Securities Act, 1920

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THE SECURITIES ACT, 1920 
 
 
 
CONTENTS 
1.  Short title, extent and commencement 
2.  Definitions 
3.  Notice of trust not receivable save as provided 
4.  Right of survivors of joint or several payees of Government securities 
5.  Indorsements to be made on security itself 
6.  Holding of Government securities by holders of public offices. 
7.  Issue of securities to rulers of Acceding States or non Acceding States 
8.  Indorser of Government security not liable for amount therof 
9.  Impression of signature on Government securities 
ISSUE OF DUPLICATE, RENEWED, CONVERTED, CONSOLIDATED OR SUB-DIVIDED 
SECURITIES 
10.  Issue of duplicate securities 
11. Renewal of bearer bonds 
12.  Renewal of promissory notes 
13.  Renewal of promissory notes in case of dispute as to title 
14.  Renewal of other securities 
15.  Issue of converted, etc., securities 
16.  Liability in respect of promissory note renewed, etc. 
DISCHARGE 
 
 

 
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17.  Immediate discharge in certain case 
18.  Discharge in other cases 
18A.  Discharge in respect of interest 
SUMMARY PROCEDURE IN CERTAIN CASES 
19.  Procedure on death of holder of securities  
SECURITIES HELD BY MINORS AND LUNATICS 
20.  Payment in case of securities held by minors and lunatics 
INDEMNITY 
21.  Indemnity 
INSPECTION OF REGISTERS, BOOKS AND DOCUMENTS 
22.  Inspection of documents 
PENALTY 
23.  Penalty 
RULES 
24.  Power to make rules 
25.  [Repealed.] 
26.  Provision as to Pakistan securities 
 
 
  
 
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THE SECURITIES ACT, 1920 
1ACT NO. X OF 1920 
[11th March, 1920]  
An Act to consolidate and amend the law relating to Government securities. 
WHEREAS it is expedient to consolidate and amend the law relating to Government securities; 
It is hereby enacted as follows:-  
1. Short title, extent and commencement.___(1) This Act may be called the 2* Securities Act, 
1920;  
3[(2) It extends to the whole of Pakistan]; and  
(3) It shall come into force on the first day of April, 1920.  
2. Definitions. In this Act, unless there is anything repugnant in the subject or context,-  
(a)  “Government security” means promissory notes (including treasury bills), 
stock-certificates, bearer bonds and all other securities issued by the 4[Federal 
Government] or by any 5[Provincial Government] in respect of any loan 
contracted either be or after the passing of this Act, but  does not include 
currency note; and  
(b)  “prescribed” means prescribed by rules made under this Act:  
6[(c)  “the Government ”or “Government” in relation to any loan or security, means 
the Government raising the loan or issuing the security.]  
3. Notice of trust not receivable save as provided. ___ (1) Save as otherwise p rovided in or 
under this Act, no notice of any trust in respect of any Government security shall be receivable by the 
Government.  
 
 
 
1For Statement of Objects and Reasons, see Gazette of India, Extraordinary, dated the 29th October, 1919, p. 529;  for Report of Select committee, see 
Gazette of India, 1920, Pt. V, p. 39; and for Proceedings in council, see ibid., 1920, Pt. VI, p. 734.  
This Act does not apply to Government securities to which the Public Debt (Central Government) Act, 1944 (18 of 1944) applies, and to all matters for 
which provision is made by that Act, see s. 29 of the said Act.  
It has been extended to the Leased Areas of Balochistan, see the Leased Areas (Laws) Order, 1950 (G.G.O 3 of 1950); and also applied in the Federated 
Areas of Balochistan, see Gazette of India, 1937, Pt. I, p. 1499.  
It has been extended to:-  
(i)  the Balochistan States Union by the Balochistan States Union (Federal Laws) (Extension) Order, 1953 (G.G.O 4 of 1953), as amended;  
(ii) Khairpur State, by the Khairpur (Federal Laws) (Extension) Order, 1953 (G.G.O. 5 of 1953), as amended.  
The Act has been and shall be deemed to have been brought into force in Gwadur (with effect from the 8th September, 1958), by the Gwadur (Application 
of Central Laws) Ordinance, 1960 (37 of 1960) s. 2.  
2The word “Indian” omitted by A.O., 1949.  
3 Subs. by the Central Laws (Statue Reform) Ordinance, 1960 (21 of 1960), s. 3 and 2nd Sch. (with effect from the 14th October, 1955), for sub-section 
(2) as amended by A.O., 1949 and the Federal Laws (Revision and Declaration) Act, 1951 (26 of 1951), s. 8.  
4Subs. by F.A.O., 1975, Art. 2 and Table, for “Central Government”, which was previously amended by A.O., 1937, for “G.G. in C.”.  
5Subs. by A.O., 1937, for “L.G.,”  
6Clause (c) ins., ibid.  
 
