Court : Andhra Pradesh
Decided on : Jul-18-1986
Reported in : 63CompCas405(AP)
..... any light on the manner in which the term should be understood generally.' 22. this involves an examination of the object and purpose underlying the madras amendment. while the usurious loans act, 1918, is designed to relieve the debtors from the burden of high interest rates, the madras amendment is specially designed to relieve rural indebtedness. it is well known that ..... of itself be sufficient evidence that the transaction was substantially unfair.' sub-section (3) of section usurious loa has been substituted by the usurious loans (madras amendment) act, 1936. 9. it reads thus : '(3) the provisions of this act shall apply to all suits to which the usurious loans act, 1918, would apply and which are pending on, or are instituted on or after, the date ..... which came into force with effect from june 21, 1984, applies to appeals pending on that date 2. section 21a declares : 'not withstanding anything contained in the usurious loans act, 1918, or any other law relating to indebtedness in force in any state, a transaction between a banking company and its debtor shall not be reopened by any court ..... deprive them of the benefit conferred upon them either by the madras amendment to the usurious loans act, or any other state law; parliament is not competent to make such a provision practically nullifying the state laws. i. sub-sections (1) and (2) of section usurious loa of the usurious loans act, 1918, unaffected by the madras amendment, read thus : '3. reopening of transactions. - (1) .....Tag this Judgment!
Court : Chennai
Decided on : Oct-15-1986
Reported in : AIR1987Mad248; 65CompCas333(Mad); (1988)IMLJ45
..... applies to the loan transactions entered by the banks with ..... of the banking regulation act, 1949, cannot be construed as overriding the operation of the usurious loans act, 1918, as amended by madras amendment act 8 of 1937 in their application to farmers. section 21a would not interdict the, applicability of even the usurious loans act of 1918 as amended by madras amendment act 8 of 1937, and the usurious loans act of 1918 as amended by madras act 8 of 1937 still ..... to the enhancement of the rate of interest to 141/2 per cent by the respondent bank, from 23-7-1974. in this regard,. the usurious loans act, 1918, as amended by the tamil nadu amendment, act 8 of 1937, which gives the discretion to the court to scale down the interest may usefully be referred to and the relevant provision therein, viz ..... on behalf of the respondent bank before the lower court. in view of the provision of s. 2 of the banking regulation act, 1949, it is clear that the provisions of the usurious loans act, 1918, as amended by the amending act 8 of 1937, can certainly be made applicable to the facts of this case. mr. sampath kumar, for the respondent bank, .....Tag this Judgment!
Court : Andhra Pradesh
Decided on : Apr-16-1986
Reported in : 63CompCas328(AP)
..... given. (3) every banking company shall be bound to comply with any directions given to it under this section'. section 21a reads as follows : '21a. notwithstanding anything contained in the usurious loans act, 1918, or any other law relating to indebtedness in force in any state, a transaction between a banking company and its debtor shall not be reopened by any court on the ..... to the usurious loans act in so far as the presumption that the interest is excessive in the case of agriculturists and the impact ..... of section 21a of the banking regulation act in so far as loans taken by persons other than agriculturists, the division ..... a. s. no. 825 of 1977, the question whether the loan contracted from the bank carrying interest at 12 1/2% per annum and 21% per annum in case of default by itself could be deemed to be excessive and usurious so as to attract the provisions of the usurious loans act (act 10 of 1918) is referred to. while considering the impact of the madras amendment .....Tag this Judgment!
Court : Income Tax Appellate Tribunal ITAT Allahabad
Decided on : Jan-13-1986
Reported in : (1986)16ITD308(All.)
