40. In addition to the amount due on any loan, the appropriate authority may recover from the borrower or any person acting on his behalf-
| (a) all moneys expended by that authority, in accordance with the covenants contained in the mortgage bond executed by the person, to whom the loan was made, in the payment of premiums and other charges under any policy of insurance effected, in respect of the land mortgaged to that authority, and in the payment of all other costs and charges authorized by the aforesaid covenants to be incurred by that authority; and |
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| (b) the costs of advertising the sale of, and of selling, the mortgaged land: |
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Provided, that the amount recovered as costs under paragraph (b) of this section shall not exceed such percentage of the loan as may be prescribed by the Board. |
Sri Lanka Consolidated Acts