(1.) This writ petition under Article 226 of the Constitution has been filed for quashing of the citation dated 29.12.2000 asking the petitioners to deposit Rs. 8,76,449.
(2.) The petitioner Nos. 1 to 4 are partners of petitioner No. 5 which is a registered partnership firm carrying on business in Sirsa Bazar. Allahabad. The firm opened a current account in the State Bank of India. Branch Sirsa Bazar, and was granted a cash credit facility with a limit of Rs. 6 lakhs. An overdraft facility was also provided by the bank. It appears that the petitioners did not keep their account in order and did not deposit the dues of the bank. The bank accordingly sent a certificate to the Collector to recover the amount under U.P. Public Moneys (Recovery of Dues) Act, 1972. The Collector accordingly initiated proceedings to recover the amount as arrears of land revenue and Tehsildar, Meja, thereafter issued a citation to the petitioners asking them to deposit the amount which has been impugned in the present writ petition.
(3.) Sri R. N. Kesari, learned counsel for the petitioners has submitted that the provisions of U.P. Public Moneys (Recovery of Dues) Act, 1972, cannot be invoked to recover the dues of the bank. He has placed reliance on a Full Bench decision in Smt. Sharda Deui v. State of U.P., 2001 ALR 156, wherein it has been held that a banking company can recover only such loan under U.P. Public Moneys (Recovery of Dues) Act. 1972, which has been advanced or paid under a State Sponsored Scheme and not any other type of loan. Learned counsel has urged that since the petitioners had not been given loan under any State Sponsored Scheme but had been given a cash credit facility, the dues of the bank cannot be recovered under the aforesaid Act. There can be no quarrel with the proposition of law urged by the learned counsel for the petitioners. The petitioners had not been given any loan by the State Bank of India under any State Sponsored Scheme but had been given a cash credit facility and, therefore, the provision of U.P. Public Moneys (Recovery of Dues) Act, 1972, cannot be availed of in order to recover the dues of the bank. But the question still remains whether in the facts and circumstances of the case, the petitioners are entitled to claim such a relief in the present writ petition under Article 226 of the Constitution.