Procedure of Court in suits regarding loans

(1) In any suit ro which this Act applies- (a) a Court shall, before deciding the claim on merits, frame and decide the issue whether the Money-Lender has complied with the provisions of sections 21 and 22; (a)reopen any transactiorq or any account already taken between the parties; (b)take an zrccount between the parties; (b) ifthe Court finds that the provisions of section 21 or section 22 have not been complied with by the Money-Lender, it may, if the plaintifs claim is estabiished, in wholdor in par! disallow the whoie or any portion ofthe interest found due, as may seem reasonable to it in the circumstances of the case and may disallow cost to the Money-Lender. (c)reduce the emount charged to the debtor in respect of any excessive interest; Explanation- A Money-Lender who has given the receipt or firmished a. stt:melt of accounts or a pass book in the preScribed form and maoneq shall be deemed to have complied with the provisions of section 21 or section-22, as the case may be, in spite of anl.errors and omissions, if the Court finds that such enors and omissions are not material or not made fraudulently. (2) A Court tryrng a suif to which rhis Act applies shall, in a case in which it finds that the provisions of section 2l or iection 22 have nor been complied with by the Money-Lender, cause a copy of its judgment or order s6ntainiag such fuding duly authenticated by it and bearing the seal of the Court to be sent to the Registrar by whom the registration was issued to such Money-l.ender and on receipt of such copy of the j udg:rents or order, the Registar may, without holding any frrthe1 inquiry or giving an opportunity ofbeing heard to the Money-Lender, cancel his registration, or suspend it for zuch period as the Registar thinks fit.