Act Description : ANDHRA PRADESH (TELANGANA AREA) MONEY LENDERS ACT, 1349

Act Details :

 

ANDHRA PRADESH (TELANGANA AREA) MONEY LENDERS ACT, 1349

5 of 1349 

Preamble:- Whereas it is expedient to regulate the transactions of money lending and to make better provisions for its control; It is hereby enacted as follows:

 

Section 1 Short title, extent and commencement

 

(1) This Act may be called the Andhra Pradesh (Telangana Area) Money Lenders Act, 1349F. and shall into force in the whole of the Telangana area of the State of Andhra Pradesh from the date of its publication in the Official Gazette, and from the said date the Agricultural Debtors Relief and Prevention of Usury Regulation, 1341 F, and the Money Lenders Regulation, 1347 Fasli shall be repealed.

 

(2) The form prepared, money lender s name registered, licence issued or anything done under the Money Lenders Regulation, 1347 F. till the commencement of this Act, shall be deemed to have been prepared, issued, registered and done under this Act; and this Act shall apply to them in the same manner as if they had been prepared, issued, registered, and

 

done under this Act.

Section 2 Definitions

 

In this Act, unless there is anything repugnant in the subject or context

(1) bank means a company carrying on the business of banking and registered under the Companies Act, 1956 (Central Act 1 of 1956).

 

(2) company means a company registered under the Companies Act, 1956 (Central Act 1 of 1956).

 

(3) co-operative society means a society registered under the Hyderabad Co operative Credit Societies Act, No. 11 of 1323 F2.

 

(4) loan means a loan secured or unsecured, advanced on interest in cash or in kind, and shall include every transaction which is in substance a loan, but shall not include the following:

 

(a) a deposit of money or other property in a Post Office or in a bank or in a company or with a co operative society;

(b) a loan to or by and deposit with, any society or association registered under any law;

(c) a loan advanced by Government or by any local authority authorised by Government;

(d) a loan advanced by a bank, a co operative society or a company;

(e) a sum of money advanced on the basis of a negotiable instrument as defined in the Negotiable Instruments Act, 1881 (Central Act 26 of 1881)

other than a promissory note;

(f) a loan advanced to an agricultural labourer by his employer;

(g) a loan advanced by one trader to another trader in the ordinary course of business, in accordance with practice in trade;

(h) a sum of money payable to a trader by a person other than a cultivator or a labourer for articles sold on which interest is charged by reason of non payment on due date;

 

(6) interest includes the return to be made expressly or impliedly in excess of the actual amount of loan advanced;

 

(7) Money lender means a person including a pawn broker, who, within the meaning of this Act, only advances loan in the ordinary course of his business or does so along with other business, and shall also include the legal representative of such person and the person claiming to be his representative on the ground of succession or assignment or otherwise;

 

(8) pawn broker means a person who in the ordinary course of his business advances loan and takes goods in pawn as security for payment of such loan;

 

(9) trader means a person who in the ordinary course of his business buys and sells goods and property and shall also include the following persons: a wholesale dealer and retailer, a commission agent. a broker, a controller of factory, a contractor, a factory owner, but shall not include a person who sells only his non agricultural produce or cattle or buys agricultural produce or cattle for his own use;

 

(10) cultivator shall mean a person who is a member of the agricultural class within the meaning of the Prevention of Agricultural Land Alienation

Act No. III of 1349 F1 and whose main source of livelihood is agriculture;

 

(11) labourer shall mean a person who earns his livelihood merely by physical labour and who receives wages in cash or in kind not exceeding one rupee per day or thirty rupees per month.

 

(12) prescribed shall mean prescribed by rules made under this Act;

 

(13) stranger means a person who is not a citizen of India within the meaning of the Citizenship Act, 1955 (Central Act 57 of 1955).

Section 2A Non mulki money lenders barred from carrying on business of money lending

 

(1) No money lender who is a stranger shall carry on the business of money lending from 18th Khurdad 1355 F.

 

(2) All licences granted under this Act to the money lenders referred to in sub section (1) shall be deemed to have been cancelled from 18th Khurdad 1355 F., and all transactions of money lending carried on by such persons as money lenders shall cease from the said date. Such money lender shall not be entitled to refund of licence fee or to compensation on account of cancellation of licences.

 

(3) The money lenders referred to in sub section (1) who had obtained licences of money lending under this Act prior to the 18th day of Khurdad 1355 F. may under the provisions of this Act, recover through a competent court the loans advanced before the said date.