..... or in kind, and includes any transaction which is, in the opinion of the court in substance a loan. usurious loans act, 1918, section 2(2).the distinction between a loan and a deposit is that in the case of a loan it is ordinarily the duty of the debtor to seek out the creditor and to pay the money according ..... caution in the section lest it should be claimed that clause (a) of section 13(2) would not apply if the loan is without both adequate security and adequate interest. the interpretation of the section can only be that both the above conditions should be satisfied, namely, that the ..... a).24. in our opinion, here also the view of the department must prevail.m.p. agrawal has observed that the law not only requires that the loan should be against interest as well as security, it further insists that both should be adequate. the word 'both' has been used by way of abundant ..... a circumstance which would be taken into account. what should be regarded is the cumulative effect of the evidence which bears on the character of the debt as a loan or a deposit abdul hamid v. rahmat bi air 1965 mad. 427 at 429 : 78 mad. l.w. 179  2 mad. l.j. 368 ..... page 467. we quote below these observations : extract from mitra's legal and commercial dictionary, second edn., p. 214: deposit : whether a transaction is a loan or deposit does not: depend merely on the terms of the document, but has got to be judged from the intention of the parties and all the circumstances of .....Tag this Judgment!
Court : Kerala
Decided on : Jan-31-1986
Reported in : 164ITR737(Ker)
..... air 1969 sc 751, the supreme court had to consider the effect of the expression 'after the commencement of this act' occurring in section 2(3) of the usurious loans act, 1918. the act was extended to the bangalore civil and military station with effect from april 1, 1937, by the civil and military station ..... of bangalore (application of laws) order, 1937. whether the act which had come into force in other areas from 1918 onwards, can have application ..... was held that the legal representative of a deceased assessee, by virtue of the statutory fiction in section 24b(1) of the indian income-tax act, 1922, shall continue to be an assessee even after an assessment is made and the fiction continues to attract the penalty proceedings if the legal ..... such local authority were the government. (2) the appropriate government may, by notification in the official gazette, direct that the provisions of this act shall apply to any provident fund established for the benefit of the employees of any of the institutions specified in the schedule, or of any ..... in respect of a mortgage executed in the area of the bangalore civil and military station in 1933 was the question that came up for decision before the supreme court. the commencement of the act with .....Tag this Judgment!
Court : Chennai
Decided on : Mar-14-1986
Reported in : AIR1987Mad90; 65CompCas214(Mad)
..... cent per annum.the bank, according to the respondents, could charge and claim interest only at 11 per cent per annum and that the amount claimed was excessive, penal and usurious as well. finally, the respondents prayed that a decree for rs. 1,37,000.41 with simple interest at 11 per cent per annum may be granted in favour of ..... does not appear to be necessary. we have, therefore, no hesitation in rejecting this contention.9. a reference was also made to s. 21-a of the banking laws amendment act and to some related decisions. we do not see how that question would be relevant at all for this case. we therefore, refrain from dealing with it.10. thus, on ..... we are of the view that there is absolutely no substance in this contention. under o. 18, r. 5, c.p.c. as it stood prior to its amendment by act 104 of 1976, it was obligatory to read the evidence in the presence of the judge and the witnesses and the judge was also obliged to correct the same and .....Tag this Judgment!
Court : Chennai
Decided on : Apr-29-1986
Reported in : 1987(11)ECC151; 1986LC481(Madras); 1986(26)ELT211(Mad)
..... ''excisable goods' means goods specified in the first schedule as being subject to a duty of excise and includes salt.' section 2(f) of the act defines 'manufacture'. the main part of the section is relevant and the clauses which follow merely dilineate that in relation to certain products what would include ..... oil on the market, but used it to produce a finished product, known as vanaspathi, cannot affect the liability to duty, under the act. the supreme court found on the factual materials disclosed that the substance produced by the manufacturers at any intermediate stage before vanaspathi came into ..... meaning of the word 'goods' provides strong support for the view that 'manufacture' which is liable to excise duty under the central excises and salt act 1944, must be the 'bringing into existence of a new substance known to the market'. but, says the learned counsel, look at the definition ..... of 'manufacture' in the definition clause of the act and you will find that 'manufacture' is defined thus : manufacture includes any process incidental or ancillary to the completion of a manufactured product. [s ..... item 14.h. the answer given by the supreme court was in the negative. the following passage in the pronouncement requires advertence to : the act charges duty on manufacture of goods. the word 'manufacture' there must be such a transformation that a new and different article must emerge having .....Tag this Judgment!