 
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 (2) The Government shall not be deemed to have received notice of any trust by reason only 
of the fact that it has recognised an endorsement on a Government security by an executor or 
administrator as such, nor shall it inquire into the terms of any will b y which such executor or 
administrator may be bound, but, on being satisfied of the due appointment of such executor or 
administrator, it shall be entitled to treat him as the full owner of any Government security belonging 
to the estate of the person whom he represents.  
4. Right of survivors of joint or several paye es of Government securities. ___(1) 
Notwithstanding anything in section 45 of the Contract Act, 1872 (IX of 1872),___ 
(a)  when a Government security is payable to two or more persons jointly, a nd 
either or any of them dies, the security shall be payable to the survivor or 
survivors of those persons, and  
(b)  when a Government security is payable to two or more persons severally, and 
either or any of them dies, the security shall be payable to t he survivor or 
survivors of those persons, or to the representative of the deceased, or to any of 
them.  
 (2) This section shall apply whether such death occurred or occurs before or after this Act 
comes into force.  
(3) Nothing herein contained shall affe ct any claim which any representatives of a deceased 
person may have against the survivor or survivors under or in respect of any security to which sub -
section (1) applies.  
1[(4) For the purposes of this section, a body incorporated under the Companies Act, 1913 (VII 
of 1913), or the Co -operative Societies Act, 1912 (II of 1912), or any other enactment for the time 
being in force whether within or without 2[Pakistan], relating to the incorporation of associations of 
individuals, shall be deemed to die when it is dissolved.]  
5. Indorsements to be made on security itself. Notwithstanding anything in section 15 of the 
Negotiable Instruments Act, 1881 (XXVI of 1881), no indorsement of a Government promissory note 
shall be valid unless made by the signature of the holder inscribed on the back of the security itself.  
6. Holding of Government securiti es by holders of public offices. ___ (1) In the case of any 
public office to which the 3[Government] may, by 4notification in the 5[official Gazette], declare 6this 
sub-section to apply, a Government security may be made or indorsed payable to or to the order of the 
holder of the office by the name of the office.  
(2) When a Government security is made or indorsed as aforesaid, it shall be deemed to be 
transferred without any or further indorsement from each holder of the office to the succeeding holder 
of the office on and from the date on which the latter takes charge of the office.  
  
1Sub-section (4) ins. by the Indian Securities (Amdt.) Act, 1928 (2 of 1928), s. 2. 
2Subs. by the Central Laws (Statue Reform) Ordinance, 1960 (21 of 1960), s. 3 and 2nd Sch. (with effect from the 14th October, 1955), for “the Provinces 
and the Capital of the Federation” which had been subs. by A.O., 1949, for “British India”.  
3Subs. by A.O., 1937, for “G.G. in C.”.  
4For such notification in respect of, -  
(i) N.W.F.P., see N.W.F.P Government Gazette, 1952, Pt. I, pp. 300-302;  
(ii) Sind, see Sind Government Gazette, 1954, Pt. I. pp. 66-68.  
5Subs. by A.O., 1937, for “Gazette of India”.  
6For offices to which this sub-sectionn has been applied, see Gen. R. & O.  
 