 

(4) Any money lender referred to in sub section (1) who carries on the business of money lending in contravention of the provisions of the said sub section, or recovers his dues otherwise than in accordance with the provisions of sub section (3) shall, on conviction before the Collector, be punished with imprisonment for a term which may extend to one year, or with fine or with both. An appeal from the order of the Collector shall lie to the Sessions Judge.

 

(5) An offence under this section shall be cognizable and bailable and the Court trying the offence shall, unless it is proved to the contrary, presume that the accused is a stranger and that he was carrying on the business of money lending in contravention of the provisions of this section.

Section 3 Money lenders to get their names registered

 

(1) Every officer who has been authorised by Government under this Act shall maintain a register of money lenders in such form and with such particulars as may be prescribed. Such register shall be deem to be a public document within the meaning of the Indian Evidence Act, 1872.

 

(2) Every money lender, in order to get his name registered, shall present an application in writing in the prescribed form to the competent officer and the said officer shall on such application being presented, register the applicants name and grant a licence in the prescribed form and written prescribed period:

 

Provided that the licensing authority may, if he has reason to believe that a money lender is of undesirable conduct refuse to grant or to renew a licence and shall record the reasons therefor. Where the licensing authority is a Tahsildar an appeal from his order shall lie to the Collector and to the Board of Revenue where the licensing authority is a Collector. The decision

of the appellate authority shall be final.

 

(3) Every person making an application under sub section (2) shall pay such licence fee not exceeding twenty five rupees, as has been fixed for the district concerned.

 

(4) A licence issued under sub section (2) shall be valid for one year from the date of issue.

 

(5)

 

(a) No money lender shall carry on in any district the business of money lending without obtaining a licence provided for in sub section (2).

(b) If any person contravenes the provisions of clause (a), he shall be punished with rigorous imprisonment for a term which may extend to six months or with fine or with both. The fine imposed shall, in case of default, be recoverable as arrears of land revenue. The Collector shall have power to award punishment under this clause. An appeal against his order shall lie to the Sessions Judge.

(c) An offence this sub section shall be cognizable and bailable.

 

(6) [Omitted.]

Section 4 Power to cancel or suspend license

 

(1) Where it is found in respect of a money lender that after the commencement of this Act

 

(a) he has been found guilty by a Civil Court of contravening the provisions of Sections 5, 6 or 8 in more than two suits, or

(b) the suit instituted by him has been dismissed in whole or in part on the ground that an entry relating to loan has been made by him in any document showing the amount of loan to be in excess of that actually advanced including the necessary expenses incurred, or

(c) that suit instituted by him was dismissed on the ground that it was based on fraud, or

(d) he has been found guilty in a money transaction by a Court, of forgery, cheating or coercion within the meaning of Section 15 of the Indian Contract Act 1872 (Central Act 9 of 1872); or he or his agent has been found guilty of contravening the provisions of Section 13. The Collector may cancel the licence or suspend it for any term, or prohibit the renewal thereof for a period not exceeding two years;

Provided that the Collector shall not pass such order until the expiry of the period for appeal or revision or review and in case an appeal or revision or review has been disposed of.

 

 

(2)

 

(a) The Collector may take action under sub section (1) either of his own motion or on the application of an interested party:

Provided that no licence shall be cancelled or suspended nor renewal thereof shall be prohibited without giving the money lender an opportunity to defend.

 

(b) The Collector may, during the period for an appeal either of his own motion or on the application of an interested party review his own order, provided an appeal therefrom is not pending before the Board of Revenue.

An appeal from an order or the Collector shall lie to the Board of Revenue whose decision shall be final.

Section 5 Money lenders to maintain accounts and to furnish statements thereof to debtors

 

(1) A money lender shall

 

(a) maintain a regular account of loan for each debtor separately;

(b) deliver to the debtor every year the prescribed statement of account signed by him or his agent specifying the amount of loan that may be outstanding against such debtor on the prescribed date. Such statement of account shall contain all transactions of loan entered into during that year. The said statement shall be in the language of the village office of the district for which the money lender has obtained a licence.

