- (1) When a borrower or his surety makes default in repayment 26[* * *] or otherwise fails to comply with the terms of the agreement or letter of guarantee with the Corporation, the Corporation notwithstanding the provisions of any other law may, without the intervention of any Court, sell any property pledged, mortgaged, hypothecated or assigned by the borrower or his surety, to the Corporation by way of security.
(2) Any transfer of property made by the Corporation in exercise of its powers under clause (1) shall vest in the transferee all rights in or to the property transferred as if the property had been sold to the transferee by the owner.
(3) All sums due to the Corporation from the borrower or his surety shall be recoverable as arrears of land revenue.
- (1) Where by reason of the breach of any agreement by the borrower the Corporation becomes entitled to require the immediate payment of the amount due by the borrower to the Corporation, any officer of the Corporation authorised generally or specially by the Board in this behalf may apply to the District Judge within the local limits of whose jurisdiction the borrower’s house is situated for any one or more of the following reliefs, namely:-
(a) an order for the sale of any property or properties pledged, mortgaged, hypothecated or assigned to the Corporation as security for the sums due by the borrower;
(b) for an injunction restraining the borrower or his surety from in any manner removing, transferring or disposing of any of the properties referred to in sub-clause (a);
(c) for an ad-interim attachment attaching the properties referred to in sub-clause (a) above and such other properties of the borrower or his surety as in the opinion of the District Judge were sufficient to cover the claim of the Corporation against the borrower including costs and interest.
(2) An application under clause (1) shall state the nature and extent of the liability of the borrower and his surety to the Corporation, the grounds on which it is made and such other particulars as may be prescribed.
(3) The District Judge may if he thinks fit hear the applicant and where the reliefs mentioned in sub-clauses (b) and (c) of clause (1) are prayed for in the application shall pass ad-interim orders granting such reliefs as in the opinion of the District Judge are sufficient to safeguard the full claim of the Corporation against the borrower.
(4) At the time of passing his orders under clause (3) the District Judge shall order notice of the application to issue to the borrower and his surety together with copies of the applications, the order passed by the District Judge under clause (3), and any evidence which may have been recorded at the time of the order under clause (3), calling upon the borrower and his surety to show cause on a date to be specified in the notice, why the interim orders passed should not be confirmed and the reliefs sought in the application be granted.
(5) If no cause is shown on or before the date specified in the notice under clause (4), the District Judge shall dispose of the application.
(6) If the borrower and his surety appear and show cause, the District Judge shall grant them and the Corporation reasonable opportunity to produce their evidence relating to the reliefs claimed in the application, and after considering such evidence and hearing the parties, the District Judge shall pass his orders disposing of the application.
(7) When passing his order under clause (5) or clause (6), the District Judge shall-
(a) record his finding as to the amount due by the borrower to the Corporation, and the interest payable thereon;
(b) direct or refuse to direct the sale of the properties attached;
(c) confirm, discharge or vary any ad-interim orders passed restraining the borrower and his surety or attaching their properties; and
(d) pass any other incidental orders.
(8) No order passed by the District Judge ordering the release of any property of the borrower or his surety from attachment shall be given effect to until after the expiry of 30 days from the date of that order except with the written consent of the Corporation, or where an appeal has been preferred to the High Court Division, under the orders of the High Court Division.
(9) An order under this Article for the 27[attachment or sale] of property shall be carried into effect as far as may be in the manner provided in the Code of Civil Procedure, 1908, for the 28[attachment or sale] of property in execution of a decree as if the Corporation were the decree-holder.
(10) Any party aggrieved by an order under clause (5) or clause (6) may within thirty days from the date of the order appeal to the High Court Division, and upon such appeal the High Court Division may after hearing the parties pass such orders as it thinks proper.
- The Corporation shall be deemed to be a Bank for the purposes of the Bankers Books Evidence Act, 1891.
- After making provision for bad and doubtful debts, depreciation of assets and any other matters which are usually provided for by a banker, the Corporation may out of its net annual profits establish a Reserve Fund or Funds, and any surplus remaining thereafter shall be paid to the Government.
29[29A. For purposes of the Income Tax Act, 1922 (XI of 1922), the Corporation shall be deemed to be a Company within the meaning of that Act, and shall be liable to income-tax and super-tax accordingly on its income, profits and gains:
Provided that any sum paid by the Government under any guarantee given in pursuance of clause (2) of Article 18, shall not be treated as part of the income , profits and gains of the Corporation, and any interest on debentures or bonds paid by the Corporation out of such sum shall not be treated as expenditure incurred by it.]
