied that the levy of such interest would be productive of hardship.


(iv)       The debtor may at any time pay the whole amount with interest due up to the date of payment and thereby close the transaction.


4.         Offices who may grant loans - Within the limits of the funds allotted to them for the purpose, the following offices are empowered to grant loans:


Under Act XIX of 1883--

December 1953.

 (i)        Tehsildar

(ii)        Assistant in the table under shall be substituted.

(iii)       Collect 3000

(iv)       Commissioner    ---------------                                                10,000

 (v)       Financial Commissioners up to                                      50,000


Under Act XII of 1884--------

For cattle and other objects (including agricultural implements)

For seed






Tehsildars up to




Canal Zilladars up to




Reclamation Zilladars up to




Deputy Collector, reclamation up to




Assistant Land Reclamation Officer upto




Assistant Commissioner and Extra Assistant Commissioner up to




Land reclamation officer up to




Collectors up to




Commissioners up to




Financial Commissioners up to





Officers subordinate to Collectors will exercise these powers only when they are permitted to do so by the Collector, while officers subordinate to the Director, Irrigation Research, and the Chief Engineer, Irrigation Branch, will exercise these powers with the permission of the Director, Irrigation Research or the Chief Engineer, Irrigation Branch, as the case may be, who will keep the Collector informed of expenditure incurred by him.


             The limits apply to the amounts which may be granted in any individual case. Commissioners may, on the recommendations of the Collector, invest selected Tehsildars with the powers of an Extra Assistant Commissioner to grant loans under Act XII of 1884 and in very special circumstances invest selected Naib Tehsildars with the powers of a Tehsildar to grant loans under either Act.


 In the case of loans under the Agriculturists’ Loans Act, in times of famine it may be necessary to enlarge the powers of Tehsildars, Assistant Commissioners and Extra Assistant Commissioners and Collectors, and this may be done by the Commissioner subject to a report to the Financial Commissioner. As to the employment of a special officer when the amount to be advanced is large, attention is invited to paragraph 644 of the Land Administration Manual.




5.         Officers who may receive applications - Applications for loans may be oral or in writing. They may be presented in person or by post to any revenue officer of or above the rank of Naib Tehsildar. Every Tehsildar or Naib Tehsildar should receive applications for loans made when he is on tour. Applications are exempt from court-fees. When applications are likely to be numerous, it is often desirable to forbid petition-writers to write them, and to depend entirely on oral applications entered in lists as described in Paragraph 12 below.


6.         Form of application - Under Act XIX of 1883, the application, if in writing, should be made as nearly as possible in form T-1; if orally, it should be recorded in that form. All officers authorized to receive applications should carry a supply of printed forms with them and furnish them to applicants free of cost. The officer receiving the application should either make an enquiry himself , or cause one to be made, for the purpose of ascertaining the particulars mentioned on the reverse of form T-1. In the case of loans not exceeding Rs. 500, the enquiry may be made by a Field Kanungo, in other cases it should be made by a revenue officer not below the rank of Naib Tehsildar. The result of the enquiry should be forwarded to the officer empowered to grant the loan. The local enquiry should cover all the heads given on the reverse of Form T-1 and the report made should deal with each head specially. The enquiring officer should also ascertain form the applicant whether he wishes to receive the money at the sadr or at the tehsil. It is unnecessary to send or summon the applicant to the sadr unless he wishes to receive his money there. It is important that there should be no delay in disposing of cases, and the applicant should not be made to appear unnecessarily at the tehsil or at headquarters.


7.    Under Act XII of 1884, the officer to whom the application is presented should disposes of it once if he is competent to do so, if not, he should forward it for orders to the competent officer with any report which he may consider necessary. No special form of application is prescribed. The grant of loans should be made easy, and vexatious formalities avoided as far as possible.                                                                      

           Officer authorized to sanction applications should carry with them a supply of printed Form T-2 and of printed receipt forms, and these two documents together with the application (if presented in writing) will be all that are necessary to complete the file.


