Security from the employees.

If any money-lender is desirous of obtaining security from any person employed by him, during the period of his employment in connection with the business of money-lending such security shall be taken only in any of the following form, namely :―

1. (a) deposit of the amount in any treasury, nationalised bank, post office or co-operative bank; or
2. (b) Government securities or National Savings Certificates; or
3. (c) mortgage of immovable property; or
4. (d) personal sureties: Provided that if any security has already been received by the money lender from any of his employees in any form other than those enumerated above, such security shall be converted into any of the forms under items
5. (a) to (d), within three months from the date of commencement the Kerala Money-Lenders (Amendment) Ordinance, 1987. 16. No refund of licence fee when licence cancelled No refund of licence fee when licence cancelled.― A person whose licence is cancelled under section 14 shall not be entitled to the refund of any fee paid in respect of such licence or for any compensation for such cancellation 16A. Forfeiture of security Forfeiture of security.―

1. (1) The licensing authority may, at any time, by order in writing, forfeit to the Government the whole or any portion of the security furnished under sub-section (2A) of section 4,
   • (a) if the licensee carries on the business of money lending in contravention of any of the provisions of this Act or the rules made thereunder or the conditions of the licence; or
   • (b) If the licensee is convicted of an offence under section 11 or section 13; or
   • (c) if the licensee maintains false accounts.
2. (2) Before forfeiting to the Government the whole or any portion of the security under sub-section (1), the licensing authority shall give the licensee a notice in writing stating the grounds on which it is proposed to take action and requiring him to show cause against it within such time as may be specified in the notice.
3. (3) Every order of the licensing authority under this section shall be communicated to the licensee in such manner as may be prescribed. 16B. Appeals Appeals.―
4. (1) Any person aggrieved by an order of the Licensing Authority under sub-section
5. (3) of section 4 or sub-section
6. (1) of section 14 or sub-section
7. (1) of section 16A or by an order of the Inspector or the Licensing Authority under section 11A or section 18C or section 18D may, within thirty days from the date of communication of such order, appeal in such manner as may be prescribed, to the Appellate Authority having jurisdiction over the area. (1A) Every appeal under sub-section
8. (1) shall be accompanied by a fee of three hundred rupees.
9. (2) The appellate authority may admit an appeal preferred after the period of thirty days aforesaid if it is satisfied that the appellant had sufficient cause for not preferring the appeal within the said period.
10. (3) The appellate authority may, after giving the appellant an opportunity of being heard, pass such orders on the appeal as it may deem fit.
11. (4) Every order passed by the appellate authority shall be communicated to the appellant and to the licensing authority in such manner as may be prescribed 16C. Fees for filing Interlocutory Applications Fees for filing Interlocutory Applications.― Every interlocutory application prescribed by the Government and filed before the authorities under this Act specified below, other than those filed by officers empowered by Government, shall be accompanied by the following fees, namely:―
    • (a) before any Appellate Authority― one hundred and fifty rupees;
    • (b) before any Revisional Authority― One hundred and fifty rupees. 17. Penalty for carrying on business without licence or in violation of the conditions of licence Penalty for carrying on business without licence or in violation of the conditions of licence.― Whoever carries on the business of money lending without a licence or in violation of the conditions of the licence or otherwise than in conformity with the terms and conditions of the licence shall be punished with imprisonment for a term which, in the absence of special reasons to be recorded in the judgement of the court, shall not be less than three months but which may extend to three years and with fine which may extend to fifty thousand rupees.