SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2010 Supreme(Jhk) 169

AIR 2010 Jhar 116
IN THE HIGH COURT OF JHARKHAND AT RANCHI
M.Y. Eqbal and R.R. Prasad, JJ.
Binay Kumar Modi – Appellant
Vs.
State of Jharkhand and Ors. – Respondent
Decided On: 09.02.2010

Compliance with the statutory provisions under Sections 60 and 62 of the Bihar and Orissa Public Demand Recovery Act, including the requirement to deposit 40% of the certificate dues, is mandatory when filing a revision, irrespective of the nature of the decision.

Headnote:

Bihar and Orissa Public Demand Recovery Act - Certificate Dues - Section 10, Section 11, Section 62 - The court upheld the requirement for the certificate debtor to deposit 40% of the certificate dues at the time of filing a revision against any order passed by the Certificate Officer. The court also highlighted the importance of complying with the statutory provisions under Sections 60 and 62 of the Act, emphasizing that the requirement to deposit 40% of the certificate dues applies regardless of whether the matter is decided on merit or on technical grounds.

Fact of the Case:

The appellant defaulted on financial assistance from the State Bank of India, leading to certificate proceedings under the Bihar and Orissa Public Demand Recovery Act. The appellant filed a revision before the Collector, seeking a stay of the warrant issued by the Certificate Officer. The Single Judge directed the appellant to deposit 40% of the certificate dues, leading to the instant appeal.

Finding of the Court:

The court found that the appellant was required to deposit 40% of the certificate dues at the time of filing a revision, as mandated by Section 62 of the Act. The court upheld the Single Judge's decision and dismissed the appeal.

Issues: The main issue was whether the appellant was obligated to deposit 40% of the certificate dues in order to entertain the revision and obtain a stay of the warrant, as directed by the Single Judge.

Ratio Decidendi: The court held that the statutory requirement to deposit 40% of the certificate dues under Section 62 of the Act must be complied with when filing a revision, regardless of whether the matter is decided on merit or on technical grounds.

Final Decision: The appeal was dismissed, and the court upheld the direction for the appellant to deposit 40% of the certificate dues as mandated by the Act.

JUDGMENT

M.Y. Eqbal, J.

1. The instant appeal is directed against the judgment and order dated 11.12.2009 passed in W.P.(C) No. 5586/2009 whereby the learned Single Judge disposed of the writ application with a direction to the petitioner/appellant to deposit 40% certificate dues with the respondent-Bank and on such deposit Revisional Court shall stay the warrant issued by the certificate officer.

2. The facts of the case lie in a narrow compass.

The appellant was availing financial assistance from the respondent - State Bank of India. On default a certificate proceeding was initiated against the appellant under the Bihar and Orissa Public Demand Recovery Act. On being noticed appellant appeared before the certificate officer and filed objection under Section 10 of the said Act. The Certificate Officer, Dumka, who after considering the amendment petition filed by the respondent-Bank and also objection filed by the petitioner held that certificate dues claimed by the Bank against the appellant was correct, hence, Certificate Officer proceeded under Section 11 of the said Act. Against the aforesaid order of the Certificate Officer dated 25.7.2009 the appelant filed revision before the Collector, Dumka which was registered as certificate revision No. 1/2009-10. The appellant said to have filed application in the said revision for stay of bailable warrant issued by the Certificate Officer but instead of pursuing the revision the appellant filed the aforementioned writ petition on the ground that the stay application filed before the Collector, Dumka in the aforementioned revision could not be heard as the Collector was not holding Court.

3. The aforementioned writ petition has been dismissed by the learned Single Judge by passing the impugned judgment and order whereby he has directed the appellant to deposit 40% of the certificate dues and in the event of deposit the Collector, Dumka shall stay the wan ant issued by the Certificate Officer. Aggrieved by the said order passed by the learned Single Judge, the instant appeal has been filed by the appellant.

4. Mr Rajiv Sinha, learned Counsel appearing for the appellant assailed the impugned judgment and award mainly on the ground that direction to deposit 40% of the certificate dues in order to entertain the revision and for stay of the warrant is absolutely unwarranted and against the principle of law. Learned Counsel submitted that the appellant moved in revision against the order by which petition for amendment of the certificate filed by the respondent-Bank was allowed and not against the order by which the liability of the appellant was determined by the Certificate Officer under Section 10 of the Act. Hence, according to the learned Counsel, there was no need to comply the statutory requirements of deposit of 40% of Section 62 of the Act.

5. Section 62 of the Bihar and Orissa Public Demand Recovery Act empowers the Collector to revise any order passed by the Certificate Officer exercising power under the said Act. For better appreciation, Section 62 of the Act reads as under:

62. Revision - The Collector may revise any order passed by a certificate officer, Assistant Collector or Deputy Collector under this Act; the Commissioner may revise any order passed by a Collector under this Act; and the Board of Revenue may revise any order passed by a Commissioner under this Act;

[Provided that no revision petition shall be entertained by any authority unless the certificate debtor deposits deposits forty per cent of the certificate dues at the time of its filing:

Provided further that no certificate debtor shall be called upon to do so if he has already deposited this amount at any earlier stage.]

6. From bare perusal of the aforesaid provision, it is clear that revision is maintainable before the Collector against any order passed by the certificate officer and is not restricted to any final order. The proviso to the aforesaid section made it mandatory fir the certificate debtor to deposit 40%







Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
Judicial Analysis

AI

SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top