15.
| (1) Where any land alienated by the Board, by way of sale, under this Chapter which is subject to a mortgage or encumbrance in favour of an approved credit agency entitled to notice under the second proviso to section 17, revests in the Board under section 18, the Board shall pay to such approved credit agency, either-
| | (a) the price at which the land was sold by the Board, or the value of the land at the time of such revesting, whichever is less, together with the value of any improvements effected thereon by the vendee for the purposes of the tourist development project for the time being in operation in respect of the land; or | | |
| | (b) the amount due on the mortgage or encumbrance in favour of such approved credit agency; | | |
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| (2) Where any right, interest or benefit under any alienation of land, otherwise than by way of sale, by the Board under this Chapter is subject to any mortgage or encumbrance in favour of any approved credit agency entitled to notice under the second proviso to section 17 revests in the Board under section 18, the Board shall pay to such approved credit agency the value of such right, interest or benefit together with the value of any improvements effected on such land by the alienee for the purpose of carrying out the provisions of the tourist development project for the time being in operation in respect of such land, or the amount due at the time of the cancellation or determination of such alienation, whichever is less. |
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| (3) " Value ", in relation to any land or improvements on such land, means, for the purposes of the preceding sub-sections, the value as assessed by the Chief Valuer of the Government.
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| (4) No payment in respect of any improvements shall be made by the Board under sub-section (1) or sub-section (2), unless such improvements have been in conformity with the provisions of the tourist development project then in operation in respect of that land. |
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| (5) No payment shall be made by the Board to any approved credit agency in respect of any land subject to any mortgage or encumbrance in favour of such agency, unless such agency discharges the mortgagor or encumbrancer, as the case may be, from the obligation arising on such mortgage or encumbrance to the extent of such payment. |
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Sri Lanka Consolidated Acts