 

(2) The account mentioned in clause (a) of sub section (1) shall be so maintained that items of principal and interest may be separately and clearly ascertained and the balance of principal and interest shall be shown separately. The money lender shall not be authorised to include the interest or any portion of interest in the principal. The opening balance of principal and interest shall be separately shown:

 

Provided that if after a loan was originally advanced by a money lender, a widow or minor becomes entitled to such loan, such widow or minor shall not be required to maintain the account and furnish the statement of account under sub section (1) for a period of one year from the date on which such right accrued.

 

(3) The licensing authority or any person authorised by him may inspect the books of account of a money lender for the purpose of satisfying

himself that the provisions of this section are being complied with.

Section 6 Additional accounts to be maintained by pawn brokers

 

(1) In addition to the duties mentioned in Section 5, every pawn broker shall maintain a regular account showing the following particulars:

 

(a) details of each of the articles taken in pawn by which in can be defined.

(b) the time agreed upon between the parties for the redemption of pawn, and

(c) the name and address of the pawner.

 

(2) The pawn broker shall at the time of transaction deliver to the pawner a statement of the aforesaid entries under his or his authorised agent s signature, the said statement shall be in the language mentioned in clause (b) of sub section (1) of Section 5.

 

(3) The licensing authority or any person authorised by him may inspect the books of account of a pawn broker for the purpose of satisfying himself that the provisions of this section are being complied with.

 

Section 7 Debtors not bound to admit correctness of accounts

 

A debtor to whom a statement of account has been furnished under clause (b) of sub section (1) of Section 5, shall not be bound to admit or deny the correctness of such account, and from his mere silence it shall not

presumed that he has admitted the correctness of the account.

Section 8 Receipt for payment of loan

 

Every money lender shall, without delay, pass a receipt for the payment made by a debtor and if payment is made by challan an endorsement shall be made thereon acknowledging receipt thereof.

Section 9 Procedure of Court in suits for recovery of loans

 

Notwithstanding anything contained in any law for the time being force, in every suit relating to a loan:

(1) the Court shall frame and decide the issues whether the money lender is a money lender as defined in sub section (7) of Section 2, and whether he has complied with the provisions of Section 3 and of clauses (a) and (b) of sub section (1) of Section 5 and sub sections (1) and (2) of Section 6.

 

(2) if it is proved that the plaintiff is a money lender as defined in sub section (7) of Section 2, but does not hold a licence granted under Section3, the Court shall dismiss his suit;

 

(2-A) if it is proved that the money lender has not complied with the provisions of clause (a) of sub section (1) of Section 5, or of sub section (1) of Section 6, or of section 8 and the plaintiff s claim is established in whole or in part, the Court may, in the circumstances of the case, disallow the whole or any portion of the interest due and may disallow the costs wholly or in part;

 

(3) if it is proved that the money lender has not furnished the debtor with a

statement of account in accordance with the provisions of clause (b) of sub section (1) of Section 5 or of sub section (2) of Section 6, the Court shall, in computing the amount of interest exclude the interest in respect of every period for which the money lender has not furnished the debtor with the statement of account:

 

Provided that if the money lender has, after the prescribed time, furnished the statement of account and the Court is satisfied that there was sufficient cause for not furnishing the statement earlier, the Court may, in spite of such default, include such period or periods for computing the interest.

Explanation:- If a money lender has maintained his account and delivered the statement of account in the prescribed form and manner, it shall, in spite of any error or omission, be presumed that he has complied with the provisions of clauses (a) and (b) of sub section (1) of Section 5 and of sub sections (1) and (2) of Section 6, if the Court is of opinion that such error or omission is accidental or immaterial and that the accounts are maintained in good faith.

Section 10 Computation of interest

 

(1) The Government may, from time to time, by notification in the Andhra Pradesh Gazette, fix the maximum rate of interest for any local area of class of business of money lending in respect of secured loans and unsecured loans.

 

(1-A) No money lender shall levy charges other than compound interest and expenses mentioned in sub section (3) of this section incurred by him in respect of loans.

(1-B) Whoever, being a money lender, demands or charges or receives from a debtor interest at a rate exceeding the maximum rate fixed by the Government under sub section (1), shall be punished with imprisonment for a term which may extend to six months, or with fine which may extend to one thousand rupees, or with both.

 

(2) The parties may include a stipulation in the agreement that if the sum payable as interest is not paid on the date fixed, under the agreement the money lender may charge simple interest on such sum by way of damages from the date of default until it is paid, at a rate not exceeding half the rate of interest payable on the principal and the interest so charged shall not, for the purposes of this Act, be deemed to be part of the interest charged in respect of the loan.

