Moratorium on debts

Moratorium on debts

1. (1) Notwithstanding anything contained in any law for the time being in force, or in any decree or order of any Court, or in any contract, no suit for the recovery of any debt shall be instituted, or where instituted, no such suit shall be proceeded with, and no decree or order passed by any Court in any such suit shall be executed against an indebted farmer in the State of Andhra Pradesh, for such period as the Government may, by notification in the Andhra Pradesh Gazette, specify in this behalf: Provided that, the period so specified shall not be less than six months and not more than one year: Provided further that, the Government may extend the said period for a further period or periods not exceeding one year in the aggregate.
2. (2) Every such suit or execution proceeding pending against an indebted farmer at the commencement of this Act, shall stand stayed for the period specified in sub-section (1), subject to such further extension as may be notified under the second proviso thereto.