Amendment status not verified — confirm the current text below against the official source.
Relief to borrower from coercive action by the unlicensed and unregistered Micro finance institutions or Money Lending Agencies or Organizations or Lender.- Notwithstanding anything in any law for the time being in force or in any contract or instrument having force by virtue of any such law and save as otherwise expressly provided in this Act, with effect from the date of commencement of this section,- (a) Every loan advanced before the commencement of this section including the amount of interest, if any, payable by the borrower to Micro finance institutions or Money Lending Agencies or Organizations or Lender shall be deemed to be wholly discharged for "Vulnerable section of the society" if unregistered and unlicensed Micro finance institutions or Money Lending Agencies or Organizations or Lender resort to coercive action. (b) No Civil Court shall entertain any suit or proceeding against the borrower for the recovery of any amount of such loan including interest, if any: Provided that, where a suit or proceeding is instituted jointly against the borrower and any other person nothing in this section shall apply to the maintainability of the suit or the proceeding in so far as it relates to such other person. (c) All suits and proceedings (including appeals, revisions, attachments or execution proceedings) pending on the said date against any borrower for the recovery of any such loan shall abate.