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(3) When the holder of the office indorses to a third party a Government security made or 
indorsed as aforesaid, he shall subscribe the indorsement with his name and the name of the office.  
(4) A writing on a Government security now or heretofore standing in the name of the holder 
of a public office, whereby the security has been or was made or indorsed payable to or to the order of 
the holder of the office by the name of the office, shall not be deemed to be or to have been invalid by 
reason only of the security having been so made or indorsed.  
(5) This section applies as well to an office of which there are two or more joint holders as to 
an office of which there is a single holder. 
1[7. Issue of securities to rulers of Acceding  States or non Acceding States]. ___Omitted by the 
Federal Laws (Revision and Declaration) Ordinance, 1981 (XXVll of 1981), s. 3 and Sch. II.  
8. Indorser of Government security not liable for amount therof. Notwithstanding anything 
in the Negotiable Instruments Act, 1881 (XXVI of 1881), a person shall not, by reason only of his 
having indorsed a Government security, be liable to pay any money due, either as principal or as 
interest, thereunder.  
9. Impression of sign ature on Government securities. ___ (1) The signature of the person 
authorised to sign Government securities on behalf of the Government may be printed, engraved or 
lithographed, or impressed by such other mechanical process as the 2[Government] may direct, on the 
securities.  
(2) A signature so printed, engraved, lithographed or ot herwise impressed shall be as valid as 
if it had been inscribed in the proper handwriting of the person so authorised.  
ISSUE OF DUPLICATE, RENEWED, CONVERTED, CONSOLIDATED OR SUB-DIVIDED 
SECURITIES. 
10. Issue of duplicate securities. ___ (1) When a Government security is alleged to have been 
lost, 3[stolen] or destroyed either wholly or in part, and a person claims to be the person to whom but 
for the loss, 3[theft] or destruction it would be payable, he may, on application to the prescribed 
4[authority], and on producing proof to 5[its] satisfaction of the loss, 3[theft] or destruction and of the 
justice of the claim and on payment of the prescribed fee, if any, obtain from 6[it] an order for___ 
(a)  the payment of interest in respect of the security said t o be lost, 3[stolen] or 
destroyed pending the issue of a duplicate security ; and  
(b)  the issue of a duplicate security payable to the applicant.  
(2) An order shall not be passed under sub -section (1) until after the issue of the prescribed 
notification of the loss, 3[theft] or destruction.  
(3) A list of the securities in respect of which an order is passed under sub-section (1) shall be 
published in the prescribed manner.  
 
1This section was previously amended by various enactments from time to time.  
2Subs. by A.O., 1937, for “G.G. in C.”.  
3Ins. by the Indian Securities (Amdt.) Act, 1927 (21 of 1927), s. 2.  
4Subs. by the Indian Securities (Amdt.) Act, 1937 (28 of 1937), s. 2, for “officer”.  
5Subs. ibid., for “his”.  
6Subs. ibid., for “him”.  
 
