(1) Every money-lender shall, on demand made in writing by the debtor furnish to the debtor or, if the debtor so requires, to any person authorised by him in that behalf, a statement of account duly signed by the money-lender or his agent, showing: — Other duties of money Lenders.
(a) the amount of principal and the amount of interest due to the money-lender, and the date of the loan;
(b) the amount of every payment received by the moneylender in respect of the loan and the date of each such payment;
(c) the payments, if any, credited towards interest and the payments, if any, credited towards the principal;
(d) the amount of principal remaining unpaid and the interest thereon; and
(c) such other particulars as may be prescribed:
Provided that where a money-lender has complied with such demand, the debtor shall not make a further demand for a statement of account in respect of the same loan within a period of six months from the date of such compliance.
(2) A person to whom a statement of account has been furnished under sub-section (1) shall not be bound to acknowledge or deny its correctness, and his failure to object to the correctness of the account shall not by itself be deemed to be an admission of the correctness of such account.
(3) If a money-lender to whom a demand has been made under this section, fails without reasonable cause to comply therewith within one month from the date of such demand, he shall not be entitled to any interest for the period of default.
15. (I) Where an officer specially empowered in this behalf by the Chief Commissioner, has reason to believe that the accounts required to be maintained under this Regulation by a money-lender are not properly maintained by him, such officer may call upon the money-lender to produce all his books of account for inspection and such money-lender shall be bound to produce all such books.
Inspection of accounts.
44^ THE GAZETTE OF INDIA E X T R A O K C I N A R Y [PART II
(2) If from such inspection it appears that the money-lender has committed any offence under this Regulation, such officer may cause proceedings to be instituted against him in the court having jurisdiction to try the offence.
CHAPTER IV INTEREST AND OTHER CHARGES
16. (I) The Chief Commissioner may, in consultation with the Central Government and, having regard to the prevailing rates of interest in the Islands, fix from time to time, by notification in the Official Gazette, the maximum rate of interest which a moneylender may charge, and different rates of interest may be fixed for different areas and in respect of secured loans and unsecured loans.
Maximum rate of interest,
(2) Notwithstanding anything contained in any law for the time being in force, no agreement between a money-lender and a borrower for payment of interest at a rate exceeding the maximum rate fixed by the Chief Commissioner under sub-section (1) shall be valid, and no court shall in any suit to which this Regulation applies award interest at a rate exceeding such rate.