Event of Default and Remedies. The Borrower(s) hereby agrees that notwithstanding anything contained herein or in any other documents, the entire balances then due under the said facilities shall, if so decided by the Bank, become forthwith due and payable upon the happening of any of the following events: a. Any instalment of the principal or interest remaining unpaid and in arrears for a period of one month after the due date whether demanded or not; b. The borrower committing any breach or default in the performance or observance of any of the terms contained herein or in the Borrower(s)’s proposal/ Application Form or any other documents; c. If any of the representations or the documents furnished by the Borrower(s) in its application are found to be untrue or false or incorrect; d. Upon entering into any arrangement or composition with its creditors or committing any act of insolvency; e. Any execution or other similar process being levied or enforced against the borrower; f. If the borrower ceases to carry on business or threatens not to carry on business; g. If any circumstances shall occur which in the opinion of the Bank is prejudicial to or imperils or is likely to prejudice or imperil the security or which affects adversely the Borrower(s)'s capacity to repay any amounts under the said facilities; h. If the Borrower(s) does not submit the required statements or misutilises/diverts the monies or the provided security without the Bank's prior permission / knowledge; If the i. Property for which loan is availed and/or the Security or any part thereof is let out, given on leave and license, disposed of, leased, charged, encumbered, used for commercial purpose or otherwise alienated in any manner whatsoever without the prior written permission of the Bank.
Appears in 3 contracts
Samples: Loan Agreement, Loan Agreement, Loan Agreement
Event of Default and Remedies. The Borrower(s) hereby agrees that notwithstanding anything contained herein or in any other documents, the entire balances then due under the said facilities shall, if so decided by the Bank, become forthwith due and payable upon the happening of any of the following events:
a. (a) Any instalment of the principal or interest remaining unpaid and in arrears for a period of one month after the due date whether demanded or not;; V D
b. (b) The borrower committing any breach or default in the performance or observance of any of the terms contained herein or in the Borrower(s)’s proposal/ Application Form or any other documents;
c. (c) If any of the representations or the documents furnished by the Borrower(s) in its application are found to be untrue or false or incorrect;
d. (d) Upon entering into any arrangement or composition with its creditors or committing any act of insolvency;
e. (e) Any execution or other similar process being levied or enforced against the borrower;
f. (f) If the borrower ceases to carry on business or threatens not to carry on business;
g. (g) If any circumstances shall occur which in the opinion of the Bank is prejudicial to or imperils or is likely to prejudice or imperil the security or which affects adversely the Borrower(s)'s capacity to repay any amounts under the said facilities;
h. (h) If the Borrower(s) does not submit the required statements or misutilises/diverts the monies or the provided security without the Bank's prior permission / knowledge; ;
(i) If the i. Property for which loan is availed and/or the Security or any part thereof is let out, given on leave and license, disposed of, leased, charged, encumbered, used for commercial purpose or otherwise alienated in any manner whatsoever without the prior written permission of the Bank.
(j) Borrower(s) becoming subject to insolvency, bankruptcy, reorganisation, liquidation proceedings.
(k) In case the Borrower fails to provide additional security to maintain the Security cover as prescribed by the Bank Whether any of the above events has happened or not, the decision of the Bank shall be conclusive, final and binding on the Borrower(s). PROVIDED ALWAYS THAT the Bank may in its discretion refrain from forthwith enforcing its rights hereunder in spite of the happening of any of the above events and provided further that any failure or delay in exercising any right, power or privilege hereunder or under other security documents or any single or partial exercise of such right, power, or privilege shall not impair / extinguish or preclude the Bank any further exercise of the same or operate as a waiver or exercise of any other power or right or privilege. The rights and remedies of the Bank are only cumulative and not exclusive. Notwithstanding anything stated elsewhere in this agreement, the continuation of the loan shall be at the sole and absolute discretion of the bank and the borrower’s outstanding shall be payable by the borrower to the bank on demand. The bank may at any time in its sole discretion and without assigning any reason call upon the borrower to pay the borrower’s outstanding and thereupon the borrower shall pay the whole of the borrower’s outstanding to the bank without any delay or demur. V D
Appears in 1 contract
Samples: Loan Agreement