8.         Peripatetic distribution - As it would often be impossible especially in the case of loans for purchase of seed, fodder and cattle , to disburse in time the very large   number of petty advances required, if the system of individual payments, only at a treasury were adhered to, resort may be had to the system of  peripatetic distribution by revenue officers in camp. Officers on tour should be prepared to receive applications for taccavi freely, and for that purpose should carry with them a supply of the ordinary forms on which advances are made under article 148 of Civil Account Code, Volume 1. They should make enquiries and complete all preliminaries on the spot as far as possible, and then if they have no funds with them fill up these forms as they receive applications, take a receipt from the applicant for taccavi and send him to the nearest treasury to receive payment of the advance. The number and rank of the disbursing officers and the amounts placed at their disposal will vary according to circumstances. But, except with the sanction of the Commissioner, an Assistant Commissioner or Extra Assistant Commissioner, may draw only up to Rs, 10,000, a Tehsildar up to Rs. 5,000 and a Naib – Tehsildar up to Rs. 2,000 at one time. The Collector may authorize any Assistant Commissioner, Extra Assistant Commissioner, Tehsildar or with the sanction of the Commissioner, any Naib Tehsildar or trustworthy non-official to be a disburser of such loans. Paragraphs 79 to 83 of the Handbook on Famine Administration in the Punjab, 1906 (Reprint of 1930) show the way of working the system and should be studied (vide also paragraph 9, etc., infra). When a large sum is disbursed at any one place for the purchase of seed, the disbursing officer may be able to arrange for the presence of a respectable shop- keeper with a supply of good seed grain, so as to ensure that the borrowers really buy grain with the loans, and obtain good seed. Similarly when a large sum is to be disbursed for the purchase of cattle the Collector may arrange for a temporary cattle fair at which the money can be disbursed at the time when the cattle are actually bought.


(ii)        Government has decided that a system of peripatetic distribution with oral application and disbursement on the spot is also specially suitable for trats in which it is desirable to encourage any particular from of agricultural improvement such as the sinking of masonry wells, the embankment of land for purposes of irrigation, etc. In such tracts it should first of all be definitely ascertained by the Deputy Commissioner that a certain class of improvement within a certain area is so likely to be profitable to the persons concerned that Government may properly take the responsibility of advocating it. Before taking this decision, the Agricultural Department and in a case where well sinking is involved, more particularly the Agricultural Engineer should be consulted. If, on the report of the Deputy Commissioner submitted after such an investigation through               the Commissioner, the Financial Commissioner decides that the sinking of      masonry wells or the construction of any other specific class of permanents agricultural improvements in a certain tract of a particular tehsil is a measure which may with propriety be officially advocated, the subsequent procedure will be as follows: -


The Revenue Assistant or the Sub-Divisional Officer, if there is one or other gazetted officer specially debuted by the Deputy Commissioner will thereafter spend two or three weeks every cold weather in the tract receiving applications for loans, which may be oral, disbursing on the spot loans which he sanctions, inspecting works for which loans may have been advanced in previous years, passing such orders as circumstances may require regarding suspensions and dates of repayment and generally encouraging the construction of improvements of the kind approved. Tehsildars may be employed on of the above kind within limits of their powers of sanction and disbursements and under the supervision of the gazetted officer mentioned above.


Special instructions regarding the system of peripatetic distribution of taccavi

9.         When the Collector decides to arrange for the distribution of taccavi, by an officer while on tour, the selected officer will, subject to the following precautions, draw in lump sums on abstract bills the amounts  required for distribution, and will, as far as possible, disburse the loans in or near the village the borrowers: -


(a)        No officer disbursing agricultural loans will be allowed to draw a second abstract bill without producing a detailed bill to account for the amounts already disbursed from the last advance taken, any balance left being at the same time refunded into the Government treasury.

(b)        In no case should the submission of detailed bill be delayed beyond the of the month following that in which the advance was draw from the treasury.


(c)        The disbursing officer will take the receipts of the payees on the spot as soon as advances have been made and must certify at the foot of the detailed bill that the advances were duly sanctioned by him and paid in his presence.


(d)        The Collector should prescribe a money limit for the amount which can be drawn on an abstract bill by each officer with due regard to the circumstances of each case.


(e)        The Collector will keep a record of all bills countersigned by him with the amount involved. The selected officer will submit to the Collector a regular account of the amounts disbursed by him, with the names of the persons to whom they have been disbursed. This account should be compared in the district office with the files when received from when received from tehsils. In cases where selected officers are permitted by the Collector to draw money for disbursement direct from the treasury, similar account should be maintained and submitted to the Collector. The Treasury Officer should also communicate to the Collector the amounts draw by such officers so that the total amount may be tallied with the accounts rendered by them to the Collector.


With regard to (a) the balance (if any) need not actually be returned to the treasury on each occasion on which a detailed bill is submitted. The disbursing officer, if he foresees that his advance will not be sufficient to meet the probable demands, may, before it is exhausted, prepare another abstract for a further advance and send it with the detailed bill in which the unexpended balance of the first advance will be shown as refunded. This balance will be deducted at the treasury from the amount of the second abstract bill. In this way the work of distribution can proceed without interruption. Special care should be taken to apply rigidly the safeguards prescribed, and treasury officers have been instructed to refuse to cash an abstract bill before a detailed bill accounting for the sums already disbursed has been presented. Payees’ receipts need not be sent with the detailed bill nor need their names be shown in it.


