By the Court.—Petitioner before this Court is a subsidiary bank of the State Bank of India. The Bank is stated to have entered into a loan agreement with the respondent Oswal Industries Ltd., Nawabganj, Bareilly, through its General Manager of providing credit facility to the tune of Rs.15 crores against the Warehouse Receipts of National Bulk Handling Corporation.

According to the petitioner bank, necessary agreement for advance against pledge stocks of sugar stored in the warehouse dated 18.12.2010 was also executed between the parties.

2. The Sugar Mill has defaulted in payment of the dues of the farmers in the last crushing season. Therefore, the State authorities have initiated proceedings for recovery of the money from the Sugar Mill as arrears of land revenue by attachment of stocks of sugar and its sale.

3. The Tehsildar and the Sub Divisional Magistrate, Nawabganj visited the go-down of National Bulk Handling Corporation (NBHC) and have drawn sample of the sugar available for the purpose of putting the same to auction so that the dues of the farmers could be liquidated. The aforesaid fact has been communicated by the Vice President of the Sugar Mill to the State Ba