Home Case Index All Cases Indian Laws Indian Laws + SC Indian Laws - 1969 (4) TMI SC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
1969 (4) TMI 105 - SC - Indian LawsInterest exceeding the principal of the loan - Held that:- Section 9 of Madhya Pradesh Money Lenders Act 13 of 1934 prohibits the Courts from awarding interest exceeding the principal of the loan. Counsel for the appellants contends that if all the amounts deposited from time to time by the debtors be aggregated, it will appear that an amount exceeding the loan was paid. But the prohibition of the statute is against the making of a decree for arrears of interest exceeding the amount of loan. In the present case the decree awards interest amounting to ₹ 746-30, whereas the principal is ₹ 33,866-51. The Court is concerned at this stage to pass a decree absolute for sale in a mortgage suit. It is not concerned to determine the respective rights of the mortgagees inter se. The mortgagees' interest is fully represented before the Court. Whether or not the Custodian of Evacuee Property is entitled to the money or that the evacuees have a subsisting interest is a matter which cannot be decided in this appeal. That was made clear by the judgment of the High Court in the application filed by the Custodian of Evacuee Property by order dated November 12, 1962, when the High Court observed. Appeal dismissed.
|