law: National Bank for Agriculture and Rural Development Act, 1981 
  Chapter IV: Transfer
  
  of Business to the National Bank
  16. Transfer of
  
  assets and liabilities of Agricultural Refinance and Development Corporation.- 
  1.     
  
    On
  
  such date as the Central Government, in consultation with the Reserve Bank may,
  
  by notification, appoint, the entire undertaking of the Agricultural Refinance
  
  and Development Corporation (hereafter in this Chapter referred to as the
  
  "Corporation") including all business, property, assets and
  
  liabilities, rights, interests, privileges and obligations of whatever nature,
  
  shall stand transferred to and vest in the National Bank.
  2.     
  
    As
  
  compensation for the transfer of the undertaking of the Corporation to the National
  
  Bank under sub-section (1), the National Bank shall within six months from the
  
  date appointed under that sub- section (hereafter in this section referred to
  
  as the appointed date) pay to the shareholders of the Corporation a sum equal
  
  to the total paid-up capital of the Corporation as on the date immediately
  
  preceding the appointed date.
  3.     
  
    The
  
  amount of compensation payable under sub-section (2) to the shareholders of the
  
  Corporation shall be apportioned among the shareholders in proportion to their
  
  contributions to the paid-up capital of the Corporation as on the date
  
  immediately preceding the appointed date.
  Explanation.-- For the purposes of this
  
  sub-section, "shareholders of the Corporation" means shareholders of
  
  the Corporation whose names appear on the register of shareholders maintained
  
  under section 8 of the Agricultural Refinance and Development Corporation Act,
  
  1963 (10 of 1963), on the date immediately preceding the appointed date.
  1.     
  
  
  2.     
  
  
  3.     
  
  
  4.     
  
    The
  
  National Bank shall also pay to the shareholders of the Corporation referred to
  
  in sub-section (2) an amount calculated at the rate at which the shares of the
  
  Corporation were guaranteed as to the payment of minimum divided under section
  
  6 of the Agricultural Refinance and Development Corporation Act, 1963 (10 of
  
  1963), for the period, if any, that has expired in the accounting year of the
  
  Corporation before the appointed date and this amount the National Bank shall
  
  distribute to the shareholders of the Corporation referred to in sub-section
  
  (2) in proportion to the shares held by such shareholders on the date
  
  immediately preceding the appointed date and at the rate at which such shares
  
  were guaranteed as to the payment of minimum dividend.
  5.     
  
    All
  
  contracts, deeds, bonds, agreements, powers of attorney, grants of legal
  
  representation and other instruments of whatever nature subsisting or having
  
  effect immediately before the appointed date and to which the Corporation is a
  
  party, or which are in favour of the Corporation, shall be of as full force and
  
  effect against or in favour of the National Bank, as the case may be, and may
  
  be enforced or acted upon as fully and effectually as if instead of the
  
  Corporation the National Bank had been a party thereto, or as if they had been
  
  in favour of the National Bank.
  6.     
  
    If,
  
  immediately before the appointed date, any suit, appeal or other legal
  
  proceeding of whatever nature, is pending, by or against the Corporation, the
  
  same shall not abate, be discontinued or be in any way prejudicially affected
  
  by reason of the transfer to the National Bank of the undertaking of the
  
  Corporation, or of anything contained in this Act, but the suit, appeal or
  
  other proceeding may be continued, prosecuted and enforced, by or against the
  
  National Bank.