MICKY PALTA Vs. STATE OF UTTARAKHAND

JUDGEMENT

(1.) PETITIONERS took a term (commercial) loan from the Panjab National Bank for establishing and running brick -kiln in the month of October, 2010. When petitioners could not pay the outstanding amount of the loan, recovery certificate was issued by the bank to the Collector, Haridwar to recover the outstanding amount along with interest as arrears of land revenue under the U.P. Public Moneys (Recovery of Dues) Act, 1972, whereupon a citation was issued by the Tehsildar, Roorkee to effect the recovery against the petitioners. Feeling aggrieved, petitioners approached this Court by way of present writ petition.

(2.) THE sole question involved in the present case is to whether amount of term (commercial) loan can be recovered as arrears of land revenue under the provisions of U.P. Public Moneys (Recovery of Dues) Act, 1972? Sub Section (1) of Section 3 of the Act, 1972 reads as under:

(3.) HAVING perused Section 3 of the Act carefully, I have no hesitation to hold that Recovery of dues can be made as arrears of land revenue, if debtor is a party to an agreement relating to a loan, credit in respect of hire - purchase of goods sold to him by the State Government or the Corporation, by way of financial assistance; or if amount is due relating to hirepurchase of goods sold to him, by a banking company or a State company under a State sponsored scheme; or such debtor is a party to an agreement relating to guarantee given by the State Government or the Corporation in respect of loan raised by any industrial concern; or loan agreement provides that loan shall be recoverable as arrears of land revenue.