 

(3) When property is given by way of security or mortgage nothing in this section shall prevent a money lender from recovering the expenses incurred for investigating title to the property,the costs of stamp and expenses for registration of document and other expenses incurred which may be reasonable in the opinion of the Court, if the parties have agreed in writing to the levy and payment of such expenses, otherwise only expenses leviable under the Transfer of Property Act No. 1 of 1336 F. or any other law for the time being inforce, shall be allowed.

 

Explanation:- In cases where the transaction of loan is in kind or loan is in cash and its repayment in kind, or loan in kind and repayment in cash, the amount of principal and interest shall be determined according to the local market price of the commodity at the time of taking and repayment of loan.

Section 11 Power of Court to limit interest due in certain cases

 

(1) The provisions of this Act shall not apply to a loan advanced before the commencement of this Act:

 

Provided that no Court shall be competent to pass a decree for a sum exceeding the principal on account of any outstanding interest in respect of a loan advanced to cultivator or labourer before the commencement of this

Act.

 

(2) In an inquiry under sub section (1) into the loan advanced to a cultivator or a labourer, the outstanding interest shall be computed in the following manner:

 

(a) the account for the twelve years preceding the commencement of this Act shall be so examined that on the first day of the twelve years period and if the loan had commenced within twelve years, on the date on which the transaction commenced the amount outstanding against the debtor shall be entered against the debtors name as principal:

(b) separate accounts, of the principal and interest shall be maintained;

(c) in the account of principal there shall be debited to the debtor s name all such amounts as may, from time to time, have been actually received by the debtor from the money lender and if any goods are sold as part of the transaction, its price shall be included therein;

(d) in the account of principal there shall not be debited to the debtor s name any outstanding interest which has been converted into principal by any agreement, settlement, or contract in the course of the transaction;

(e) in the account of interest upto the date on which this Act comes into force, simple interest on the balance of principal shall be calculated at the rate agreed between the parties, provided that it does not exceed nine per cent per annum in the case of secured loan and twelve per cent per annum in the case of unsecured loan, and, from the date on which this Act comes into force upto 18th Khurdad 1355 F, the rate of interest shall not exceed nine per cent per annum and twelve per cent per annum respectively. From 18th Khurdad 1355 F., the rate of interest shall not exceed six per cent per annum and nine per cent per annum respectively;

(f) all payments made in cash or kind by the debtor to the money lender or on his account, and all benefit of services or other advantages of every description, received by the money lender in the course of the transaction the value of which shall, if necessary, be determined by the court in its discretion or with the aid of arbitrators appointed by it, shall be credited first in the account of interest; and the balance if any, after payment of the

interest due shall be credited to the account of the principal;

(g) The principal and interest shall be calculated up to the date of institution of the suit, and the balance, (if any) of the suit, outstanding against the debtor on the said date. If the amount of interest exceeds the principal, the amount of interest in excess of the principal shall not be allowed.

 

Section 12 Order for payment of decretal amount by instalments

 

(1) The court may, in respect of a decree without instalments passed after the commencement of this Act at any time on the application of a judgment debtor, after notice to the decree holder, direct that the amount of the said decree shall be paid in such number of instalments and subject to such conditions and on such dates as may, in its opinion, be proper having regard to the circumstance of the judgment debtor and the amount of the decree.

 

(2) In case the judgment debtor is a cultivator or a labourer, the power mentioned in sub section (1) may also be exercised in respect of a decree passed before the commandment of this Act; Provided that such power shall not be exercised more than once in respect of the same decree.

 

Section 13 Punishment for molestation of debtor

 

(1) A moneylender or his agent who molests or abets the molestation of a debtor for the recovery of debt shall be punished with rigorous imprisonment for term which may extend to two years or with fine or with both.

 

Explanation:- For the purposes of this section a money lender or his agent

shall be deemed to molest a debtor when he commits the following acts with intent to prevent the debtor from doing any act which he has a right to do or force him to do any act which he has a right not to do:

(a) obstructs the debtor or uses violence against or intimidates him, or

(b) follows the debtor wherever he goes or interferes with any property owned or used by him or deprives him of, or hinders him in the use thereof, or

(c) loiters or does any similar act at or near a house or place where the debtors resides, works, or carries on any business or is present there by accident;

 

Provided that if a money lender or his agent happens to be at or near such house or place merely for the purpose of obtaining or communicating any information or to make a demand for a loan due, he shall not be deemed to have molested the debtor.

