Common use of LOAN AND DISBURSEMENT Clause in Contracts

LOAN AND DISBURSEMENT. At the request of the Borrower, the Bank hereby agrees to provide to the Borrower, and the Borrower hereby agrees to avail of the Loan the amount mentioned in Schedule-II for the purpose(s) set forth in the Borrower's proposal/Application Form and subject to the conditions hereof and the Application Form and the Sanction Letter. The Bank shall disburse the Loan in one lump sum or in tranches as per the needs of the Borrower and/or after taking into consideration the certificate of the architect or documentary evidence to the satisfaction of the Bank with respect to the progress of construction. The Bank shall have the right not to release the money till such time it is satisfied about progress of the Project. The decision of the Bank in this regard shall be final and binding on the Borrower. The Borrower shall acknowledge the receipt of the disbursement letter issued by the Bank, in the form required by the Bank, of each amount so disbursed. Subject to the provisions of Sanction and terms of this agreement, the Loan Amount shall be disbursed upon the receipt of the drawdown request by the Borrower within the Availability Period or in such other manner as the Bank, in its sole discretion, may deem fit. At the specific request of the Borrower, the disbursement of the Loan or any part thereof by the Bank may be made to the Borrower, or directly to the developer /builder/construction company/contractor/seller of the Property, where applicable or any other Person, as the Bank may in its sole discretion deem fit. In case the Loan being availed of by the Borrower is in balance transfer/takeover of a credit facility/ loan earlier availed of by the Borrower from another bank/financial institution, the disbursement of the Loan Amount or any part thereof by the Bank may be made to the Borrower, or directly to such other bank/financial institution or any other Person, as the Bank may in its sole discretion deem fit. All such payment of the amount of the Loan/Facility to such Person(s) as may be directed by the Borrower/s shall be deemed to be disbursements made to the Borrower/s and the Borrower/s shall not thereafter dispute such disbursements. The Borrower/s authorises the Bank to handover the amounts of the Facility directly to the aforesaid Persons and the Bank shall not be liable once such disbursement/s has been made. In the event that the Borrower, has failed to avail of/draw down the entire Loan or part thereof sanctioned by the Bank to the Borrower, within the Availability Period, the Borrower shall not be entitled to drawdown or receive any part of the undisbursed Loan, except with the prior written consent of the Bank, and the Bank may at its discretion consider / treat such part of the Loan which is not disbursed as cancelled. Disbursements under the Facility shall be deemed to be made on the date the cheque(s) / pay order(s) / authorization(s) / demand drafts are issued/made by the Bank and not on the date of their actual receipt, and if by credit, when credit is made by the Bank. The Borrower(s) agrees that the loan granted and agreed to be granted or continued shall be governed by the terms and conditions as set out in the Sanction Letter as also herein contained as well as those embodied in the relative security documents.

LOAN AND DISBURSEMENT. At the request of the Borrower, the Bank hereby agrees to provide to the Borrower, and the Borrower hereby agrees to avail of the Loan the amount mentioned in Schedule-II for the purpose(s) set forth in the Borrower's proposal/Application Form and subject to the conditions hereof and the Application Form and the Sanction Letter. The Bank shall disburse the Loan in one lump sum or in tranches as per the needs of the Borrower and/or after taking into consideration the certificate of the architect or documentary evidence to the satisfaction of the Bank with respect to the progress of construction. The Bank shall have the right not to release the money till such time it is satisfied about progress of the Project. The decision of the Bank in this regard shall be final and binding on the Borrower. The Borrower shall acknowledge the receipt of the disbursement letter issued by the Bank, in the form required by the Bank, of each amount so disbursed. Subject to the provisions of Sanction and terms of this agreement, the Loan Amount shall be disbursed upon the receipt of the drawdown request by the Borrower within the Availability Period or in such other manner as the Bank, in its sole discretion, may deem fit. At the specific request of the Borrower, the disbursement of the Loan or any part thereof by the Bank may be made to the Borrower, or directly to the developer X X /builder/construction company/contractor/seller of the Property, where applicable or any other Person, as the Bank may in its sole discretion deem fit. In case the Loan being availed of by the Borrower is in balance transfer/takeover of a credit facility/ loan earlier availed of by the Borrower from another bank/financial institution, the disbursement of the Loan Amount or any part thereof by the Bank may be made to the Borrower, or directly to such other bank/financial institution or any other Person, as the Bank may in its sole discretion deem fit. All such payment of the amount of the Loan/Facility to such Person(s) as may be directed by the Borrower/s shall be deemed to be disbursements made to the Borrower/s and the Borrower/s shall not thereafter dispute such disbursements. The Borrower/s authorises the Bank to handover the amounts of the Facility directly to the aforesaid Persons and the Bank shall not be liable once such disbursement/s has been made. In the event that the Borrower, has failed to avail of/draw down the entire Loan or part thereof sanctioned by the Bank to the Borrower, within the Availability Period, the Borrower shall not be entitled to drawdown or receive any part of the undisbursed Loan, except with the prior written consent of the Bank, and the Bank may at its discretion consider / treat such part of the Loan which is not disbursed as cancelled. Disbursements under the Facility shall be deemed to be made on the date the cheque(s) / pay order(s) / authorization(s) / demand drafts are issued/made by the Bank and not on the date of their actual receipt, and if by credit, when credit is made by the Bank. V The Borrower(s) agrees that the loan granted and agreed to be granted or continued continDued shall be governed by the terms and conditions as set out in the Sanction Letter as also herein contained as well as those embodied in the relative security documents.