32.
| (1) The Authority may at any time, if it is satisfied that the property given as security has depreciated in value to such an extent as to endanger the safety of the loan or that the title of the borrower is such that it ought not to have been accepted as adequate and without assigning reason therefor, by written order direct that, within the time specified in the order
| | (a) additional security for a loan granted by the Authority be provided to the satisfaction of the Authority ; and | | |
| | (b) a loan granted by the Authority be repaid either in full or in part. | | |
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| (2) Where an order issued under subsection (1) in respect of a loan is not complied with within the time allowed therefor by the order, default shall be deemed to have been made in respect of the whole of the unpaid portion of that loan and the interest due thereon up to date, and where that loan was granted on the mortgage of any land, the provisions of sections 42 to 61 shall apply to and in relation to that loan. |
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Sri Lanka Consolidated Acts