 

(2) An offence under this section shall be cognizable and bailable.

Section 14 Exemption from arrest

 

Notwithstanding anything contained in the Code of Civil Procedure, 1908 a labourer or a cultivator who is a pattadar, shikmidar, Asami Shikmi or holder of land with a revenue of fifty rupees or less, shall not be arrested to be detained in civil Jail.

 

Section 15 Power to make rules

 

(1) Government may make rules for carrying out the purposes of this Act.

 

(2) All rules made under this Act shall come into force from the date of publication in the Official Gazette.

Section 16 Power to Exempt

 

The Government may, by notification published in the Andhra Pradesh Gazette and for reasons to be recorded therein, exempt any person or class of persons or any financial or banking institution or agency or any class of financial or banking institutions or agencies from all or any of the provisions of this Act or the rules made thereunder, subject to such conditions as the Government may deem fit to impose; and they may, likewise, vary or cancel such exemption.

 

MONEY-LENDERS RULES, 1349

 

In exercise of the powers conferred by sub-section (1) of Section 15 of the Money Lenders Act No. 5 of 1349 Fasli the Government is pleased to make and enforce the following rules relating to the registration, and issue of money-lending licences to money lenders and maintenance of accounts of debts.

 

Rule 1 Title and commencement

 

These rules may be called the Money-Lenders Rules and shall come into force from the date of publication in the Official Gazette.

Rule 2 Definitions

 

In these rules, unless there is anything repugnant in the subject or context:

 

(1) "Act" shall mean the Money Lenders Act, No. 5 of 1349 Fasli;

 

(2) Words and expressions used in these rules shall have the same meaning as assigned to them in the Money-Lenders Act.

 

(3) "Authorised Attorney" shall mean such attorney as has been appointed to be an attorney by a general or special power of Attorney.

 

Rule 3 Officers authorised to register money-lenders

 

(1) The power to register the name of money-lender and to grant him a licence under sub- section (2) of the Section 3 of the Act, shall vest

 

(a) in the Municipal limits of the cities of Hyderabad and Secunderabad, in the Collector, Hyderabad District; and

(b) in other areas in Tahsildar concerned.

 

(2) A licence issued under sub-rule (1) may be signed either by the officer empowered in that sub-rule or on his behalf by any other officer subordinate to him and authorised by him for this purpose.

Rule 4 Functions of officer as to registration of money-lender

 

The register maintained under sub-section (1) of Section 3 of the Act for the purpose of registering money-lender shall be in the form of the Schedule "A" attached hereto. Each page of the register shall bear the serial number of the pages and seal of the concerned office also shall be affixed thereto. At the end of the register the officer concerned shall, under his hand, make an endorsement as to the total number of pages of such register and affix his signature thereto.

 

Rule 5 Form of application

 

The application to be submitted by money lenders for registering themselves and obtaining money-lending licences shall be in the form of the Schedule 'B' attached hereto.

 

Rule 6 Court fee shall be charged on application

 

The Court fee payable on an application made under Rule 5 or 15 shall be the same as is prescribed in the Court Fees Act, in accordance with the status of the Department concerned.

Rule 7 Mode of making an application

 

Every application under Rule 5 may be made in person or through a pleader or an agent.

Rule 8 Form of licence

 

A money lending licence, granted under sub-section (2) of Section 3 of the Act shall be in the form of the schedule "C" attached hereto.

 

Rule 9 Fees for issue of licence

 

The fee to be charged under sub- section (3) of Section 3 of the Act on every licence before the issue thereof shall be rupees twenty five.

Rule 10 Application to whom presented

 

Every money-lender may get himself registered and obtain a licence by presenting an application to the officer empowered under Rule 3 within whose jurisdiction the original place of his business or a branch thereof is situated.

Rule 11 Procedure on presentation of application

 

As soon as an application is made in the prescribed form, the competent officer shall enter the date of receipt thereon and if the application is in accordance with the rules, shall proceed as follows :

(a) He shall require the applicant to deposit licence fee prescribed under 9 which shall be credited in the concerned treasury under the Revenue Head.

 

(b) After the fee is deposited the application shall, so far as it is relevant, be entered in the register mentioned in Rule 4 and after duly filing up the licence, relevant serial number and date of the aforesaid register shall be entered therein, and the licence shall within two weeks from the date of

depositing the amount be given to the applicant on acknowledgement of receipt by him.