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1[(4) If at any time before the Government becomes discharged under the provisions of this Act 
from liability in respect of any security the whole of which is alleged to have been lost, stolen or 
destroyed, such security is found, any order passed in respect there of under this section shall be 
cancelled.]  
11. Renewal of bearer bonds. The holder of a bearer bond or other Government security 
payable to bearer may, on application to the prescribed 2[authority], on delivery of the bearer bond or 
other security and on payment of the prescribed fee, if any, obtain from such 2[authority] a renewed 
bearer bond or other security, as the case may be.  
12. Renewal of promissory notes. Subject to the provisions of section 13, a person claiming 
to be entitled to a Government pr omissory note, may, on applying to the prescribed 2[authority], and 
on satisfying 3[it] of the justice of his claim and delivering the promissory note receipted in the 
prescribed manner, and paying the prescribed  fee, if any, obtain from such 2[authority] a renewed 
promissory note payable to him:  
Provided that, when application is made for the renewal of a Government promissory note 
which appears to the prescribed 2[authority] to stand in the name of a deceased member of a Hindu 
undivided family governed by the Mitakshara law, a renewed promissory note shall not be issued to 
the applicant unless he furnishes a certificate signed by such authority and after such inquiry as may 
be prescribed to the effect that the deceased belonged to a Hindu undivided family  governed by the 
Mitakshara law, that the promissory note formed part of the joint property of the family, and that the 
applicant is the managing or sole surviving male member of the family.  
4*  *  *  *  *  *  *  
13. Renewal of promissory notes in case of dispute as to title.___(1) Where there is a dispute 
as to the title to a Government promissory note in respect of which an application for renewal has been 
made, the prescribed 2[authority] may-  
(a)  where any party to the dispute has obtained a final decision from a Court of 
competent jurisdiction declaring him to be entitled to such note, issue a renewed 
note in favour of such party, or  
(b)  refuse to renew the note until such a decision has been obtained, or  
(c)  after such inquiry as is hereinafter provided and consideration o f the result 
thereof, declare by order in writing which of the parties is in 5[its] opinion 
entitled to such note and may, after the expiration of three months from the date 
of such declaration, issue a renewed note in favour of such party in accordance 
with the provisions of section 12, unless within that period 6[it] has received 
notice that proceedings have been instituted by any person in a Court of 
competent jurisdiction for the purpose of establishing a title to such note.  
Explanation.-For the purpos es of this sub -section the expression “final decision” means a 
decision which is not appealable or a decision which is appealable but against which no appeal has 
been filed within the period of limitation allowed by law.  
1Ins. by the Indian Securities (Amdt.) Act, 1927 (21 of 1927), s. 2.  
2Subs. by the Indian Securities (Amdt.) Act, 1937 (28 of 1937), ss. 3, 4 and 5, for “officer”.  
3Subs. ibid., s.4, for “him”.  
4 Explanation to s. 12 rep. by the Federal Laws (Revision and Declaration) Act, 1951 (26 of 1951), s. 3 and Sch. II.  
5 Subs. ibid., s. 5, for “his”.  
6Subs. ibid., for “he”. 
 
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(2) For the purpose of the inquiry referred to in sub-section (1), the prescribed 1[authority] may 
2[direct one of its officers to] record, or may request the District Magistrate to record or to have 
recorded, the whole or any part of such evidence as the parties may produce. When such request has 
been made to the District Magistrate, such Magistrate may himself record or may direct any Magistrate 
of the first -class subordinate to him, or any Magistrate of the second -class subordinate to him and 
empowered by general or special order of the 3[Government] in this behalf, to record the evidence, and 
shall forward a copy thereof to the prescribed 1[authority].  
Explanation.- For the purposes of this sub -section, the District Magistrate means the District 
Magistrate having jurisdiction in the place where interest on the promissory note is payable 4* * *.  
(3) 5[The officer of the prescribed authority] or any Magistrate acting under this section may, 
if he thinks fit, record evidence on oath.  
14. Renewal of other securities. Government securities other than those mentioned in sections 
11 and 12 may be renewed in such circumstances and in such manner as may be prescribed.  
15. Issue of converted, etc., securities.___(1) The prescribed 1[authority] may, subject to such 
conditions as may be prescribed, on the application of a person claiming to be entitled to a Government 
security or securities, on being satisfied of the justice of the claim and on delivery of the security or 
securities receipted in the prescribed manner and on payment of the prescribed  fee, if any, convert, 
consolidate or subdivide the security or securities, and issue to the applicant a new security or securities 
accordingly.  
(2) The conversion, consolidation or sub -division referred to in sub -section (1) may be into a 
security or securities of the same or different classes or of the same or different loans.  
16. Liability in respect of promissory note renewed, etc.___(1) When a renewed Government 
promissory note has been issued under section 12, or a new Government promissory note has  been 
issued upon conversion, consolidation or subdivision under section 15, in favour of any person, the 
note so issued shall be deemed to constitute a new contract between the Government and such person 
and all persons deriving title thereafter through him.  
(2) No such renewal, conversion, consolidation or sub-division shall affect the rights as against 
the Government of any other person to the security or securities so renewed, converted, consolidated 
or sub-divided.  
DISCHARGE 
17. Immediate discharge in certain case. On payment by or on behalf of the Government to 
the holder of a bearer bond or other Government security payable to bearer of the amount expressed 
therein on or after the date when it becomes due, or on renewal of a bearer bond or other sec urity 
payable to bearer under section 11, or on renewal of a Government promissory note under section 13, 
or on conversion, consolidation or sub -division of a bearer bond or other security payable to bearer 
under section 15, the Government shall be dischar ged in the same way and to the same extent as if 
such bearer bond, promissory note or other security were a promissory note payable to bearer:  
1Subs. by the Indian Securities (Amdt.) Act, 1937 (28 of 1937), ss. 3, 4 and 5, for “officer”.  
2Subs. ibid., for “himself”.  
3Subs. by A.O., 1937, for “L.G.”. 
4Certain words omitted by the Federal Laws (Revision and Declaration) Ordinance, 1981 (27 of 1981), s. 3 and Sch. II, which were previously amended 
by various enactments.  
5Subs. by Act, 28 of 1937, s. 5, for “The Prescribed officer”.  
 