- (1) The accounts of the Corporation shall be audited by not less than two auditors being chartered accountants within the meaning of 30[Bangladesh Chartered Accountants Order, 1973 (P.O. No. 2 of 1973)] , who shall be appointed by the Government in consultation with the Comptroller and Auditor-General of Bangladesh, on such remuneration, to be paid by the Corporation, as the Government may fix, and the Comptroller and Auditor-General shall have the power to give directions to the auditors in regard to the extent and method of their audit subject to the provisions of the Companies Act, and to prescribe the forms of accounts to be maintained by the Corporation consistent with the requirements of that Act.
(1A) Notwithstanding the provisions of the preceding clause, the Comptroller and Auditor-General, where the Government is required to make any payment on account of a guarantee given by it under clause (2) of Article 18, shall, and in other cases may, either of his own motion or upon a request received in this behalf from the Government, undertake such audit of the accounts of the Corporation at such time as may be considered necessary and the Corporation shall, at the time of such audit, produce the account books and connected documents at such place or places as the Comptroller and Auditor-General may fix, and furnish such explanations and information as the Comptroller and Auditor-General or an officer or officers authorised by him in this behalf may ask for.
(2) Every auditor appointed under clause (1) shall be given a copy of annual balance-sheet of the Corporation and shall examine it together with the accounts and vouchers relating thereto, and shall have a list delivered to him of all books kept by the Corporation, and shall at all reasonable times have access to the books, accounts and other documents of the Corporation and may in relation to such account examine any Director or officer of the Corporation.
(3) The auditors shall 31[report] to the Government upon the annual balance-sheet and accounts and in their report they shall state whether in their opinion the balance-sheet is a full and fair balance-sheet containing all necessary particulars and properly drawn up so as to exhibit a true and correct view of the state of the Corporation’s affairs, and in case they have called for any explanation or information from the Board, whether it has been given and whether it is satisfactory.
(4) The Government may at any time issue directions to the auditors requiring them to report to it upon the adequacy of measures taken by the Corporation for the protection of the interests of the Government and of the creditors of the Corporation or upon the sufficiency of their procedure in auditing the affairs of the Corporation, and may at any time enlarge or extend the scope of the audit or direct that a different procedure in audit be adopted or that any other examination be made by the auditor if in its opinion the public interest so requires.
- (1) The Corporation shall furnish to the Government within ten days of the date to which the statement relates, a statement in the prescribed form of its assets and liabilities as they stand at the close of business on the last Friday of each month, or if that day is a public holiday under the Negotiable Instruments Act, 1881, then as they stand at the close of business on the preceding working day.
(2) The Corporation shall furnish in the prescribed form to the Government such returns and statements at such intervals as the Government may require from time to time.
(3) The Corporation shall furnish to the Government within two months of the close of the financial year an audited statement in the prescribed form of its assets and liabilities as they stand at the close of that year together with a profit and loss account for the year and a report on the working of the Corporation during the year, and copies of the said statement, account and report shall be published in the official Gazette and shall be laid before the Parliament.
- No provision of law relating to the winding up of companies or Corporation shall apply to the Corporation and the Corporation shall not be wound up save by order of the Government and in such manner as it may direct.
- (1) Every Director shall be indemnified by the Corporation against all losses and expenses incurred by him in the discharge of his duties except such as are caused by his own wilful act or default.
(2) A Director shall not be personally responsible for the acts of any other Director or of any officer or servant of the Corporation for any loss or expense resulting to the Corporation by reason of the insufficiency or deficiency in value of or title to any property or security acquired or taken on behalf of the Corporation, or by the wrongful act of any person under a liability to the Corporation, or by anything done by him in good faith in the execution of the duties of his office.
- Every Director, auditor, officer or servant of the Corporation shall, before entering upon his duties, make a declaration of fidelity and secrecy in the form set out in the Schedule to this Order.
- (1) Whoever wilfully makes a false statement or knowingly makes use of any false statement for the purpose of obtaining a loan from the Corporation or of inducing the Corporation to accept security of any form or kind shall be punishable with imprisonment for a term which may extend to two years, or fine which may extend to two thousand Taka or with both.
(2) Whoever without the consent in writing of the Corporation uses the name of the Corporation in any prospectus or advertisement shall be punishable with imprisonment for a term which may extend to six months, or with fine which may extend to one thousand Taka or with both.
(3) Whoever being a Director, auditor, officer or servant of the Corporation contravenes his declaration of fidelity and secrecy shall be punishable with imprisonment for a term not exceeding six months or with fine which may extend to one thousand Taka or with both.
(4) Whoever being a member of the Board discloses or uses for a purpose not connected with the discharge of his duties as a member of the Board any information supplied to the Corporation or to the Board by a person applying for financial assistance shall be punishable with imprisonment for a term which may extend to six months or with fine which may extend to one thousand Taka or with both.
(5) No Court shall take cognizance of any offence punishable under this Order otherwise than on a complaint in writing signed by an officer of the Corporation authorised by the Board in this behalf.
