Deed of English Mortgage of Leasehold Property

(By a Guarantor)

THIS DEED OF MORTGAGE is made at....on this....day of…….between Mr A residing at………….hereinafter referred to as the 'Mortgagor' of the One Part and Bank of…... a Banking Corporation constituted under the Banking Companies (Acquisition and Transfer of Undertaking) Act, 1970, and having its Head Office at……and a Branch Office at ....hereinafter referred to as the Mortgagee of the Other Part.
WHEREAS -
1. The Mortgagee has advanced a term Loan of Rs....to M/s. AB & Co. Pvt. Ltd., and which is secured by a personal guarantee of the Mortgagor as one of the directors of the said Company along with the other directors of that Company (hereinafter referred to as 'the said Company')
2. The Mortgagee agreed to advance the said loan also on condition that the guarantee by one of the Directors namely the Mortgagor should be secured by an English Mortgage of his leasehold property situate at... and described more particularly in the Schedule hereunder written and which the Mortgagor has agreed to do.
3. The Mortgagor has executed a Deed of Guarantee in favour of the Mortgagee on the... day of ... guaranteeing repayment of the said amount of loan advanced by the Mortgagee to the said Company.
4. By a Deed of Lease………dated...and made between (1)………..registered with the Sub Registrar of Assurances at ....under No............at........pages....to....of Vol. No......of Book No. I on the....day of.........the said Lessors demised by way of Lease unto the Mortgagor all that piece or plot of land No	situate at village....in the Registration Sub District... and in the District and Registration District of. ...and more particularly described in the said Deed of Lease dated. To HOLD the same unto and to the use of the Mortgagor for the term of 99 years commencing from.....at the yearly rent of Rs…………in respect of the said land thereby demised payable in advance in the month of ....every year and on the terms and conditions therein contained.
5. The Mortgagor has constructed certain structures on the said plot at his own costs and is full owner of all the said structures.
6. The Mortgagor is thus the Lessee of the said leasehold plot No.............and the owner of the structures standing thereon.
7. The Mortgagor has now agreed to execute these presents as a security for payment of the said amount borrowed by the said Company and guaranteed by the Mortgagor herein as surety or guarantor as aforesaid. 
Grant of land and premises as security.
1. NOW THIS DEED WITNESSETH that in pursuance of the said agreement and in consideration of the said Deed of Guarantee executed by the mortgagor in favour of the Mortgagee and  as  a security for the observance of the said guarantee the Mortgagor doth hereby assign all that Plot of land bearing No…………and more particularly described in the Schedule hereunder written held by the Mortgagor under and by virtue of the said Lease dated……………herein before recited and all the leasehold rights title and interest of the Mortgagor in the said Lease and the Mortgagor doth grant, convey and transfer all the existing structures standing on the said plot as well as all the buildings that may be constructed thereon hereafter and all estate, right, title and interest of the Mortgagor on the said Plot No………..and the building and structure thereon for the time being TO HOLD the said Plot No……....described in the Schedule hereunder written subject to the said Indenture of dated………….for all the residence of the term comprised in and demised by the said Lease and subject to the covenants, terms and conditions therein contained and TO HOLD the buildings and structures standing on the said Plot for the time being absolutely, but subject to the proviso for redemption hereinafter contained.
Proviso for redemption.
2. PROVIDED ALWAYS AND IT IS HEREBY AGREED AND DECLARED THAT if the Mortgagor or the said company shall strictly in accordance with the covenant in that behalf contained in the documents executed by the said company in favour of the Mortgagee in respect of the said loan of Rs. ....   or in the Deed of Guarantee executed by the Mortgagor, pay to the Mortgagee the said principal sum of Rs........or so much thereof as shall have been advanced by the Mortgagee to the said company with interest for the same in the meantime at the rate or rates and in manner agreed upon as also all other the moneys by law payable by the said company as principal debtor or the Mortgagor as guarantee (hereinafter referred to as 'the Mortgage debt) then and in such case the Mortgagee shall at any time thereafter upon the request and at the cost of the said company or the Mortgagor reassign and recover the said mortgaged premises hereinbefore expressed to be hereby granted upto the said Mortgagor or as the Mortgagor shall direct
Power to take possession in default.
