Notwithstanding anything contained in any other enactment in force for the time being,––
(a) in any suit or proceeding relating to a loan, the Court shall, before deciding the claim on the merits, frame and decide the issue, whether the creditor has complied with the provisions of clauses (a) and (b) of sub-section (1) of section 3 ;
(b) if the Court finds that the provisions of clause (a) of sub-section (1) of section 3 have not been complied with by the creditor, the Court shall, if his claim is established in whole or in part, disallow the whole or a portion of the interest found due, as may seem reasonable to the Court in the circumstances of the case and shall disallow costs ;
(c) if the Court finds that the provisions of clause (b) of subsection (1) of section 3 have not been complied with by the creditor the Court shall, in computing the amount of interest due upon the loan, exclude every period for which the creditor omitted duly to furnish the account as required by clause (b) of sub-section (1) of section 3 ; provided that if the creditor has, after the time prescribed in that clause, furnished the account and he satisfied the Court that he had sufficient cause for not furnishing earlier, the Court may, notwithstanding such omission, include any such period or periods for the purposes of computing the interest.
Explanation.—A person who has kept his account and sent his six monthly statements in the form and manner prescribed in clauses (a) and (b) of sub-section (1) of section 3 shall be held to have complied with the provisions of these clauses, in spite of errors and omissions, if the Court finds that the errors and omissions are accidental and not material and that the accounts have been kept in good faith with the intention of complying with the provisions of these clauses.