M. M. KUMAR, J.

1. This petition filed under Article 226 of the Constitution prays for quashing notice dated 31-1-2007 (P-5), issued to the petitioner under Sec.32g of the State Financial Corporations Act, 1951 (for brevity, the Act ). The notice has been issued by the respondent to effect recovery of Rs.35,49,788/- and another amount of rs.86,24,163/- with further interest at the rate of 9% per annum from 1-6-2006 and 1-9-2006 respectively, with half yearly rests until realization besides other expenses. It is appropriate to mention that under section 32g of the Act, the recovery is to be effected as arrears of land revenue.

2. Brief facts may first be noticed. The petitioner has been a partner in the firm m/s. Annapurna Udyog, Kaithal. The aforesaid firm was sanctioned term loan by the respondent on 28-12-1992, amounting to rs.12.15 lacs. Earlier to that another amount of Rs.4.50 lacs on 10-9-1991 was also sanctioned. According to the terms and conditions of the loan agreement, the land, plant, building and machinery (P-1 and P-2)were mortgaged With the respondent. In addition, the firm had also furnished a collateral security by creating a mortgage of six marlas of land