10.       The system applies mainly to advances under Act XII of 1884, but cases may occur when it may be used for land improvement advances, as for example, when a special effort is being made to encourage the construction of a large number of masonry wells in some suitable tract or of kacha wells as a precaution against famine. In this connection paragraph 8 (ii), above, and paragraph 630 of the land Administration Manual should be consulted.                                                                                                                    

11.       When the number of applicants for loans under Act XII of 1884 is likely to be great, the Collector should arrange for the preparation in advance of lists of applicants village by village. These lists should be drawn up as nearly as may be practicable in the manner described in paragraph 80 of the Handbook on Famine Administration in the Punjab, 1906 (Reprint of 1930). The list should show the object of each loan applied for e.g. whether for seed or cattle, and its amount; and should contain a distinct, recommendation by the officer framing it as to whether the loan should be granted or not. Particulars should also be given as to the security for each loan. Space should be left for the final orders of the peripatetic disbursing officer. The preparation of preliminary lists prescribed by this paragraph is almost always advisable when the peripatetic system is adopted, especially in times of general scarcity or famine.


12.       The list prepared as above directed should be dealt with at or near the village in each case and so far as possible, in the presence of the Ziladar, Lambardar and Patwari, the applicants and their sureties, if any, being duly identified. This procedure will greatly facilitate the work of disbursement, but will not, of course, preclude further applications to the peripatetic disbursing officer, which he will take up and deal with on their merits.


13.       If the sums sent into camp are large, the Collector will arrange with the Superintendent of Police for a police guard. A sufficient number of stout wooden boxes about 2’ x 11/2’+11/4’ capable of holding about Rs.6,000 cash and each fitted with two independent Chubb’s locks will be provided for each disbursing officer from Deputy Commissioner’s contingencies. The keys of all such boxes will be kept by the disbursing officer and boxes will be opened in his presence only. The Chubb’s locks may be those issued to treasuries for the remittance of money.


14.       The system should be worked, when this is possible, without extra establishment. If such establishment is indispensable, as for instance, in time of famine, then, with the sanction of the Commissioner, a temporary moharrir or potedar, or, in special cases, both a moharrir and a Potedar, may be entrained for each disbursing officer, on suitable pay in accordance with item 10(4) of paragraph 20.3 of the Book of Financial Powers. This means that, except with the sanction of the local Government the period of employment of this temporary establishment must not exceed six months.


15.       Points to be considered in entering applications for loans - In considering the applications for loans, the officer empowered will first decide whether the need for the loan is established and the security sufficient, the amount to be advanced and the instalments (if more than one) in which it is to be advanced, and period to be allowed before repayment commences.  In deciding these points he should have regard to the circumstances of the borrower, as for instance, in determining the amount to the advanced under the Agriculturists Loans Act, 1884, the area of the land cultivated by the applicant, the amount of seed required by him and the price of the seed, and , in cases under the Land Improvement Loans Act,1883, the character of  the improvement and the date on which it is likely to begin to pay. To save trouble in calculation, it  is advisable that ordinary every loan on which interest is to be paid should be fixed at some multiple of Rs.10 or Rs.25.

In order to prevent misapplication, loans for improvement should ordinarily be made in instalments, but this is not necessary with the small sums usually given for seed, bullocks and fodder.

 When the grant of taccavi of considerable sum for the improvement of an estate is applied by an individual who is not in possession of the requisite expert knowledge essential for the said improvement, the department or departments of Government concerned should be consulted in the matter with particular reference to the contemplated  scheme or schemes of improvement .


16.       In any of the areas specified in appendix- as being areas where it is specially desired to encourage well irrigation, the Collector may, on the request of the person taking   a taccavi loan for sinking a well, apply to the Agricultural Engineer to make a trial bore with the object of testing the suitability of the site for the well. If the trial bore indicates that the site is suitable an open well, the cost of the well bore will be payable by the person taking the loan; but if the site is found to be unsuitable nothing will be payable to the Agricultural Department.






Ambala       ....      






















Hissar           ....

Rohtak         ....

Gurgaon      .....










Karnal         .....

Ambala       .....








Ludhiana        ......

Ferozepur       .....


Amritsar        .....

Gurdaspur      .....

Hissar and Fatehabad tehsils

Jhajjar and Sonepat tehsils.

Gurgaon tehsil-Bhud assessment circle.

