1943 (10) TMI 18 - HC - Indian Laws

Summary

The appellants executed a mortgage for a cash advance of Rs. 2500 with annual instalments. The contract stipulated compound interest for overdue payments. The court ruled that the excess amount over Rs. 2500 was interest, and under Act 4 of 1938, the principal was Rs. 2500. The appellants were entitled to Rs. 2350 with interest at 6 1/4 per cent per annum from 1st October 1937.