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This deed of mortgage made at ....... this ........ day of ....... between Mr.A ......... hereinafter referred to as the mortgagor of the one part and theBank of ........ a Banking Corporation constituted by the Banking Compa-nies (Acquisition and Regulation) Act, 1970 having its Branch Office at........ and Head Office at ......... hereinafter referred to as the mortgagee ofthe other part as follows :

Whereas1. On the ...... day of...... the Mortgagor borrowed a term loan of Rs.......

for his business and executed on the same day a memorandum of equitablemortgage evidencing the deposit of title deeds relating to the mortgagor’simmovable property situated at ........ and more particularly described inthe Second Schedule to the said Memorandum being the same as describedin the Schedule hereunder written by the Mortgagor with the Mortgagee atits said Branch Office with an intent to create an equitable security for thesaid term loan.

2. By the said Memorandum the mortgagor agreed to execute a legalmortgage in favour of the Mortgagee to secure the said term loan wheneverdemanded by the Mortgagee.

3. The whole of the said term loan of Rs...... still remains due andpayable to the Mortgagee on the security of the said Memorandum and thedeposit of title deeds though all interest due thereon upto date has beenpaid.

4. The Mortgagee has now called upon the Mortgagor to execute a deedof legal English Mortgage which the Mortgagor has agreed to do.

Now this Deed Witnesseth as follows :This Deed witnesseth that in pursuance of the said agreement and in

consideration of the said loan of Rs. ....... due and payable to the Mortgagee,the Mortgagor doth hereby covenant with the Mortgagee that he theMortgagor will pay to the Mortgagee the said sum of Rs. ....... on the .......day ...... with interest thereon in the meanwhile at the rate of Rs...... percentper annum payable monthly on the ...... day of each month hereafter untilthe whole principal amount is paid in full and the Mortgagor doth furthercovenant that in default of payment of any monthly instalment of intereston the due date the Mortgagor will be liable and will pay interest on thatinterest by way of compound interest at the same rate as agreed as if theamount of arrears of interest was converted into principal amount. And thisdeed doth further witness that pursuant to the said agreement and inconsideration aforesaid the Mortgagor as beneficial owner doth herebygrant and convey to the Mortgagee the said property more particularlydescribed in the Schedule hereunder written together with all his estate,

Form No. 7

Short form of an English Mortgage

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right, title and interest therein and together with all its appurtenancesabsolutely but subject to the covenant for redemption hereinafter containedas a security for repayment of the said principal sum of Rs........ ..... togetherwith all interest payable thereon including interest by way of compoundinterest and all other money due and payable by the Mortgagor to theMortgagee under or by virtue of these presents And it is agreed and declaredthat if the mortgagor shall repay to the mortgagee the said amount of Rs......... with all interest and all other money payable under these premiseson or before the said ...... day of ......... the mortgagor will at the cost of themortgagor reconvey the said property and release the same from thesecurity hereby created.

And the Mortgagor doth hereby agree and declare that the Mortgageewill be entitled to have and to exercise all the rights and powers given toa Mortgagee under and by the provisions of the Transfer of Property Act,1882 including the power to sell the property by auction without theintervention of a Court of law as well as appoint a receiver of the saidproperty in event of the Mortgagor failing to repay the said principal amounton the due date as aforesaid or the money otherwise becoming due andpayable under these provisions as if the said powers and provisions wereincorporated in these presents.

And it is further agreed and declared that in the event of the Mortgagorfailing to repay the said principal amount on the due date or failing to payinterest or any other amount as and when it becomes or in the event of theMortgagor committing breach of any of the provisions of this Deed or anyprovision of law or in the event of the Mortgagor being adjudged insolventor in the event of the mortgaged property being damaged or the said securityin the opinion of the Mortgagee becoming insufficient the Mortgagee will beentitled whether the due date has expired or not, to call upon the Mortgagorto repay the said amount of principal with interest and all other money thatmay be due and to enforce the security as the mortgagee may think fit.

And the Mortgagor covenants with the Mortgagee that (i) he has fullright and absolute authority to mortgage the said property in the manneraforesaid (ii) that he has not created any enumbrance or charge on the saidproperty and (iii) that he will execute such further documents in the favourof the Mortgagee to further secure the said debt as required by theMortgagee.

And the Mortgagor agrees that the title deeds relating to the saidproperty deposited by the Mortgagor with the mortgagee as aforesaid willremain with the Mortgagee until the said amount of debt is paid in fullsubject to the right of the Mortgagor to take inspection or copies thereof asand when required at his own cost.

And it is further agreed and declared and the Mortgagor covenants thathe will have the property insured against the risk of fire or any otheraccident in the sum of at least Rs. ........ with any Insurance Company ofrepute and shall pay the premium regularly failing which the Mortgagee willbe entitled to pay the same and add the amount so paid to the principal

SHORT FORM OF AN ENGLISH MORTGAGE

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amount and that the Mortgagor will not let out the said property or any partthereof hereafter without the written consent of the Mortgagee.

The Mortgagor also agrees and declares that all cost, charges andexpenses incurred by the Mortgagee in connection with the security herebycreated or for enforcing the security and recovering the amount due to theMortgagee under these presents will be payable by the Mortgagor and thesame will be added to the principal amount and be considered as part ofthe same unless they are paid by the Mortgagor separately. And it is lastlyagreed and declared that all the duties and obligations of a Mortgagor laiddown or provided by the Transfer of Property Act will be binding orobligatory on the Mortgagor as if the said provisions of the Act in respectthereof are incorporated in these presents.

IN WITNESS WHEREOF the Mortgagor has put his hand the day andyear first hereinabove written.

THE SCHEDULE ABOVE REFERRED TO x x x xSigned and deliver by the )within named )Mortgagor in the presence of )1. )2. )

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SHORT FORM OF AN ENGLISH MORTGAGE