Rewari tehsil-Khari assessment circle.

Nuh-tehsil-*Bangar and Dahar assessment circles.

Ferozepur –Jhirka tehsil-Dahar and Chiknot assessment circles.

Palwal and Ballabgarh tehsil-Pangar circles.


Thanesar and Panipat tehsils.

Ambala tehsil.


Jagadhri tehsil, except Khadar tract.

Naraingarh tehsil, except the Morni circle

Kharar tehsil-Malaya, Grangan

Baqarpur, Manauli, and Karar zails


Ludhiana tehsil.

Ferozepur, Muktsar and Fazilka tehsils

Ajnala tehsil

Gurdaspur and Batala tehsils.


17.       Security. (1) (A) Under Act XIX of 1883-


(a)        When the value of the applicant’s interest in the land to be improved is sufficient to cover the loan, no collateral security need be required.


(b)        When a loan is made to the members of a village community, who bind themselves jointly and severally as provided in section 9 of the Act, the personal security of the applicants may be accepted. It is not necessary that all the members of the  community should combine: loans may be made to any suitable group of persons who agree to be jointly and severally bound.


(c)        in all cases not covered by clause (a) or clause (b) of this rule, collateral security either real or personal, should be required, but movable property should rarely be accepted as such security.


(B) Under Act XII of 1884 –


(1)        The officer making the grant may at his discretion require the grantee to produce some persons who will become surety for the repayment of the loan  with interest.


(2)        Instruments executed for securing the repayment of loans made under these Acts are exempt from stamp duty.


(3)        Receipt given by a person for advances exceeding Rs. 20 received by him from the Government under the Agriculturists Loans Act, 1884, is exempt from stamp duty.


18.       Enquiry regarding encumbrances - Where land is offered as security, some enquiry regarding the existence of encumbrances which would lessen its value, will be necessary, but such an enquiry should not be carried further than is absolutely requisite.  It will be seen from section 76 of the land Revenue Act read with section 7(1) ( c ) of Act XIX of 1883 that the land for the improvement of which a loan has been granted can, be sold for default free of encumbrances except so far as concerns rights of occupancy and certain leases and such further encumbrance, as the Financial Commissioner may exempt.  For practical purposes, in granting a loan it is unnecessary to take into account the likelihood of the exemption from sale of any form of encumbrances other than  those expressly described in section 76 ( 8 ) ( a ) and ( b ) of the Land Revenue Act. Those of the former class must be reported under section 34 ( 1 ) for entry in the record –of- rights, and the bulk of those of the latter class would be similarly entered under paragraphs 7.3 and 7.4 of the Land Records Manual. So too as regards land offered as collateral security, all encumbrances which need to be taken into account must ( with very minor exception ) have been reported for entry in the record – of – rights. Accordingly the enquiry regarding encumbrances need not extend beyond the perusal of the entries in the record – of – rights, and no proclamation or other process tending to delay proceedings is necessary.


19.       Hypothecation of rights of a tenant - As regards the acceptance of a tenant’s rights as security, a distinction must be drawn between occupancy tenants holding under section 5 of Act XVI of 1887 and other tenants. Tenants of the former class are alone able, under section 55 of the Tenancy Act, to offer their rights as security but even in their case the rights so secured cannot be attached and sold for the recovery of arrears of land revenue under the Land Revenue Act. All tenants should, therefore, if required to furnish landed security, furnish collateral security only. But in suitable cases the personal security of a tenant or the joint security of several tenants may be accepted.


20.       Hypothecation of immovable property under Act XII of 1884 - The hypothecation of immovable property should seldom be required for advances under Act XII of 1884. Where it is required, the form of order should be in form T – 2, and the additional copies ( paragraph 30 infra ) will be necessary.


21.       Patwari to be informed of land hypothecated - In respect of land hypothecated to Government by way of security for repayment of an advance, the tehsildar should at once inform the patwari concerned and require him to enter up a mutation ( vide paragraph 30 infra ). If a second loan is given on the same security, and second mutation is not required – see paragraph 7.18 of the Land Records Manual – whether a mutation has to be entered up or not the patwari should make a note to the loan in column 12 of the current jamabandi which should be carried over to all succeeding jamabandis.


22.       The dates for payment of installment should usually be the dates fixed for the payment of the first installment of the land revenue of each harvest.


