A BILL............MONEY-LENDING 277
the court shall exercise one or more of the following powers, namely—
(i) re-open the transaction, take an account between the parties and relieve the debtor of all liability in respect of any excessive interest,
(ii) notwithstanding any agreement, purporting to close previous dealings and create a new obligation, re-open any account already taken between them and relieve the debtor of all liability in respect of any excessive interest, and if anything has been paid or allowed in account in respect of such liability, order the money-lender to re-pay any sum which it considers to be re-payable in respect thereof,
(iii) 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 money-lender has parted with the security, order him to indemnify the debtor in such manner and to such extent as it may deem fit.
Certain transactions not to be re-opened
39. In the exercise of the powers conferred by section
38 the court shall not—
(i) re-open any agreement purporting to close previous dealings and to create a new obligation which has been entered into by the parties or any person from whom they claim at a date more than twenty years from the date of the transaction, or
(ii) do anything which affects any decree of a court.
Explanation.— In the case of a suit brought on a series of transactions for the purposes of clause (i)of section 38 the expression “transaction” means the first of such transactions.