DEVENDRA SINGH BISHT Vs. STATE OF UTTARAKHAND

JUDGEMENT

(1.) PRESENT petition is filed assailing the citation notice, annexure No.3 to the writ petition. Undisputedly, respondent No. 7 borrower has taken loan of Rs.10.,28,500/ - from the respondent No.6 Almora District Cooperative Bank; according to the bank, borrower has mortagaged his property to secure the borrowed money and petitioner as well as Kundan Singh stood guarantors.

(2.) LEARNED counsel for the petitioner submits that as per Section 70 of the Uttaranchal Co -operative Societies Act, 2003, when a demand for payment of amount due is made and is either refused or not complied with whether such claims are admitted or not by the opposite party, should be referred for the arbitration to the Registrar Cooperative Societies and without making reference to the learned Arbitrator as per Section 70 of the Act, Cooperative Bank is not authorised to issue recovery certificate to the revenue authorities to recover the alleged amount due as arrears of land revenue. Section 70 of the Act reads as under : -

(3.) AS per Sub -section (2) (a) of the Act, claim for amounts due when a demand for payment is made and is either refused or not complied with by the opposite party, shall be referred for arbitration to the Registrar Cooperative Societies.