 

Rule 12 Money lender having business in more than one District

 

A licence granted under Rule 11 shall be useful for one District only. A money lender having his business in more than one District shall obtain a separate licence for each district on payment of fees mentioned in Rule 9 for every licence.

 

Rule 13 Period for obtaining licence

 

Every Money-lender shall, within a period of three months from the date of commencement of these rules, get himself registered and obtain money-lending licence; otherwise he may be proceeded against under Clause (b) of sub-section (5) of Section 3 of the Act.

 

Rule 14 Period for destruction of records pertaining to registration and licence

 

The files relating to applications for registration and issue of licences shall be preserved for six years and may thereafter be destroyed.

Rule 15 Procedure in case a licence is lost, destroyed or spoiled

 

If any licence issued is lost, destroyed or rendered doubtful by any reason or has become so spoiled as not to be legible a copy of the licence may be obtained from the competent officer by making an application and on payment of a fee at rupees five per copy thereof, and on such copy the word "copy" shall be written with red ink in bold letters.

 

Rule 16 Renewal of licence

 

Every money-lender shall before the expiry of the period of licence obtain another licence.

 

Rule 17 Procedure in case licence is not obtained for three months after the commencement

 

Where after the expiry of three months from the commencement of these rules, an officer mentioned in Rule 3 has reason to believe that any money-lender is carrying on money-lending business within the limits of his jurisdiction without a licence, he shall summon the money- lender and investigate the matter. Where the Investigating Officer is of an inferior rank than that of a (Talukdar) "Collector" he shall, after completing the investigation, forward the report to the (Talukdar) "Collector". On receipt of the report the (Talukdar) "Collector" may pass orders in accordance with the provisions of Section 3 of the Act. If the investigating officer is himself a (Talukdar) "Collector" he may after completing the investigation pass such orders as he deems fit and the (Talukdar) "Collector" may direct any officer subordinate to him to investigate such contravention, forward a report and may, on submission of such report, pass order under Section 3 of the Act. But every such order under Section 3 shall be communicated to the concerned licensing authority. The (Talukdar) "Collector" shall pass an order after hearing the money-lenders.

 

Rule 18 Procedure for summoning witness and requiring

production of documents

 

For the purposes of Rule 17 the officer-concerned shall have the same powers with regard to summoning of witness, requiring production of documents, recording evidence and other proceedings as are provided in Chapter X of the Land Revenue Act.

Rule 19 Disposal of fines recovered

 

The sums recovered under sub-section (5) or sub-section (6) of Section 3 of the Act in respect of penalty or compromise shall be credited under the head 'pecuniary fines'.

Rule 20 No action to be taken on application for registration and grant of licence in case of contravention of the Act

 

Where an investigation is going or against any money-lender on the ground of contravention of sub- section (5) of Section 3 of the Act, no action shall be taken under Rule 11 on the application by such money-lender for registration and grant of a licence until such investigation has been finally disposed of. On completion of investigation action shall, however, be taken in accordance with the result thereof.

 

Rule 21 Application shall be in writing enclosing copies of papers relied upon

 

Every application presented under sub-section (2) of Section 4 of the Act shall be in writing and shall be accompanied with formal copies of such

papers, as are relied upon by the applicant.

Rule 22 Civil Courts shall forward extracts of judgments, etc.

 

The Civil Courts shall, from time to time after the expiry of the period of appeal and if appeals have been filed, after the passing of judgments in such appeals communicate to the (Talukdar) "Collector" particulars of matters mentioned in Clauses (a) to (d) of sub-section (1) of Section 4 of the Act forwarding extracts of final judgments. The aforesaid extracts and copies shall be sent to the (Talukdar) "Collector" free of charge.

 

Rule 23 Procedure as to cancellation and suspension of licence

 

The (Talukdar) "Collector" shall before passing a final order under Section 4 of Act, cause a notice to be served upon the money-lenders, fixing a date and requiring him to show cause why his licence should not be suspended or cancelled or renewal thereof be prohibited for the contravention. The (Talukdar) "Collector" shall, if the money-lender files objections before the date fixed in the notice, after considering the same and if the money- lender does not file objections before the date fixed then after the said date, pass reasonable order in accordance with Section 4 of the Act, which shall be communicated to the money-lender and the licensing authority concerned.