3. PROVIDED ALSO AND IT IS HEREBY AGREED AND DECLARED that if the said company or the Mortgagor shall make default in payment to the Mortgagee of the said debt in terms of the covenants given by the said Company and the whole of the mortgage debt then remaining unpaid becomes payable to the Mortgagee, the Mortgagee will be entitled to take all necessary steps to realise the security hereby executed and of it shall be lawful for but not obligatory upon the Mortgagee to enter into and upon the Mortgaged Premises.
Covenant to pay taxes etc:-
4. The Mortgagor while he is in possession of the said property doth hereby covenants with the Mortgagee that he will duly pay, satisfy and discharge all the liabilities, betterment charges, taxes, cesses, dues, duties, assessments and other charges whatsoever that may be levied in respect of the said mortgaged premises and other charges payable to the Central
and/or State Government and/or the Municipal Corporation of ... or any other local or public body or authority in respect thereof and shall duly comply with and observe all the rules, regulations and requirements of the Central and/or State Government and the Municipal Corporation of………..and other bodies and authorities in that behalf and keep the Mortgagee fully and effectually indemnified in respect of the payment of the said charges and liabilities and all claims, demands and actions whatsoever.
Covenant for repairs and insurance: -
5. And the Mortgagor doth hereby further covenant with the Mortgagee that he the Mortgagor will keep the said mortgaged premises and every part thereof in a good state of repair and also insured against loss or damage by fire, flood, earthquake, cyclone, typhoon hurricane, lightening and other Acts of God as also by riot or other civil commotion or revolutions as also by act of enemy during war or other risks of war or such of them as may be required by the Mortgagee from time to time to the full insurable value thereof but not less than Rs………..(Rupees. . . . ) in the joint names of the Mortgagor and the Mortgagee in some well-known and reputed insurance office in. ... or elsewhere to be approved in writing by the Mortgagee and will pay all  premiums or sums of money necessary for such purposes at least one week before the day on which the same respectively become payable and will assign or endorse and deliver to the Mortgagee the policies of such insurance and will produce to the Mortgagee the receipts of every such payment and that the Mortgagor will not at any time hereafter during the continuance of any such Insurance as aforesaid do or cause or allow to be done any act or commit any default whereby the said insurance may be rendered void or voidable or an increased premium may become payable therefor and in case at any time during the continuance of this security the said Insurance shall by any means become void or voidable the Mortgagor will forthwith at his own costs effect new insurance in lieu of such void or voidable insurance in the joint names of the Mortgagor and the Mortgagee in some well known and reputed insurance office to be approved of by the Mortgagee to the full insurable value thereof but not less than Rs.........
Covenant in case of default to pay taxes etc:
6. And the Mortgagor doth further covenants that if default shall be made in payment of any moneys, rents, rates, taxes, cesses, betterment charges and other charges assessments, dues, duties or outgoings or in keeping the said mortgaged premises in repairs and insured as aforesaid it shall be lawful for but not obligatory upon the Mortgagee to pay such moneys rents, rates, taxes, cesses, betterment charges, and other charges assessments, dues, duties or outgoings and to keep the said mortgaged premises in repairs and insured as aforesaid in any sum not exceeding the full insurable value thereof but not less than Rs. . . . . as aforesaid and in manner aforesaid and that the Mortgagor will on demand repay to the Mortgagee every sum of money expended by it for the purposes aforesaid with interest thereon at the rate of Rs .... per cent per annum from the time of the same having been so expended and that until such repayment the same shall be a charge upon the said mortgaged premises hereby granted.