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Provided that, in the case of a Government promissory note renewed under section 13, nothing 
in this section shall be deemed to bar a claim against the Government in respect of such note by any 
person who had no notice of the proceedings under that section, or who derives title through any such 
person.  
18. Discharge in other cases. Save as otherwise provided in this Act___  
(i)  on payment of the amount due on a Government security on or after the 
date on which payment becomes due, or  
(ii)  when a duplicate security has been issued under section 10, or  
(iii)  when a renewed security has been issued under section 12 or section 13, 
or a new security or securities has or have been issued upon conversion, 
consolidation or sub-division under section 15, 
 the Government shall be discharged from all liability in respect of the security 
or securities so paid or in place of which a duplicat e, renewed, or new 
security or securities has or have been issued___ 
(a)  in the case of payment -after the lapse of six years from the date on which 
payment was due ;  
(b)  in the case of a duplicate security -after the lapse of six years from the date of 
the publication under subsection (3) of section 10 of the list in which the security 
is first mentioned, or from the date of the last payment of interest on the original 
security, whichever date is later ;  
(c)  in the case of a renewed security or of a new  security issued upon conversion, 
consolidation or sub -division after the lapse of six years from the date of the 
issue thereof.  
1[18A. Discharge in respect of interest. Save as otherwise expressly provided in the terms of 
a Government security, no person shall be entitled to claim interest on any such security in respect of 
any period which has elapsed after the earliest date on which demand could have been made for the 
payment of the amount due on such security.]  
SUMMARY PROCEDURE IN CERTAIN CASES 
19. Procedure on death of holder of securities 2* * *.___ (1) If within six months of the death 
of a person who was entitled to a Government security or securities (other than a security payable to 
bearer) the nominal or face value of which does not in the aggregate exceed five thousand rupees 3[or, 
in the case of Post Office Savings Certificates, twenty -five thousand rupees], probate of the will or 
letters of administration of the estate of such person or a certificate granted under the 4[Succession Act, 
1925 (XXXIX of 1925)] is not produced to the prescribed 5[authority], such 5[authority] may, after 
inquiry in the manner provided in sub-sections (2) and (3) of section 13, determine who is the person 
entitled to the security or securities or to administer the estate of the deceased, and may-  
1S. 18A ins. by the Indian Securities (Amdt.) Act, 1927 (21 of 1927), s. 3.  
2The words “not exceeding an aggregate value of five thousand rupees” omitted by the Government Savings Bank and Securities Laws (Amdt.) Act, 1958 
(42 of 1958), s. 2 and Sch. (with effect from the 1st March, 1960).  
3Ins. ibid. (with effect from the 1st March, 1960).  
4Subs. by the Federal Laws (Revision and Declaration) Ordinance, 1981 (27 of 1981), s. 3 and Sch., II. For “Succession Certificate Act, 1889”.  
5Subs. by the Indian Securities (Amdt.) Act, 1937 (28 of 1937), s. 6, for “officer”.  
 