- The Government may make rules not inconsistent with this Order for the purpose of giving effect to the provisions of this Order, and where the rules framed under this Article are inconsistent with the regulations framed under the next succeeding Article the rules shall prevail.
- (1) The Board may, with the previous sanction of the Government, make regulations not inconsistent with this Order to provide for all matters for which provision is necessary or expedient for the purpose of giving effect to the provisions of this Order.
(2) In particular and without 32[prejudice] to the generality of the foregoing power, such regulations may provide for-
(a) the calling of the meeting of the Board, fees for attending the meetings thereof and the conduct of business thereat;
(b) the manner and terms of issue and redemption of bonds and debentures by the Corporation;
(c) the conditions subject to which the Corporation may grant loans;
(d) the form and manner of determining the sufficiency of the security taken under clause (7) of Article 21;
(e) the form of returns and statements required under this Order;
(f) the recruitment of officers and staff of the Corporation, the terms and conditions of their service, the duties and conduct of such officers and staff and of the agents of the Corporation, the Constitution and management of provident funds for such officers and staff and all matters connected with any of these things;
(g) the disclosure of interest, 33[direct or] indirect of a Director of the Board in any application for loan;
(h) preparation of annual estimates of income and expenditure of the Corporation in the prescribed form and their submission to the Board and the Government for approval on prescribed date;
(i) the efficient conduct of the affairs of the Corporation generally.
(3) All regulations made under this Article shall come into force on the date specified in each case, and shall be publis in the official Gazette and shall also be laid on the table of the Parliament.
- Notwithstanding anything contained in any other law for the time being in force, on the commencement of this Order,
(a) all assets, rights, powers, authorities and privileges and all properties, movable and immovable, cash balances, bank deposits and all other rights and interests in or arising out of, such property of the House Building Finance Corporation established under the House Building Finance Corporation Act, 1952 (XVIII of 1952), shall stand transferred to and vested in the Corporation;
(b) all liabilities and obligations of whatever kind of the said House Building Finance Corporation subsisting within the territory of Bangladesh immediately before the commencement of this Order shall, unless the Government otherwise directs, be the liabilities and obligations of the Corporation;
(c) all suits and other legal proceedings instituted by or against the said House Building Finance Corporation unless the Government otherwise directs be deemed to have been instituted by or against the Corporation and may be continued or proceeded with accordingly; and
(d) all rules framed and regulations made, in exercise of powers conferred under the House Building Finance Corporation Act, 1952, hereby repealed, 34[shall,] unless repugnant to the subject or context, be deemed to have been framed or made under this Order.
- The House Building Finance Corporation Act, 1952 (XVIII of 1952), is hereby repealed.
1 The words “at any place” were substituted for the words “in the cities, towns, thana Headquarters and any other important places” by section 2 of the Bangladesh House Building Finance Corporation (Amendment) Ordinance, 1984 (Ordinance No. XIV of 1984)
2 The words “in pursuance of ” were substituted for the words “in pursuance or ” by section 2 of the Bangladesh House Building Finance Corporation (Amendment) Act, 1975 (Act No. XXVII of 1975)
3 The words and commas “flats, apartments or other” were substituted for the word “family” by section 2 of the Bangladesh House Building Finance Corporation (Amendment) Ordinance, 1976 (Ordinance No. XXXIX of 1976)
4 Clause (ee) was omitted by section 2 of the Bangladesh House Building Finance Corporation (Amendment) Ordinance, 1977 (Ordinance No. XVIII of 1977)
5 The words “taka one hundred and ten crores ” were substituted for the words “ten crores of Takas” by section 2 of the Bangladesh House Building Finance Corporation (Amendment) Act, 1992 (Act No. LIV of 1992)
6 Clause (3) was substituted by section 3 of the Bangladesh House Building Finance Corporation (Amendment) Ordinance, 1977 (Ordinance No. XVIII of 1977)
7 The commas and the words “, who shall be the Chairman of the Board,” were omitted by section 2 and the Schedule of the Banks and Financial Institutions Laws Amendment Act, 1980 (Act No. IX of 1980)
8 Article 10A was inserted by section 2 and the Schedule of the Banks and Financial Institutions Laws Amendment Act, 1980 (Act No. IX of 1980)
9 The commas and words “, subject to other provisions of this Article,” were inserted by section 2 and the Schedule of the Financial Institutions Laws Amendment Ordinance, 1977 (Ordinance No. LXI of 1977)
10 The words, commas and figure “House Building Finance Corporation established under the House Building Finance Corporation Act, 1952,” were substituted for the words “said Corporation” by section 4 of the Bangladesh House Building Finance Corporation (Amendment) Ordinance, 1976 (Ordinance No. XXXIX of 1976)
11 The words, commas and figure “of the House Building Finance Corporation established under the House Building Finance Corporation Act, 1952,” were substituted for the words “of the Corporation” by section 4 of the Bangladesh House Building Finance Corporation (Amendment) Ordinance, 1976 (Ordinance No. XXXIX of 1976).