Application of insurance money. :
7. AND IT IS HEREBY AGREED AND DECLARED that all sums of moneys received under or by virtue of any such insurance as aforesaid shall at the option of the Mortgagee either be forthwith applied in or towards substantially repairing, rebuilding and reinstating the said mortgaged premises, as the case may require, or in or towards the payment of the mortgage debt and interest for the time being remaining due on the security of these presents
Power to take possession:
8. PROVIDED ALWAYS AND IT IS HEREBY AGREED AND DECLARED that if at any time during the continuance of this security any damage shall happen to the said mortgaged premises or any part thereof by fire, tempest or otherwise howsoever so in the opinion of the Mortgagee materially to impair the security hereby created or if execution or distress is levied or enforced against the mortgaged premises or against the whole or any part of the Mortgagor's property or if a Receiver is appointed or any steps are taken for the appointment of Receiver in respect of the mortgaged premises or if the said Company makes default in payment of the amount payable to the mortgagee or if the said Company shall go to liquidation or be wound up or if the mortgagor is adjudged insolvent or if any default shall be committed by the Mortgagor in the observance or performance of any of the covenants or conditions of these presents or if any circumstances occur which in the opinion of the Mortgagee shall be prejudicial to or shall impair, imperil, damage or depreciate or which is likely to prejudice, impair, imperil, damage or depreciate the security given to the Mortgagee or if any event or circumstances occur which in the opinion of the Mortgagee would or is likely to prejudicially or adversely affect in any manner the capacity of the Mortgagor to repay the mortgage debt (the Mortgagee's decision as to whether any of the above events or circumstances has or have occurred shall be conclusive and binding on the Mortgagor and  shall not be questioned or challenged by the Mortgagor) then, and in any such case the Mortgagee shall be entitled to take possession of the mortgaged premises.
Power to appoint a receiver :
9. AND IT IS HEREBY FURTHER AGREED AND DECLARED that on the happening of any of the events mentioned in S.69 of the Transfer of Property Act, entitling a mortgagee to sell the mortgaged property (and in this case default in payment of the amount payable by the Company or any interest amounting to Rs. 500 or more shall be deemed to be a default by the Mortgagor) it shall be lawful for the Mortgagee in addition to any other powers hereby conferred on it, without any further consent or concurrence of the Mortgagor by a writing signed by it or on its behalf to appoint any one of its officers including the Manager of the Branch of the Mortgagee at.... or any Manager in the Head Office of the Mortgagee in.... as the Mortgagee shall think fit, from time to time, a Receiver of the said Mortgaged premises or any part thereof and of the income of the said Mortgaged premises or any part thereof AND that if all or any of the above designated Officers shall be unable or unwilling to act or there shall be no officer of any of the said designations it shall be lawful for the Mortgagee to appoint any other person to whose appointment the Mortgagor shall agree and failing such agreement the Mortgagee shall be entitled to apply to the Court for the appointment of a Receiver under the provisions of section 69A of the Transfer of Property Act and any person appointed by the Court shall be deemed to have been duly appointed by the Mortgagee AND in the event of appointment of a Receiver as aforesaid, the Receiver shall have all powers, as are contained in s. 69A of the Transfer of Property Act and all other provisions of that section will apply as if they were incorporated in these Presents.
Options to appoint Receiver or to take possession:
10. AND IT IS HEREBY FURTHER AGREED AND DECLARED THAT it  shall be lawful for the Mortgagee either to appoint a Receiver as aforesaid or to enter into possession of the Mortgaged premises as it may think fit. 
Power to sell   :
11. AND IT IS HEREBY AGREED AND DECLARED that in the event of the said mortgage debt becoming payable by the Mortgagor under the said guarantee it shall be lawful for the Mortgagee at any time or times thereafter without any further consent on the part of Mortgagor, to sell the said mortgaged premises hereinbefore expressed to be hereby granted or any part or parts thereof either together or in parcels and either by public auction or private contract and either with or without special conditions or stipulations as to title or commencement of title or otherwise as the Mortgagee shall deem proper and also with power to postpone such sale from time to time and to buy in the said mortgaged premises at any sale by auction or to rescind or vary any contract for sale and to resell without being responsible for any loss or diminution in price occasioned thereby and for the purposes aforesaid or any of them to execute and do all such assurances and thing as it shall think fit AND the aforesaid power shall be deemed to be a power to sell or concur in selling the said mortgaged premises  in  default  of payment  of the  mortgage  Debt  without  the intervention of the Court within the meaning of section 69 of the Transfer of Property Act  1882 PROVIDED that,  the power of sale hereinbefore contained shall not be exercised by the Mortgagee unless and until the moneys for the time being due under the said guarantee given by the Mortgagor shall have become payable by the Mortgagor to the Mortgagee
PROVIDED ALSO that, in the event of the Mortgagee exercising the power of sale under S.69 of the Transfer of Property Act as aforesaid, all the provisions, powers contained in the said section shall apply as if they were incorporated in these presents.