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 (a)  in the case of any such security relating to a loan due for repayment, authorise 
payment of the amount due thereon to such person ; and  
(b)  in the case of any such security relating to a loan not due  for repayment, 
authorise, in the case of a promissory not, the renewal of such promissory note 
in favour of such person, or, in the case of stock, the registration of the name of 
such person in substitution for the name of the deceased.  
(2) Upon the payment or renewal of any promissory note in accordance with sub -section (1), 
the Government shall be discharged from all liability in respect of the note so paid or renewed ; and 
any substitution of names made in accordance with clause (b) of sub-section (1) shall, for the purposes 
of any claim against the Government, be deemed to have effected a valid transfer of the stock in respect 
of which it was made.  
(3) Any creditor or claimant against the estate of the deceased may recover his debt or claim 
out of money paid to any person under sub -section (1) and remaining in his hands unadministered in 
the same manner and to the same extent as if the said person had obtained letters of administration of 
the state of the deceased, and nothing in this section shall aff ect any claim of an executor or 
administrator or other representative of the deceased against such person other than a claim to recover 
amounts lawfully paid by him in due course of administration of the estate of the deceased.  
SECURITIES HELD BY MINORS AND LUNATICS 
20. Payment in case of securities held by minors and lunatics. Where a Government security 
stands in the name of or is held by a minor or a person who is insane and incapable of managing his 
affairs, the interest accruing thereon, or the capita l sum payable in respect thereof on the maturity or 
discharge of the loan, shall, where, in the case of interest payable, the nominal value of the security, 
or in other cases the sum payable, does not exceed five thousand rupees, be paid in such manner as 
may be prescribed, and on any payment being so made, the Government shall, notwithstanding any 
provision of any enactment to the contrary, be discharged from all liability in respect thereof.  
INDEMNITY 
21. Indemnity. Notwithstanding anything in section 10 , 12, 13 or 15, the prescribed 
1[authority] may in any case arising under any of those sections-  
(i)  Issue a duplicate or renewed security or convert, consolidate or sub divide a 
security or securities upon the applicant giving the prescribed indemnity against 
the claims of all persons claiming under the original security or under the 
security or securities so renewed ; converted, consolidated or sub -divided, as 
the case may be, or  
(ii)  refuse to issue a duplicate or renewed security or to convert consolidate or sub-
divide a security or securities unless such indemnity is given.  
INSPECTION OF REGISTERS, BOOKS AND DOCUMENTS 
 
 
1Subs. by the Indian Securities (Amdt.) Act, 1937 (28 of 1937), s. 6, for “officer”.  
 
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22. Inspection of documents. No person shall be entitled to inspect, or to receive information 
derived from, any Government security in the possession of the Government or from any book, register 
or other document kept or maintained by or on behalf of Government in relation to Government 
securities or any Government security, save in such circumstances and manner and subject to such 
conditions as may be prescribed.  
PENALTY 
23. Penalty.___(1) If any person, for the purpose of obtaining for himself or for any other person 
payment of interest or of the capital sum due in respect of any Government security, or the issue of a 
duplicate security, or the renewal, conversion, consolidation or sub-division of a Government security 
or securities, makes to any authority under this Act a statement which is false and which he either 
knows to be false or does not believe to be true, he shall be punishable with imprisonment for a term 
which may extend to six months, or with fine, or with both.  
(2) No Court shall take cognizance of any offence under subsection (1) save on the complaint 
of the authority to whom the false statement was made.  
RULES 
24. Power to make rule.___(1) The 1[Government] may after previous publication make rules2 
to carry out the purposes of this Act.  
(2) In particular and without prejudice to the generality of the foregoing power, such rules may 
provide for all or any of the following matters, namely:-  
(a)  the manner in which payment of interest in respect of Government securities is 
to be made and acknowledged;  
(b)  the circumstances in which Government securities must be renewed before 
further payment of interest thereon can be claimed;  
3*  *  *  *  *  *  
(d)  the fees to be paid i n respect of the issue of duplicate securities and of the 
renewal, conversion, consolidation and sub-division of Government securities ;  
(e)  the proof which is to be produced by persons applying for duplicate securities;  
(f)  the form and manner of publication of the notification mentioned in sub-section 
(2) of section 10 and the manner of publication of the list mentioned in 
subsection (3) of that section ;  
(g)  the 4[authority which] is to exercise all or any of the powers and to perform all 
or any of the duties referred to in sections 10, 11, 12, 13, 15, 19 and 21;  
 
