.....(hereinafter referred to as the said Act), would apply and which are pending on, or are instituted on or after, the date of the commencement of this Act. Section 2 - Amendment of section 3, Act X of 1918 In section 3 of the said Act- (i) in sub-section (1), for the words, letters and brackets beginning with "has reason to believe" and ending with "any of the following powers, namely, may,", the following shall be substituted, namely:- "has reason to believe that the transaction was, as between the parties thereto, substantially unfair, the Court shall exercise one or more of the following powers, namely,-" (ii) the Explanation to the same sub-section shall be renumbered as Explanation II and the following shall be Inserted as Explanation I, namely:- "Explanation I.- If the interest is excessive, the Court shall presume that the transaction was substantially unfair; but such presumption may be rebutted by proof of special circumstances justifying the rate of interest."; (iii) to clause, (b) of sub-section (2)", the following proviso shall be added, namely "Provided that in the case of loans to agriculturists, if compound interest is charged, the Court shall presume.....
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