The Maharashtra Debt Relief Act, 1975
The Maharashtra Debt Relief Act, 1975
Finance197562 sections
This Act provides legal protection against overwhelming debt for a specific group of economically vulnerable people in Maharashtra. It applies to poor farmers, rural artisans, and workers who had very low incomes before 1975. The legislation allows these individuals to petition civil courts to reduce or cancel their loans so they do not face insolvency. This matters because it prevents the destitution of the state's poorest citizens, ensuring that essential households can maintain their livelihoods without collapsing under financial burdens.
- 1. Short title, extent and commencement.
- 2. Definitions.
- 3. Revival of all discharged debts under Ordinance VII of 1975.
- 4. Discharge of certain debts and consequences thereof.
- 5. Prohibition against disposal of pledged property, etc. and penalty.
- 6. Power of certain officers to enforce delivery of possession of property to debtor.
- 7. Creditor may dispute debtor’s claim.
- 8. Power of entry and search.
- 9. Creditor required to pay value of pledged property in certain cases.
- 10. Power of Authorised Officer to impose fine for frivolous or vexatious applications.
- 11. Bar of jurisdiction.
- 12. Suits involving issues required to be decided under this Act.
- 13. Agreement for labour in lieu of debt to become void.
- 14. Moratorium on debts of workers in certain cases.
- 14A. Temporary duration of Chapters IV and V.
- 15. Stay of proceedings in case of certain decrees.
- 16. Release of persons in detention in civil prison.
- 17. Relief against default in payment of installments.
- 18. Computation of time for execution.
- 19. Payment of certain decrees.
- 20. Transfer by small farmer to be voidable.
- 21. Restriction on amount of claim and interest in certain cases.
- 22. Commencement of Chapter V-A.
- 23. Definitions.
- 24. Application for adjustment of debts.
- 25. Every creditor and debtor to file true and correct statement before Court.
- 26. Assignee from non-debtor not entitled to benefit of this chapter.
- 27. Application for recording settlement.
- 28. Service of notice on debtor and creditor to submit statement of debts.
- 29. Debts in respect of which no application for adjustment or settlement is made to be extinguished.
- 30. Duties of debtors and creditors.
- 31. Preliminary issues.
- 32. Examination of creditor and debtor.
- 33. Mode of taking accounts.
- 34. In certain cases rent may be charged in lieu of profits.
- 35. Power of Court to declare certain transfers to be in the nature of mortgage.
- 36. Provisions of section 35 not to apply to certain transfers and transferees.
- 37. Court’s duty to determine particulars, value etc. of property.
- 38. Fraudulent alienations or encumbrances void.
- 39. Paying capacity of debtor.
- 40. Debts payable by debtor to be scaled down.
- 41. Award.
- 42. Ex-parte proceeding, if any party does not appear.
- 43. Award to be registered.
- 44. Execution of award.
- 45. Postponement of payment of installment in case of remissions, etc.
- 46. No alienation by debtor before discharge of debts valid.
- 47. Court may order sale of debtor’s property in liquidation of his debts.
- 48. Legal practitioners excluded from appearance.
- 49. Appeals.
- 50. Power of District Judge to refer for disposal certain appeals to Assistant Judge or Civil Judge empowered to hear appeals.
- 51. Court-fees.
- 52. Notice how served.
- 53. Provisions of Civil Procedure Code to apply to proceedings.
- 54. Bar of civil suits or proceedings.
- 55. Period of proceedings before courts under this chapter to be excluded.
- 56. Alienation of standing crop, etc., before repayment of loan prohibited.
- 57. Power to make rules.
- 58. Further exemptions.
- 59. Debts adjusted under any other laws not to be further adjusted under this Chapter.
- 60. Exemptions.
- 61. Repeal of Mah. Ord. VII of 1975 and savings.
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