NARENDRA KUMAR Vs. COLLECTOR

JUDGEMENT

(1.) The questions that arise for consideration in this petition are whether there is any limitation for recovering the sum due as arrears of land revenue under the U.P. Public Moneys (Recovery of Dues) Act, 1972, and if there is none, whether recovery can be made within reasonable time or it is open to recover at any point of time?

(2.) The petitioners constituted a registered partnership firm, known as Adarsh Aluminium Industries to manufacture Aluminium Utensils. On 22.10.1973 an application was made by the firm to the U.P. Financial Corporation, Ghaziabad (in brief the Corporation) for granting loan of Rs. 2,00,000/- (Rupees Two lakhs only) for establishing the unit. The Corporation on 15.5.1974 sanctioned a loan of Rs. 1,80,000/-. Out of he sanctioned amount a total sum of Rs. 1,38,700/was disbursed in instalments to the petitioners between 7.4.1975 to 17.7.1976. The entire amount of sanctioned loan was not disbursed, therefore, according to petitioners the unit could no go into production. The instalments were not paid, consequently the Corporation recalled the entire loan on 14.9.1978 and issued a recovery certificate on 2.1.1979 to the Collector under the U.P. Public Moneys (Recovery of Dues) Act, 1972 (in brief the Act) for recovering its dues as arrears of land revenue.

(3.) The Sub-Divisional Magistrate in recovery proceedings on 20.8.1981 auctioned the unit of the petitioners as well as the mortgaged Bhumidhari plot No. 439 belonging to the petitioner No. 2 Kailash Chand, area 6 Biswa and 15 biswansi, situated in village Khanpur, Pargana Dhar, Tehsil Anoopshahr, District Bulandshahr in favour of Shri Ved Prakash Sharma for Rs. 30,000/-. The personal assets of the petitioners were auctioned for Rs. 3,500/-. The Collector issued sale certificate on 20.8.1981. The petitioner No. 1 did not have any movable or immovable property and petitioner No. 2, after the auction sale, was left with no property. Only wearing apparels and utensils were spared. The Tehsildar after deducting the expenses, sent Rs. 30,134.50/- on 20.3.1982 to the Corporation along with a report that there remained no property or personal assets with the petitioners, therefore, no further recovery was possible from them. The recovery certificate was sent back by the Collector to the Corporation. Thereafter no effort was made either by the Corporation or by the Collector to recover any amount from the petitioners for about eighteen years.