BALDEO SINGH Vs. STATE OF RAJASTHAN

JUDGEMENT

(1.) In these petitions, the father and son duo have prayed for quashing order dated 08.07.2009 demanding due loan amount as well as notice dated 23.04.2009 issued in relation to auction proceedings with the further prayer to issue No Objection Certificate in their favour. Brief facts giving rise to the present petitions are that the petitioners Baldeo Singh and Boota Singh applied for loan to the respondent Hanumangarh Kendraiya Sahakari Bank Limited and were sanctioned loan for fertilizer and seeds amounting to Rs.28,800 and 32,500 respectively on 27.06.2007 and 30.6.2007. As the loan amount could not be repaid timely, the respondent No.3 Bank filed applications before respondent No.2, the Prescribed Authority cum Executive Officer for recovery of due amount under Section 88 of the Rajasthan Cooperative Society Act 2001 showing amount due against petitioner Baldeo Singh Rs.35,750 and against petitioner Boota Singh Rs.39,600 as on 31.03.2009. The respondent Bank alongwith the applications also submitted statements of loan accounts. The Prescribed Authority, in its turn, issued notice to the petitioners calling them to deposit due amount within 30 days else to initiate recovery proceedings against them. On receipt of the notice, petitioners appeared before the Prescribed Authority on the dates fixed and claimed benefit under the Agriculture Debt Waiver and Debt Relief Scheme, 2008 in respect of which the respondent Bank itself had issued notification in local newspaper informing that as per the Scheme of the Central Government on one time deposit of 75% of the loan amount upto 30.06.2009, the eligible members of the Scheme shall be entitled to get relief of 25% in the loan amount. Relying on the said notification published in daily newspaper "Rajasthan Patrika" on 16.06.2009, the petitioners made applications showing their willingness to deposit 75% of the due amount and eventually deposited Rs.56,000 on 25.06.2009 before the last date notified for getting benefit of the Scheme. As per the petitioners after receiving desired amount instead of issuing No dues certificates the respondent by order dated 08.07.2009 demanded the outstanding loan amount with interest from the petitioners as aforesaid. The said order was passed under Section 99 of the Act of 2001.

(2.) The writ petitions came up on 7th of August 2009 and while admitting the same, this Court issued interim protection in favour of petitioners directing that in the meanwhile and until further orders coercive proceedings against the petitioners shall remain stayed. Reply to the writ petitions have been filed on behalf of respondents inter-alia stating that the petitioners are not entitled for benefit under the Agriculture Debt Waiver and Debt Relief Scheme, 2008 because as per said scheme they are not satisfying under-mentioned three conditions in respect of loans:

(3.) Laying emphasis on the conditions for applying the Scheme of 2008, the respondent Bank has pleaded that the loan amount was sanctioned and disbursed to the petitioners after March 2007, therefore, they are not eligible for claiming benefits of the Scheme. Pointing out that the petitioners were obliged to deposit entire outstanding amount, the proceeding initiated for recovery of the amount are in accordance with law and are not liable to be dropped.