 
1Subs. by A.O., 1937, for “G.G. in C.”.  
2For such rules, see Gen. R. & O.  
3Clause (c) omitted by the Federal Laws (Revision and Declaration) Ordinance, 1981 (27 of 1981), s. 3 and Sch., II., which was previously amended by 
A.O., 1949, for “States in India”.  
4Subs. by the Indian Securities (Amdt.) Act, 1937 (28 of 1937), s. 7, for “officer who”.  
 
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 (h)  the manner of making the inquiry mentioned in the proviso to section 12;  
(i)  the circumstances and the manner in which securities other than securities 
payable to bearer or promissory notes are to be renewed ;  
(j)  the form in which securit ies delivered for discharge, renewal, conversion, 
consolidation or sub-division are to be receipted ;  
(k)  the conditions subject to which securities may be converted, consolidated or 
sub-divided ;  
(l)  the person to whom and the manner in which payments are to be made in respect 
of Government securities standing in the name of, or held by, minors or persons 
who are insane and incapable of managing their affairs ;  
(m)  the taking of indemnities against adverse claims of third parties from persons 
who rec eive payment of interest or of the capital sum due in respect of 
Government securities, or who obtain duplicate, renewed, converted, 
consolidated or sub-divided securities ;  
(n)  the manner in which any document relating to Government securities or any 
indorsement on a Government promissory note may, on the demand of any 
person who from any cause is unable to write, be executed on his behalf ;  
 (o)  enabling holders of Government stock to be described in the registers of such 
stock as trustees, and either as trustees of any particular trust or as trustees 
without qualification, and for the recognition of powers of attorney granted by 
holders of stock so described ;  
(p)  the holding of Government stock by the holders of offices other than public 
offices, and the manner in which and the conditions subject to which stock so 
held may be transferred ;  
(q)  the mode of attestation of documents relating to Government stock ;  
(r)  generally, all matters connected with the grant of duplicate, renewed, converted, 
consolidated and sub-divided securities ; and  
(s)  the circumstances and the manner in which and the conditions subject to which 
inspection of securities, books, registers and other documents may be allowed 
or information therefrom may be given under section 22.  
(3) Nothing in any rule made under clauses ( o) and ( p) shall, as between any trustees or as 
between any trustees and the beneficiaries under  a trust, be deemed to authorise the trustees to act 
otherwise than in accordance with the rules of law applying to the trust and the terms of the instrument 
constituting the trust ; and neither the Government nor any person holding or acquiring any interest in 
any Government stock shall by reason only of any entry in any register maintained by or on behalf of 
the Government in relation to any Government stock or any stockholder, or of anything in any 
document relating to Government stock, be affected with notice of any trust or of the fiduciary 
character of any stockholder or of any fiduciary obligation attaching to the holding of any Government 
Stock.  
 
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(4) Rules made under this section shall be published in the 1[official Gazette], and shall 
thereupon have effect as if enacted in this Act.  
25. [Repeals.] Rep. by the Repealing Act, 1927 (XII of 1927), s. 2 and Schedule.  
2[26. Provision as to Pakistan securities. For the avoidance of doubt it is hereby declared that 
the rights of all persons in relation to 3[Pakistan] securities are to be determined, in connection with all 
such questions as are dealt with by this Act in relation to Government securities, by the law of 
4[Pakistan].]  
 
 
___________ 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Date: 11-09-2024 
1Subs. by A.O., 1937, for “Gazette of India”.  
2Section 26 ins. ibid.  
3Subs. by A.O., 1949, for “Indian”.  
4Subs. by the Central Laws (Statue Reform) Ordinance, 1960 (21 of 1960), s. 3 and 2nd Sch. (with effect from the 14th October, 1955), for “the Provinces 
and the Capital of the Federation” which had been subs. by A.O., 1949, for “British India