12 Clause (5) was inserted by section 2 and the Schedule of the Financial Institutions Laws Amendment Ordinance, 1977 (Ordinance No. LXI of 1977)
13 The word “experts” was substituted for the word “exports” by section 4 of the Bangladesh House Building Finance Corporation (Amendment) Act, 1975 (Act No. XXVII of 1975)
14 The word “six” was substituted for the word “five” by section 2 and the Schedule of the Banks and Financial Institutions Laws Amendment Act, 1980 (Act No. IX of 1980)
15 The word “six” was substituted for the word “five” by section 2 and the Schedule of the Banks and Financial Institutions Laws Amendment Act, 1980 (Act No. IX of 1980)
16 The word “own” was substituted for the word “won” by section 5 of the Bangladesh House Building Finance Corporation (Amendment) Act, 1975 (Act No. XXVII of 1975)
17 The word “fifteen” was substituted for the word “ten” by section 3 of the Bangladesh House Building Finance Corporation (Amendment) Act, 1992 (Act No. LIV of 1992)
18 The words “or of” were substituted for the words “or not” by section 6 of the Bangladesh House Building Finance Corporation (Amendment) Act, 1975 (Act No. XXVII of 1975)
19 The words and comma “and any sale, transfer made or charge or encumbrance created without the approval of the Corporation in respect of such property shall be null and void” were inserted by section 6 of the Bangladesh House Building Finance Corporation (Amendment) Act, 1975 (Act No. XXVII of 1975)
20 The figures “32” were substituted for the figures “30” by section 3 of the Bangladesh House Building Finance Corporation (Amendment) Ordinance, 1984 (Ordinance No. XIV of 1984)
21 The words “borrower unless he” were substituted for the words “Housing Society unless it” by section 4 of the Bangladesh House Building Finance Corporation (Amendment) Ordinance, 1977 (Ordinance No. XVIII of 1977)
22 Section 22 was substituted by section 5 of the Bangladesh House Building Finance Corporation (Amendment) Ordinance, 1977 (Ordinance No. XVIII of 1977)
23 The words “for more than 24 monthly instalments” were omitted by section 7 of the Bangladesh House Building Finance Corporation (Amendment) Ordinance, 1976 (Ordinance No. XXXIX of 1976)
24 The words “and the” were substituted for the words “and he” by section 8 of the Bangladesh House Building Finance Corporation (Amendment) Act, 1975 (Act No. XXVII of 1975)
25 The word “percentage” was substituted for the word “percnetage” by section 8 of the Bangladesh House Building Finance Corporation (Amendment) Act, 1975 (Act No. XXVII of 1975)
26 The words “beyond 24 monthly instalments” were omitted by section 8 of the Bangladesh House Building Finance Corporation (Amendment) Ordinance, 1976 (Ordinance No. XXXIX of 1976)
27 The words “attachment or sale” were substituted for the words “attachment of sale” by section 9 of the Bangladesh House Building Finance Corporation (Amendment) Act, 1975 (Act No. XXVII of 1975)
28 The words “attachment or sale” were substituted for the words “attachment of sale” by section 9 of the Bangladesh House Building Finance Corporation (Amendment) Act, 1975 (Act No. XXVII of 1975)
29 Section 29A was inserted by section 10 of the Bangladesh House Building Finance Corporation (Amendment) Act, 1975 (Act No. XXVII of 1975)
30 The words, comma, figures, brackets and letters “Bangladesh Chartered Accountants Order, 1973 (P.O. No. 2 of 1973)” were substituted for the words, comma and figure “Chartered Accountants Ordinance, 1961” by section 2 and the Schedule of the Banks and Financial Institutions Laws Amendment Act, 1980 (Act No. IX of 1980)
31 The word “report” was substituted for the word “repport” by section 11 of the Bangladesh House Building Finance Corporation (Amendment) Act, 1975 (Act No. XXVII of 1975)
32 The word “prejudice” was substituted for the word “projudice” by section 12 of the Bangladesh House Building Finance Corporation (Amendment) Act, 1975 (Act No. XXVII of 1975)
33 The words “direct or” were substituted for the words “direct of” by section 12 of the Bangladesh House Building Finance Corporation (Amendment) Act, 1975 (Act No. XXVII of 1975)
34 The word and comma “shall,” was substituted for the word “shall” by section 13 of the Bangladesh House Building Finance Corporation (Amendment) Act, 1975 (Act No. XXVII of 1975)