ORDER

M.B. Shah, President - In the aforesaid complaint and revision petition, the questions, which require consideration are:

(1) Whether the Reserve Bank of India (hereinafter referred to as the RBI) is required to issue any circular or guidelines prohibiting the Banks/Non-Banking Financial Institutions/money lenders from charging interest above a specific rate

At this stage itself, it needs to be noted that, on the one hand, the rapid expansion of banking facilities and of access to credit facilities and on the other hand, it has led, as a result of the aggressive marketing practices adopted, especially, by the banks, which induce the unsuspecting customers to take loans, in one form or the other, for purchasing consumer goods and durables even when they are not quite needed. This makes these consumers debtors forever. Such indebtedness results in constant tension to repay the loans and the "EMIs" at times well beyond the borrowers /debtors' repaying capacity. The ill-effects of unaffordable EMIs are now being highlighted in the print and other media almost daily. In the case of motor vehicle loans, for example, the debtor/borrower is under constant tension that if he fails to pay