Power to receive compensation on acquisition:-
12. AND IT IS HEREBY AGREED AND DECLARED that on the said mortgaged premises or any portion thereof being at any time acquired by the Government or by the Municipal Corporation of........or by any other local or public body or authority the Mortgagee shall be entitled to have a charge on the whole of the compensation money payable in respect of such
acquisition and to apply the same or a sufficient portion thereof towards repayment of the said liability of the Mortgagor as guarantor and of all costs, charges and expenses of all proceedings before the Acquiring Officer or a Court of Law or all or any of them and the fees and bills of Pleaders, Solicitors,  Advocates,   Counsel,   Surveyors,  Architects,   and  Engineers engaged by the mortgagee in connection with such inquiry or proceedings
PROVIDED ALWAYS AND IT IS HEREBY DECLARED that in all enquiries or proceedings before any Acquiring Officer or a Court of law in connection with the acquisition as aforesaid the Mortgagee shall be entitled to engage the services of advocates, and those of surveyors, engineers and architects for the purpose of proving its own title as also the title of the Mortgagor, for the purpose of making valuation reports and ascertainment of the amount of compensation and for all matters relating thereto and the Mortgagor doth hereby agree to repay on demand to the Mortgagee all costs, charges and expenses that may be incurred by the Mortgagee in connection with the above with interest thereon at the rate aforesaid from the time of the same having been incurred and that until such repayment the same shall be a charge upon the said mortgaged premises.
Service of Notice:-
13. AND IT IS HEREBY AGREED AND DECLARED that any notice required to be served on the Mortgagor shall for all purposes of these presents be sufficient and valid although dated and served on any day before the due date and although not addressed to any person or persons by name or designation and notwithstanding that the person or any of the persons affected thereby may be unborn unascertained or under disability and such notice shall be deemed sufficiently served if it is left at the residence of the Mortgagor above mentioned or at the last known place of business either in....or elsewhere of the Mortgagor or left on any part of the said Mortgaged premises and such notice shall be deemed to be properly and sufficiently served if it is sent by post in a registered cover
addressed to the Mortgagor at any of the aforesaid places and such service shall be deemed to have been made at the time at which the registered cover would in the ordinary course be delivered even though returned unserved on account of the refusal of the party or the party being not found or having left the place of residence or business.
Covenant of title:
14. AND the Mortgagor doth hereby covenants with the Mortgagee that, The Mortgagor now hath power to assign transfer and assure all and singular the said mortgaged premises hereinabove expressed to be hereby granted unto the Mortgagee in manner aforesaid
That the said premises are freed and discharged from or otherwise by the Mortgagor well and sufficiently saved and kept harmless and indemnified against all estates, charges, encumbrances, claims and demands whatsoever And further that the Mortgagor and every person having or lawfully or equitably claiming any estate, right, title or interest into or upon the said Mortgaged premises or any of them or any part or parts thereof will at all times at the costs until forfeiture or sale of the mortgaged premises execute and do every such lawful assurance act and thing for the further or more perfectly assuring all or any
of the said mortgaged premises unto and to the use of the Mortgagee as shall be reasonably required AND   the  Mortgagor  doth  hereby  further  covenant  with  the Mortgagee that the Mortgagor will regularly pay the rent payable under the said Indenture of lease hereinbefore recited and observe the terms and conditions thereof hereinabove recited and will not allow the said lease to be terminated or forfeited under any circumstances. 
IN WITNESS WHEREOF the Mortgagor has put his seal the day and year first hereinabove written.
THE SCHEDULE ABOVE REFERRED TO XXXXX
Signed and Delivered by         )
the withinnamed Mortgagor   	)
in the presence of                    )