 

Rule 24 Form of statement of account

 

The statement of account mentioned in Clause (b) of sub-section (1) of Section 5 of the Act shall be in Form (D) of the Schedule attached hereto.

Rule 25 Form of inventory of articles taken in pawn

 

a pawnbroker shall furnish to the pawner in Form (E) of the Schedule annexed hereto, an inventory of the articles taken in pawn.

Rule 26 Form of receipt for money paid

 

The receipt which shall be given by the money-lender under Section 8 of the Act for the money paid by the debtor shall be in Form (F) of the Schedule attached hereto.

Rule 27 Prescribed forms shall be furnished by money-lender

 

The form prescribed by these rules shall be furnished by every money lender at his own cost.

 

Rule 28 Language of numerals to be used

 

The numerals in the entries of the statement of account referred to in Rule 24 and the inventory of articles taken in pawn referred to in Rule 25 shall be of the same language in which the statement has been prepared.

Rule 29 Name and residence of the debtor and his father's name shall be entered in the account

 

Full name, nationality and residence of every debtor together with father's name and full name, nationality and residence of every joint debtor, if any, together with his father's name shall be written on the top of the account maintained by a money-lender in accordance with the provisions of sub-section (1) of Section 5 of the Act.

 

Rule 30 Accounts to be maintained datewise

 

The advance of every loan and payment thereof shall be entered separately and datewise in the account of debt as also in the statements of debt as also in the statements of account.

 

Rule 31 Fixation of the period for forwarding statement of account

 

The statement of account mentioned in Rule 24 shall be sent to the debtor within one month after the date mentioned below relating to each statement:

 

For cash accounts Diwali

 

For accounts pertaining to grains Thirteenth day of Vaisakh

 

Rule 32 Entries in the Statement shall tally with the entries in the account books

 

The entries pertaining to the amount of loan, date of advancing loan, rate

of interest and the amounts repaid made in the Statement of account mentioned in Rule 24 shall tally with the entries made in the account books of a money-lender maintained under the Act.

Rule 33 Mode of furnishing statement of account to debtor

 

(a) A copy of the statement of account shall with the debtor's expenses be sent by post to the debtor at his address and the postal expenses shall be charged to the debtor's account. The money-lender shall, while sending the statement of account by post, obtain a certificate of posting and preserve it.

 

(b) In case there are two or more joint debtors, in the absence of an agreement to the contrary, the statement shall be furnished as aforesaid to all such debtors as are concerned with the debt.

 

(c) In case a statement of account is handed over to the debtor, joint debtor, the receipt from such debtor or joint debtor, shall be obtained on a separate paper and preserved on which the signature or thumb impression of the debtor or the joint debtor shall be affixed:

 

SCHEDULE A Money-lenders Rules

 

Schedule Schedule (A)

 

Money-lenders Rules

 

 

Money-lenders Register provided in sub-section (1) of Section 3 of the Act and referred to in Rule 4

 

 

Maintained at the office of.............................Taluq.........................

 

District ............................. of 13............................ F/19...........A.D.

 

 

Serial number

 

Date of registration

 

Money-lender's name together with his father's name

 

Nationality or religion

 

Residence together with particulars about locality, village, taluk

 

and district

 

Head-quarters of business within the district and other places

 

where branches are situated

 

Reference to the depositing of licence fee :

 

Name of treasury

 

Amount of licence fee

 

Page No. of ledger

 

Date Signature of licensing authority

 

 

Signature of the applicant in acknowledgement of the receipt of required licence

 

Brief remarks of contravention together with particulars about punishment,

file number and signature of the competent authority

SCHEDULE B Form of application for Registration and Grant of Money-Lending licence

 

Schedule Schedule (B)

 

Money-lenders Rules

 

 

Form of application for Registration and Grant of Money-Lending licence

 

(As provided in sub-section (2) of Section 3 of the Act and referred to

 

in Rule 5)

 

 

To

 

The Tahsildar

 

.......................'Collector'

 

Taluq.............................

 

District...........................

 

 

Sir,

 

In accordance with the provisions of sub-section (2) of Section 3 of the Money-Lenders Act, 1349 F., I would like to register my name as money- lender. Therefore I request you to kindly register me as a money-lender and grant me a money-lending licence as per rules. I am prepared to pay the licence fee, prescribed by the Government in cash.

