Section 31
Sec. 31. In.case of sale of securities for any cause and after deducting all costs or:expenses of any kind for collection, sale or delivery, the Reserve Bank shall apply the residue of the proceeds of the sale so made, to pay one or more or any or all of the obligations to the said Reserve Bank as the Board of Governors shall deem proper, whether then due or not due, "making proper rebate for interest on liabilities not then due. If the proceeds of the sale do not cover the full amount of the loan, together with the interest and other charges thereon, the Reserve Bank may proceed against the debtor for the difference,but any amount exceeding the full indebtedness to the Bank shall be paid to the debtor. DIVIDENDS AND DISPOSAL OF PROFITS