23.       Periods of grace and of repayment.  The period of grace allowed before realization of the first instalment of repayment should not exceed 2 ½  years from the date of the actual advance of the loan, or, when the loan is advanced in instalments from the date of actual advance of the last instalment and in the case of wells, should usually be two years; the main object being to ensure that payment either of principal or interest, is not exacted before the date when the profits of improvement may reasonably be expected to cover the payment. It is not, however, desirable that borrower should be exempted from repayments longer than is necessary to create resources from which the repayments may be made. Similarly, in order to prevent high charges for interest, advances should be made repayable within as short a period as is consistent with the object for which they are made. The period of repayment should not, in any case, except with the sanction of the local Government, be longer than 20 years. Loans made under Act XII of 1884 should be made repayable in not more than 10 years as a maximum. If they are granted for the purchase of seed or fodder, they should ordinarily be made repayable at the next harvest; if granted for the purchase of bullocks, they should, ordinarily be made repayable in four half – yearly instalments, the first being made repayable with the instalment of land revenue, falling due not less than six months after the date on which the loan is made. Subject to these considerations the borrower may be allowed to choose the period of repayment from tables B to F, which he finds most convenient (see also paragraph 627 of the Land Administration Manual)


             Repayments may be made either in person at the tehsil or through the lambardar when payment of land revenue is made to him, or by money order. In cases in which the applicant chooses to repay by money order as many special money order forms as there are equated payments should be given to him given to him along with the advance.


24.       System of equated repayments - With a view to the simplification of procedure and accounts, Tables A to F have been prepared showing the amounts of the equated instalments due annually or six monthly in repayment of loan of Rs. 100, according to the date of first instalment and the period of repayment; the rate of interest taken being that shown in Table A below. During the period of grace no charge will be released for interest, for this period has been allowed for in the calculation of equated repayments. Should the loan be greater or less than Rs. 100, the amount of each equated payment should be calculated to the nearest anna by simple proportion. When a loan is advanced in more than one instalment, the whole loan may, for the purpose of the Table, be considered to have been made on the date on which the last instalment was made to the borrower. The form of Table A is given below :-




Tables of equated payments ( interest calculated at 5 ¼ per cent per annum ) referred to in paragraph 24 of Financial Commissioners’ Standing Order No. 32.



Reference To page

Reference to Table

Reference to number of Payment

Column number of the table















D-Four half years










D-Ten half years






























E-Forty half years










F-Twenty half-years











Showing the repayment of a loans of Rs. 100 with interest at 4 per cent per annum*


Number of years in which the loan is repayable

Amount of annual instalments on the supposition that the first instalment is repayable after

Number of half – years in which the loan is repayable

Amount of half – yearly instalments on the supposition that the first instalment is repayable after


1 year                    2 years


1 years                             2 years


2                                3


2                                             3







Rs.     A.   P.      Rs.   A.    P.

54      0     0      56    13    0

23      4     0      24     8     0

13      2     0      13    13    0 

9        13    0     10     5     0

8         3     0       8     10   0   








Rs.     A.   P.         Rs.     A.    P.

27      6      0         28      13     0

11      13    0         12        7     0

6        11    0           7        0     0

5          0    0           5        4     0

4          3    0           4        6     0



The other tables will be issued as a separate pamphlet for the use of the district revenue accountant.


25.       When the officer dealing with the application has arrived at a decision on the point referred to in paragraph 24, he should, unless he view of the consideration above suggested to limit the borrower’s discretion, explain the table to him and leave him to choose the  term for the repayment of the loans. He should especially point out that the sooner he begins to repay the shorter the period over which repayment is spread, the less loans will he have to pay.


**” For instance, if he chooses to repay a loans of Rs. 100 in 10 annual instalments and beings his repayment after one year, he will pay altogether 10 instalments of Rs. 13 /2 /- or Rs. 131/ 4/- all; if he beings his repayment after two years, he will pay 10 instalments of Rs. 13 / 13/- or Rs. 138/2/- in all; if he spreads the repayments over 15 years, an begins his repayments after two years, he will pay 15 instalments of Rs. 10/5/- or Rs. 154/11/- in all; if repayment is spread over 20 years, he will pay 20 instalments of Rs. 8/10/- or Rs. 172/8/- in all. For an ordinary well the best arrangement will generally be that repayment should beings after two years and that the repayment should be made in 15 instalments of Rs. 10/5/- or Rs. 154/11/- in all, or in 30 half-yearly instalments of Rs. 5/4/- or Rs. 157/8/- in all.’’


Substituted vide correction slip no. 25 dated  10th September,1953.

**   Substituted vide correction slip no. 26 S.O. dated 10th September, 1953.


List of instalments should not be placed on the files as forms T-2 and T-3 give sufficient particulars, and the Tehsil Accountant should in no case be called upon to make out such a list or draft Khatauni in any form.


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