Vivek Chaudhary, J. - (1.) Present writ petition is filed by the Bank challenging the order dated 06.04.1999 passed by the Co-operative Tribunal, U.P., Lucknow in Appeal No. 2 of 1995 filed by the Lucknow Producer Co-operative Milk Union, Lucknow, respondent no.1 (Milk Union).
(2.) Facts of the case are that Milk Union had taken a Cash Credit Loan from the petitioner bank for purposes of its milk business. It is claimed by the bank, though disputed by the respondents, that certain amount on interest etc. on the aforesaid cash credit loan was due against the Milk Union. For the said reasons the bank filed a claim under Section 15 of the U.P. Agriculture Credit Act, 1973 (Credit Act, 1973) read with Section 70 U.P. Co-operative Societies Act before the Registrar. The Additional Registrar allowed the claim of the petitioner. Against the order of the Additional Registrar an appeal was filed under Section 17(3) of the Credit Act, 1973 by the Milk Union, which is allowed by the Tribunal and the order of the Tribunal is now under challenge in the present writ petition. The Tribunal has found that the loan taken by the Milk Union does not come within the definition of 2(a) agriculture or agricultural purpose and 2(e) financial assistance and, therefore, section 15 of the Credit Act, 1973 shall not apply and has left it open for the bank to take proceedings before the appropriate Court.
(3.) Learned counsel for petitioner has strongly argued that it is not disputed that the loan was taken by the respondents Milk Union, which is a co-operative society, and, therefore, procedure provided by Chapter-V, Sections 13 to 15 of the Credit Act, 1973 will apply on the same, which is followed by the Bank. As per the procedure provided under the aforesaid sections, an application was moved under Section 15 before the Registrar who has rightly decided the dispute and the order of the Tribunal on appeal is not correct.;