- (1.) The present writ petition has been filed challenging the recovery certificate dated 14.10.2010 issued by the Assistant Collector II- Grade Jagadhri under the provisions of U.P. Public Moneys (Recovery of Dues) Act, 1972.
(2.) The crux of the submission is that the recovery since is of more than Rs.10 lacs, therefore, in view of the law laid down by the Apex Court in Unique Butyle Tube Industries (P) Ltd. vs. U.P. Financial Corporation and others, 2003 2 SCC 455, the recovery initiated under the U.P. Public Moneys (Recovery of Dues) Act, 1972 (hereinafter referred to as 1972 Act) is without jurisdiction and the dues could only be recovered by resorting to provisions of the State Financial Corporations Act, 1951 (hereinafter referred to as 1951 Act) or the Recovery of Debts Due to Banks and Financial Institutions Act, 1993 (hereinafter referred to as 1993 Act).
(3.) The petitioner was a partner in a firm, which availed of a term loan of Rs.9 lacs from the U.P. Financial Corporation on 9.10.1996. It is claimed that petitioner along with his family met with a serious accident, in which some of his family members died and petitioner also remain hospitalized for long periods, as a result whereof the petitioner could not pay the dues of the Corporation. The recovery proceedings were initiated and various litigations ensued at the instance of the firm and its partners, which need not be enumerated in detail. Suffice it to say that the factory premises of the firm was sold for a sum of Rs.5,40,000/- for the dues of the Corporation. The petitioner also claims to have deposited a sum of Rs.1,90,065/-. Petitioner's residential house was also auctioned for the dues of the Corporation for a sum of Rs.32.50 lacs and the same was adjusted for the dues of the Corporation. The recovery in question under the Act of 1972 has now been issued on 14.10.2010 for a sum of Rs.2,00,24,720/-. The recovery impugned under the 1972 Act has been challenged by the petitioner on the ground that the same is wholly unauthorized in view of law laid down in Unique Butyle Tube Industries (P) Ltd. and the only course available to proceed for any dues is by resorting to the 1951 Act or 1993 Act.;