PAPPATHI AMMAL ALIAS NALLAMMAL Vs. NALLU PILLAI

JUDGEMENT

(1.) THIS appeal which is tiled under Cl. 15 Letters patent against the judgment of venkatadri J. has been referred to this Bench on account of the importance of the question involved in. it. The question can be stated thus:

(2.) TO my mind, the construction of Section 13 floes not present much difficulty. The Act, as is well-known, is intended to give relief to indebted agriculturists in respect of interest accrued or accruing on their liabilities. the! extent and mode of relief given under it differs according to the date on which the loan had been contracted, there being a broad division between debts incurred prior to and those to be incurred after the' Act. The former category is again divided into two (i)those debts incurred prior to 1-10-1932, but outstanding when the Act came into force, and (ii) those debts incurred between 1-10-1932 and 11-3-1938, 1938, the date of commencement of the Act and outstanding on the latter date. Section 7 winch deals with all cases of debts due by agriculturists as on 22-3-1938, (sic)that all such debts shall be scaled down in. accordance with the subsequent provisions of the Act and no further sum shall be recoverable from the debtor. Sections 8 and 9 are respectively the machinery provisions prescribing the mode and extent of scaling down. The former which governs debts contracted prior to 110-1932, statutory wipes out the entire amount of outstanding interest on the debt, the latter section, that is, Section 9 which governs debts contracted between 1-10-1932 and 22-3-1938 does so only prating, allowing interest to run at 5 per cent per annum where the rate of stipulated interest is higher than that rate. it is unnecessary to refer to the further details of the provisions contained in these sections regarding specific cases like renewals, application of the rule of damdupet etc. section 10 provides that in respect of debts scaled down one rest at the contract rate or at 61/4 per cent per annum, whichever is lower, will run from the date of scaling down that is, 22-3-1938. These provisions do not now ever apply to the present case; but a reference to them has to be made to deal with the contentions raised in this appeal.

(3.) SECTION 13 deals with debts incurred, as in the instant case, by an agriculturist after the commencement of this Act. That says -.-