Court : Karnataka
Decided on : Mar-07-1986
Reported in : AIR1987Kant40; ILR1986KAR1843
..... as per the agreement between the parties, the principal amount is rs.15 lakhs and the rate of interest is 20%. whether the interest claimed at 20% is usurious or not is not a matter to be considered while considering the application under 0. 40, r.1, c.p.c. according to the plaintiff, the claim ..... it was just and equitable that a receiver should be appointed.'27. sri narayana rao urged that the amount claimed by the plaintiff in the suit was usurious and it exceeded the principal amount of rs. 15 lakhs borrowed by the defendants. i am not concerned at this stage whether the interest claimed by the ..... plaintiff is usurious or not. but the fact remains that on the basis of the agreement between the parties, the amount had been worked out by the plaintiff-bank ..... of them pledged the stock-in-trade and the machinery and mortgaged the property in mangalore and immoveable property situated in kodagu district as security for the said loans. after giving deduction to all the payments made by the defendants, still rs.56,72,778.75 are due from the defendants. hence the suit.6. ..... paid the sale proceeds to the plaintiff-bank. therefore, according to him, cutting of the trees was an honest act on the part of the defendants and it was done only with a view to pay the loan and to preserve the estate. even the stock-in-trade, which had been hypothecated to the bank, is .....Tag this Judgment!
Court : Kolkata
Decided on : Apr-02-1986
Reported in : (1990)1CALLT139(HC)
..... and the decision was confirmed but the above point was not touched on judgment being given on the construction of section 36(1) of the income tax act, 1918. however lord maugham in paton v. i.r.c. said that, 'holder's case cannot be supported so far as it decided that the ..... the customer's assent, added to the principal loan thereby ceases to be due or recoverable as interest, but becomes merged in the principal loan. but has it been 'paid' 19. here, 'paid' means paid within the meaning of section 36(1) of the income tax act, 1918. therefore, the house of lords judgment only disagrees ..... which before the act repealing the usury laws was passed, an unpaid interest was turned into capital even though the reason or necessity for it has passed away or changed. it was ..... to enable them in effect to secure what is usually termed compound interest which could not have otherwise been claimed on the basis of the usury laws which were subsequently repealed. it was further pointed out that there seems no reason to ascribe a different effect in law to a system under ..... pointed out that the terms of the contract remain whether it is expressed or implied. the case before the court of appeal was in the form of a case stated under the finance act .....Tag this Judgment!
Court : Chennai
Decided on : Feb-03-1986
Reported in : (1987)1MLJ76
..... object is to save innocent debtors-from the clutches of the pawnbrokers, money-lenders and other non- institutional sources of credit who resorted to usurious practices while advancing the loan and while recovering the same. article 39(b) and (c) of the constitution provides that the state shall, in particular, 'direct its ..... in abdul aziz v. yasodammal and anr. 1977 t.l.n.j. 347. that was a decision rendered under the tamil nadu debt relief act, 1972 (tamil nadu act 38 of 1972). in that case, the definition of 'creditor' included his heirs, legal representatives and assign while debtor meant any person from whom ..... money, the decree-debt will fall within the ambit of 'debt' as defined under section 3(c) of the act. whatever may be the entrustment, the suit having been filed for recovery of money, the decree would amount to a liability and, therefore, the ..... debtor failed to return the jewels in specie. the court below, therefore, held that the judgment-debtor would not be entitled to any protection under the act' and, therefore, ordered further process in the execution.3. mr. palaniappan, learned counsel for the petitioner contended that the suit being for recovery of ..... brought by the decree-holder for attachment and sale of the immovable properties, the judgment-debtor claimed, protection under the tamil nadu debt relief act no. 50 of 1982. it is relevant to note that the suit is for recovery of the value of the jewels weighing 61 sovereigns entrusted .....Tag this Judgment!