 

My permanent residence is ............... Locality/village Taluq...............District...............My nationality is...............and my religion is...............Headquarters of my money-lending business in town/village...............Taluq...............District/village...............Taluq....................... District...............for which licence is required.

 

Dated :

Petitioner,

 

Full name.....................and

 

Father's Name

 

Signature or thumb impression

SCHEDULE C Money-lenders Licences

 

Schedule Schedule (C)

 

Money-lenders Rules

 

Money-lenders Licences

 

 

(As provided in sub-section (2) of Section 3 of Money-lenders Act

 

and referred to in Rule 8)

 

 

Serial No. of Money-lender's Register ( )

 

 

I certify that Mr. or Mrs............... son of/wife of...............Community...............or religion...............resident of...............Taluq...............District...............has been registered today...............135 F.,/19...............A.D. as money-lender under sub-section (3) of Section 3 of the Money-lender's Act, 1349 F. for District...............and permission is hereby accorded to the said Mr. or Mrs................to carry on money-lending business

 

in the said District.

 

 

"Collector"

 

(Tahsildar)

 

 

Tahsildar District

 

Taluq

 

SCHEDULE D Money-lenders Rules

 

Schedule

 

Schedule (D)

 

Money-lenders Rules

 

 

Statement of accounts as provided in Clause (b) of sub-section (1) of Section 5 of the Act and referred to in the Rule 24

 

Account of debt due from ...............s/o ...............nationality

 

...................R/o ...............Arrears of previous interest ...............Capital...............total

 

 

Loan advanced :

 

1. Date

 

2. Details of total loan advanced

 

 

Amount of Loan :

 

3. Cash

 

4. Kind with particulars of weight or quantity or number

 

5. Value of kind mentioned in column (4)

 

 

Amount of Interest :

 

6. Rate of interest per annum

 

7. Capital on which interest was charged

 

8. Period for which interest was charged

 

9. Amount of interest

 

10. Remarks

 

Payment :

 

11. Date

 

12. Details of total payment in cash or kind

 

Figures of payment :

 

 

13. Cash

 

 

14. Kind with particulars of weight or quality or number

 

 

15. Value of kind mentioned in column (4)

 

 

Details of Payment :

 

 

16. Interest

 

 

17. Capital

 

 

18. Remarks.

 

 

Abstract of Transaction

 

 

(1) Outstanding arrears Interest Capital Total

 

 

(2) Loan advanced during

 

the current year Interest Capital Total

 

 

Total Interest Capital Total

 

 

(3) Payment during the

 

 

current year Interest Capital Total

 

 

(4) Arrears upto the

 

 

end of 13.. F./19.. A.D. Interest Capital Total

SCHEDULE E Money-lenders Rules

 

Schedule Schedule (E)

 

Money-lenders Rules

 

Inventory of articles taken in pawn as provided in sub-section (2) of

 

Section 6 of the Act and referred to in Rule 25.

 

 

Pawnbroker's name................S/o...............Nationality R/o..................

 

Locality/Village..............Taluq

 

 

District

 

 

 

 

(Money-lending licenceNumber............of..........13.....F./19......A.D.)

 

 

 

1. Date of taking in pawn.

 

2. Name of pawner together with father's name.

 

3. Nationality or religion.

 

4. Age.

 

5. Residence with particulars of his locality, village, taluk and district.

 

Date of articles taken in pawn with particulars of commodities

 

etc.

 

6. Name of commodity.

 

7. Weight, quantity or number.

 

8. Amount of debt.

 

9. Period fixed for the redemption of the pledge.

 

 

10. Rate of interest per annum.

 

 

11. Remarks.

 

 

Signature of pawner.

 

Signature of pawnbroker or Agent.

 

Date month 13.. F./19.. A.D.

SCHEDULE F RECEIPT

 

Schedule Schedule (F)

 

Money-lender Rules

 

RECEIPT

 

 

(As provided in Section 8 of the Act and referred to in Rule 26)

 

Money-lender's name

 

Father's name...............Nationality ............... R/o ...............Locality/Village ...............Taluq ............... District...............Money-lending licence number...............of 13...............F/19.......A.D.

 

I.G. Rs................Np................

 

(...............) Maunds and (...............) Seers of (...............)valued I.G. Rs...............Np................

 

from Mr...............s/o............... Nationality and R/o...............towards repayment of his debt and credited

 

to his account.

 

Money-lender/Agent

 

Signature.Act Type : Andhra Pradesh State Acts