Amendment status not verified — confirm the current text below against the official source.
Determination of past debts.─(1) If the cash paid or the value of the thing given under the bonded labour system before the commencement of this Act has not been repaid in whole or in part before such commencenent, either in cash or by performing labour or personal service, the Govermment may, by notification in the Gazette, require─ (a) the creditor to file all his claims and to produce all his books of account or other documents in support of such claims; (b) the debtor to file all his objections, before the Revenue Divisional Officer within whose jurisdiction the debtor ordinarily resides, within such period as may be specifed in the notification. (2) Any creditor who fails to file his claims within the period referred to in sub- section (1) shall, on the expiry of such period, have no right of action against the debtor, and the debt shall be deemed to have been discharged. (3) No book of account or other document which has not been produced before the Revenue Divisional Officer within the period referred to in sub-section (1) shall be admitted as evidence in support of the claims of the creditor. (4) The Revenue Divisional Officer shall, after considering the claims and objections filed under sub-section (1) and examining the books of account and other documents produced under that sub-section and after giving the creditor, the debtor and any other person interested an opportunity of being heard, by order determine─ (a) the amount of the debt payable by the debtor to the creditor; (b) the interest, if any, payable on such debt; (c) the number and periodicity of instalments in which the debt including interest, if any, is payable and the amount payable at each instalment: Provided that such interest shall not exceed the average rate of interest prevalent in the locality for a period of three years immediately preceding the date of commencement of this Act: Provided further that the period between two instalments shall not be less than three months and the amount payable at an instalment shall not exceed ten rupees. (5) If the principal amount of the debt together with the interest payable thereon till 4 the commencement of this Act would exceed twice such principal amount, the total amount of the debt together with the interest that would have been due from the debtor if he had not repaid any part of the principal amount of the debt shall, for the purpose of calculating the amount of debt due from the debtor to the creditor, be deemed to be twice such principal amount, and in such cases the amount of the debt payable by the debtor shall be the difference between twice the principal amount of the debt and the amounts already repaid by him, whether in cash or in kind or by performing labour or personal service. (6) For the purposes of this section, the money value of labour or personal service performed by a debtor shall be determined taking into account the number of days on which the debtor had performed labour or personal service and the wages prevalent in the locality for such labour or personal service when it was performed.