Section 186 — Property Law Act 2007: Payment of surplus to the Crown if current mortgagor cannot be found

186 Payment of surplus to the Crown if current mortgagor cannot be found (1) This section applies if— (a) a mortgagee sells mortgaged property; and (b) there is a surplus that must be paid to the current mortgagor under section 185 ; and (c) the current mortgagor cannot be found after the mortgagee has taken reasonable steps to locate the current mortgagor. (2) The mortgagee must— (a) deliver to the Secretary to the Treasury a statutory declaration setting out, to the best of the mortgagee’s knowledge and belief, particulars of— (i) the mortgaged property; and (ii) the current mortgagor; and (iii) the sale; and (iv) the application of the proceeds of the sale; and (v) the information in the possession or control of the mortgagee as to the persons beneficially entitled to the surplus and the steps taken by the mortgagee to locate those persons; and (b) pay the surplus to the Crown by remitting it to the Secretary to the Treasury; and (c) deliver to the Secretary to the Treasury any further statutory declaration setting out further and better particulars of any matter referred to in paragraph (a) that the Secretary may require. (3) The Secretary to the Treasury must, on being satisfied that the particulars required to be supplied by the mortgagee under subsection (2) are true and complete, give a receipt to the mortgagee for the amount paid to the Crown under this section. (4) A receipt given under subsection (3) is a sufficient discharge to the mortgagee for the proper application of the surplus. (5) An amount paid to the Crown under this section is trust money for the purposes of Part 7 of the Public Finance Act 1989. Compare: 1952 No 51 s 102A