Vidhi Codex

THE GUJARAT MONEY-LENDERS ACT, 2011

The Gujarat Money Lenders Act 2011

Finance201158 sections

This law governs the lending of money in the state of Gujarat to protect borrowers from unfair practices. It applies to individuals and entities that carry on the business of advancing loans, while exempting banks, government bodies, and registered co-operative societies. The Act sets rules regarding how interest is calculated and what charges can be levied, ensuring that lenders do not exploit debtors. By regulating these financial transactions, the legislation aims to provide a fair and transparent framework for borrowing and lending money within the state.

Start reading →Read full ActSections
  1. 1. Short title, extent and commencement
  2. 2. Definitions
  3. 3. Authorities for implementation of this Act
  4. 4. Register of Money-Lenders
  5. 5. No business of money-lending without registration
  6. 6. Application for Registration
  7. 7. Grant of Registration
  8. 8. Term of Registration
  9. 9. Renewal of Registration
  10. 10. Refusal for grant or renewal of registration
  11. 11. Grant of duplicate certificate of Registration
  12. 12. Power of Registrar to inspect
  13. 13. Suspension of Registration
  14. 14. Power of Registrar General to order cancellation of Registration
  15. 15. Power of Registrar to cancel registration in certain circumstances
  16. 16. No compensation or refund of fees on suspension or cancellation of registration
  17. 17. Money-Lender debarred from carrying on business of money-lending in the State of Gujarat
  18. 18. Registrar General and other officers to have powers of civil courts for certain purposes
  19. 19. Powers of certain officers to require production of record or documents, search and seizure, etc.
  20. 20. Disposal of property pledged by debtors with Money-Lender without valid registration
  21. 21. Duty of Money-Lender to keep accounts and furnish statements
  22. 22. Delivery of statement of accounts and copies of documents to debtor and money-lender
  23. 23. Audit of accounts of Money-Lender
  24. 24. Debtor not bound to admit correctness of particulars in statements or pass book
  25. 25. Money-Lender not to dispose of pawned articles before certain period
  26. 26. Stay of suits by Money-Lender not holding valid registration
  27. 27. Procedure of Court in suits regarding loans
  28. 28. Power of court to limit interest recoverable in certain cases
  29. 29. Power of court to direct payment of decretal amount by installments
  30. 30. Reopening of transactions
  31. 31. Inquiry for taking accounts and declaring amount due
  32. 32. Deposit in Court of money due when Money-Lender refuses to accept
  33. 33. Limitation on rate of interest
  34. 34. Prohibition of charges for expenses on loans by Money-Lender
  35. 35. Notice and information to be given on assignment of loan
  36. 36. Application of Act as respects assignees
  37. 37. Manner of calculating interest
  38. 38. Entry of wrong sum in documents, etc. to be offence
  39. 39. Prohibition against recovery of loan or interest except in cash
  40. 40. Penalty for molestation
  41. 41. Penalty for salami, batta, dharmada, etc.
  42. 42. Penalty for contravention of section 5, 19 or 38
  43. 43. Penalty for contravention of section 21 or section 22
  44. 44. General provision for penalty
  45. 45. Power of Court to suspend or cancel registration in certain cases
  46. 46. Offences by corporations
  47. 47. Certain offences to be cognizable
  48. 48. Certain offences to be cognizable or certain offences [with sanction]
  49. 49. Compounding of offences
  50. 50. Prohibition of arrest and imprisonment of agricultural debtors in execution of decrees of money
  51. 51. Officers and employees to be public servants
  52. 52. Indemnity
  53. 53. Provisions of any other Act in force saved
  54. 54. Grant of copies of documents on payment of fees
  55. 55. Power to make rules
  56. 56. Power of State Government to exempt
  57. 57. Provisions of Gujarat Rural Debtors Relief Act 1976 not to affect
  58. 58. Repeal and savings

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