: (1) If the company violates any of the conditions mentioned in the agreement as per Section 36, the Debenture Trustee may demand that such company fulfill that condition as soon as possible or return the principal interest of the debenture holder for a fixed period.
(2) In case the financial transactions of the company are to be taken under control due to the return in accordance with sub-section (1) or for any other reason, or if the securities under the agreement are to be seized, the Debenture Trustee may take possession of the assets, property or securities of such company subject to the prevailing law and in such case He can keep the property or property himself or sell it with or without auction or make other suitable arrangements.
(3) After taking possession of the assets of the company in accordance with sub-section (2), the amount of the debenture holder will be paid from the amount raised from the sale of the assets. After paying the amount of the debenture holder, if there is any amount remaining, the debenture trustee has to return that amount to the concerned company.
(4) Notwithstanding anything contained elsewhere in this Act, unless the Debenture Trustee has taken possession of the mortgaged property, the Debenture Trustee shall pay the amount to the Debenture Holder on a pro rata basis, if the Debenture Trustee cannot repay the Debenture Holder from the proceeds of the mortgaged or seized property sold by the Debenture Trustee. Such insufficient amount shall not be borne from the assets of the Debenture Trustee.
(5) A debenture holder holding more than fifty percent of the debenture may apply to the Securities Board for the removal of such debenture trustee on the grounds that a debenture trustee has failed to act in the interest of the debenture holder.
(6) If during the examination of the application made under sub-section (5) the behavior is found to be unethical, the Securities Board shall remove such debenture trustee and arrange for another debenture trustee.