11. Power to re-open certain transactions and appropriate excess interest towards loans.
(1)In any suit whether brought by a money-lender or by any other person in respect of a loon advanced before the commencement of this Act, the Court shall exercise all or any of the following powers as may be applicable to it, namely :(i)re-open the transaction, take an account between the parties and relieve the debtor of all liability in respect of any interest in excess of nine per centum simple per annum in the case of a secured loon other than a loan of grain and twelve per centum simple per annum in the case of an unsecured loan other than a loan of grain and twenty-five per centum simple per annum in the case of a loan of grain;(ii)notwithstanding any agreement purporting to close previous dealings and to create a new obligation, re-open any account already taken between them and relieve the debtor of all liability in respect of any interest, in excess of nine per centum simple per annum in the case of secured loan other than a loan of grain and 12 per centum simple per annum in the case of an unsecured loan other than a loan of grain and twenty-five per centum simple per annum in the case of a loan of grain;(iii)appropriate excess interest referred to in Clauses (i) and (ii) realised through Court or otherwise towards the satisfaction of the loan;(iv)set aside either wholly or in part or revise or alter any security given or agreement made in respect of any loan, and if the moneylender has parted with the security, order him to indemnify the debtor in such manner and to such extent as it may deem just :Provided that nothing contained in this sub-section shall be deemed to require the creditor to refund any sum which has been paid to him.(2)Where a decree passed by a Court on the 1st April, 1936 or thereafter, on the basis of a loan, remains unsatisfied in whole or in part on the date on which this Act comes into force, the Court which passed the decree, or the Court or other authority to which a decree is sent for execution shall on the application of the judgement-debtor, exercise all or any of the powers specified in Sub-section (1).Note-Clauses (i) and (ii) of Section 11 (1) are in force in the partially excluded areas of the Province, in the existing style, vide Orissa Laws Validating Regulation, 1942 (Orissa Regulation of 1943), Section 2 and Second Schedule.But in the areas other than the partially excluded areas of the Province,, the clauses were in force as under :(i)re-open the transaction, take an account between the parties and relieve the debtor of all liabilities in respect of any interest in excess of nine per centum simple per annum in the case of a secured loan and twelve per centum simple per annum in the case of an unsecured loan;(ii)notwithstanding any agreement purporting to close previous dealings and to create a new obligation, re-open any account already taken between them and relieve the debtor of all liability in respect of any interest, in excess of nine per centum simple per annum in the case of a secured loan and twelve per centum simple per annum in the case of an unsecured loan.
