Amendment status not verified — confirm the current text below against the official source.
If the loan actually made be less than the amnunt In tbo sum entered in the bond or hand note the bood than ac· • 1 tua111 tant. money-lender shall be gmlty of a oontra;yention of tho proTieions of this Act and shall, on con- viction, be punishable with fine not exceeding two hundred rupees. l..L.t ,,. Prohibition °1 4· Any contract madera£ter the oommence- co mp o u u d · ,1. lntero'!l and ment of this Act for the loan of money by a 1>ro•ls1ons ft8 to l d b ll b .11 l . f . dofaultiug. money- en er s a e 1 P.ga 1tl • so ar as it provides directly or indirectly for tho payment of compound interest or for the rate or amount of interest being increased by reason of any default in the payment of s11ms due under the contra.ct : Slmpl~ Into. /; Provided that provision may be made by any rut In caso or b h t if d f l · ad · h dolault. sue contract t a e au t ts m e mt o pay- ment upon the due date of any sum pa.yable to the money-lender under the contract, whether in respect of principal or interest, or both, the money lender shall be entitled to charge simple interest on that sum from the date of the default until the sum is paid, at a rate not exceeding the rate payable in respect of the principal apart from any default, and any interest so charge1I shall not be reckoned for the purposes of this Act as ert of the interest charged in respect of the loan . .] ~ Prohlb!Uoo