M/S. P. Vaikunta Shenoy & Co vs P. Hari Sharma

The Supreme Court held that the plaintiff was not a money-lender as defined under Section 2(10) of the Karnataka Money Lenders Act, 1961, because the primary purpose of advancing loans was to ensure a regular supply of areca nuts, not to earn interest. The Court emphasized the need for purposive construction of statutes, stating that the object of the Karnataka Money Lenders Act is to prevent exploitation by money-lenders. Consequently, the appeal was allowed, and the High Court's decision to set aside the trial court's decree was overturned.