ERDEM-NEWSLETTER-2018-metin

364 NEWSLETTER 2018 Although the application of interest in the case of lending money in the course of commercial life is usual, in the decisions of the Court of Appeal 2 , without considering whether the transactions are com- mercial transactions, it is deemed sufficient to apply interest for the existence of the material element of the crime. On the other hand, there are various regulations preventing inter- est-free lending in commercial transactions. In the ongoing sections, regulations concerning lending, and the regulations on interest-free loans, will be evaluated. Code of Obligations Money lending is regulated under Article 386 of Turkish Code of Obligations No. 6098 (“TCO”) under the concept of “consump- tion loans”. It is regulated under Article 387 of the TCO that interest may be demanded for commercial loans, in any event, and for regular loans, if agreed to by the parties. Additionally, Article 388 of the TCO foresees the designation method of interest rates in the cases in which the parties have not agreed upon the same. Also, the last paragraph of the Article forbids the application of compound interest. Within this scope, under the TCO, in both commercial and regular loans, interest is allowed. Capital Market Law Pursuant to Article 21/1 of Capital Market Law No. 6362 (“CML”), it is forbidden for publicly-held corporations and collective investment schemes and their subsidiaries and affiliates to transfer income to real persons or legal entities with whom they have a direct or indirect relationship in terms of management, audit or capital, by decreasing their profits or their assets, or by preventing the increase of their profits or their assets through performing transactions, such as making contracts or commercial practices containing different prices, 2 Decision of 5th Chamber of Court of Appeal, 19.6.2018, No. 2016/5192 E. 2018/4511 K.; Decision of 15th Chamber of Court of Appeal, 03.10.2018, No. 2015/9915 E. 2018/6260 K.