- (1.) The petitioner was sanctioned a term loan of Rs. 4,21,800/- by U.P. Financial Corporation (for short, "the Corporation") to establish a plastic industry. It is stated that later, an additional loan of Rs. 1,21,000/- was sanctioned by the Corporation. To secure the said loan, the petitioner had mortgaged some land to the Corporation and also executed loan agreement dated 22.11.1985 wherein the schedule of repayment was provided. One of the conditions in the agreement was that the Corporation can recall entire loan in case of default.
(2.) In paragraph-8 of the writ petition it is admitted by the petitioner that he has made default due to loss in his business. The first respondent initiated recovery proceedings against the petitioner in terms of the agreement. A citation dated 23.12.1993 was issued to the petitioner under the provisions of the U.P. Public Moneys (Recovery of Dues) Act, 1972 for recovery of a sum of Rs. 12,32,780.58 as arrears of land revenue. The said citation was challenged by the petitioner by means of Civil Misc. Writ Petition No. 765 of 1994 and the Court stayed the recovery proceedings vide interim order dated 4.1.1994. The said writ petition was dismissed on 7.7.1995 for non-prosecution. There is nothing on the record to show that the petitioner made any effort to get the writ petition restored. It appears that in compliance of the interim order, Corporation did not proceed further.
(3.) The Corporation issued another notice to the petitioner on 19.6.2007 calling upon the petitioner to pay the outstanding amount of Rs. 1,43,99,413.04 (one crore forty three lacs ninety nine thousand four hundred thirteen rupees and four paise). The petitioner has challenged the said auction by means of the present writ petition. The petitioner has prayed amongst other for the following reliefs: "I) Issue a writ, order or direction in the nature of certiorari to quash the demand notice dated 19.6.2007 issued by respondent no. 2 (Annexure No. 3 to the writ petition). II) Issue a writ, order or direction in the nature of certiorari to quash the auction sale dated 28.9.2006 after summoning the record from the office of Respondent no. 2 in respect of the land mortgaged by the petitioner with respondents." A perusal of the relief shows that the petitioner has also challenged the auction of the mortgaged property of the year 2006. ;