Amendment status not verified — confirm the current text below against the official source.
Discharge of debt.—Notwithstanding anything contained in any other law for the time being in force, or in any contract or other instrument having force by virtue of any such law, or in any decree or order of court, with effect on and from the commencement of this Act- (a) every debt and the interest thereon payable by a debtor to a creditor shall be deemed to be wholly discharged; (b) no civil court shall entertain any suit or other proceeding against debtor for the recovery of any debt or part of a debt or any interest thereon; (c) all suits and other proceedings (including appeals, revision petitions, applications for review, proceedings for attachment and execution proceedings) pending at such commencement against any debtor for the recovery of any debt shall abate: Provided that nothing in this clauses shall apply to— (i) the sale of any movable property conducted and concluded before the commencement of this Act; 6 (ii) the sale of any immovable property confirmed before such commencement: Provided further that where a suit or other proceeding is instituted jointly against a debtor and any other person, nothing in this section shall apply to the maintainability of such suit or other proceeding in so far as it relates to such other person; (d) every debtor undergoing detention in a civil prison in execution of any decree for money passed against him by a civil court in respect of any debt shall be released; (e) every movable property pledged by a debtor before the commencement of this Act shall stand released in favour of such debtor and the creditor shall be bound to deliver possession of such property to the debtor; (f) every mortgage executed by a debtor in favour of creditor shall stand redeemed and the creditor shall be bound to deliver possession of the mortgaged property to the debtor. Explanation I.—In this section, the term ‘suit' shall not include a claim to a set off made in a suit instituted by a debtor. Explanation II.—For the purposes of this section, a suit in which a decree in respect of a debt is prayed for shall be deemed to be a suit for the recovery of the debt notwithstanding that other reliefs are prayed for in such suit, and a decree shall be deemed to be decree in respect of a debt notwithstanding that other reliefs are granted in such decree: Provided that a suit or decree for possession of land shall not be deemed to be a suit for recovery of, or a decree in respect of, a debt by reason merely of mense profits being also prayed for or included in such suit or decree. Explanation III.—Nothing in this section shall debar a decree-holder from enforcing reliefs other than in respect of a debt, where the decree-contains independent reliefs. Explanation IV.—Nothing in this section shall be construed as entitling any debtor to the refund of any part of any debt or interest thereon already repaid by him or recovered from him before the commencement of this Act.