146—Discharge of mortgage by Minister in certain cases
(1) Where all moneys
secured by a mortgage have been paid by the mortgagor and the mortgagee—
(a) is
dead; or
(b)
cannot be found; or
(c) is
incapable of executing a discharge of the mortgage; or
(d) has,
in the opinion of the Minister, refused to execute a discharge of the mortgage
without sufficient reason,
the Minister may execute a discharge of the mortgage.
(1a) The Minister must
not execute a discharge of mortgage pursuant to subsection (1)(d)
unless—
(a) the
Registrar-General has sent by registered post to the mortgagee at their last
known address a notice stating that the Minister proposes to discharge the
mortgage pursuant to subsection (1)(d) at the expiration of the
prescribed period unless the mortgagee establishes to the satisfaction of the
Minister that the mortgagee is justified in refusing to execute a discharge of
the mortgage; and
(b) the
prescribed period has elapsed since the notice was sent.
(1b) The prescribed
period is—
(a) in a
case where the notice is addressed to the mortgagee within Australia—one
month;
(b) in
any other case—two months.
(2) The Minister may
receive moneys on behalf of a mortgagee, or the estate of a mortgagee,
who—
(a) is
dead; or
(b)
cannot be found; or
(c) is
incapable of executing a discharge of the mortgage; or
(d) has,
in the opinion of the Minister, refused to accept payment under the mortgage
without sufficient reason,
and any moneys so received shall, for the purposes of this section, and the
mortgage, be deemed to have been paid to the mortgagee.
(3) Any moneys
received by the Minister under subsection (2) of this section shall be
held by him upon trust for the mortgagee or other person entitled thereto.
(4) Subject to
subsection (5) of this section, a discharge of mortgage executed under
this section shall have the same effect as a discharge executed by the
mortgagee.
(5) A discharge of
mortgage executed under this section shall not operate as a discharge of the
personal covenants of the mortgage.