G.S.SANDHU, J. - (1.) THIS is a revision petition under Section 69 of the Punjab Cooperative Societies Act, 1961 (hereinafter referred to as the Act) against order dated 6.6.2006 passed by the Registrar Cooperative Societies, Punjab, Chandigarh and order dated 10.2.2006 passed by the Additional Registrar (A), Cooperative Societies, Punjab, Chandigarh.
(2.) M /s All Asia Wine Traders (Pvt.) Ltd., Regd. Office 3015, Sector 35-D, Chandigarh had approached the Punjab State Cooperative Bank Ltd., Chandigarh (hereinafter referred to as the Bank) for a cash credit limit of Rs. 1.00 crore, which was sanctioned to him on 12.04.1998. The agreed rate of interest was 17% which was to be charged on daily balance quarterly and penal interest of 3% to be charged in case of default. The petitioner Company was unable to pay the loan amount due to slump in the business. As on 30.6.2002, a sum of Rs. 89,00,379.79 were due towards the Company. The Bank filed a reference under Section 55/56 of the Punjab Cooperative Societies Act, 1961 (hereinafter referred to as the Act). The Addl. Registrar (D), Cooperative Societies, Punjab decided the case that the Bank will not capitalize the interest on quarterly basis but it will capitalize on half yearly basis i.e. on 30th September and 31st March of every year. All the respondents shall be jointly and severally responsible for the repayment of principal and interest thereon, vide their order dated 24.2.2003. Aggrieving the orders of Addl. RCS, Punjab, the Company filed an appeal under Section 68 of the Act before the RCS, Punjab against the award dated 24.2.2003. The RCS, Punjab dismissed the appeal vide order dated 11.06.2003 as the appellant had failed to file the appeal within the stipulated period. The Petitioner filed revision petition before the Government, which was remanded back to RCS, Punjab for decision on merits vide order dated 5.12.2003. The RCS, Punjab remanded the appeal vide his order dated 20.10.2004 to the Addl. Registrar (D) to decide it fresh with regard to variance in stipulations regarding charging of rate of interest from the appellants by the Bank. The Additional Registrar (Admn.), Cooperative Societies, Punjab heard the reference under Sections 55/56 of the Act and decided as follows on 10.02.2006 : i) the second party shall pay outstanding amount @ 16% simple interest which shall be compounded on half yearly basis. No penal interest shall be chargeable from the party. ii) the party shall pay 25% of the outstanding amount within 1-1/2 month w.e.f. 1.3.2006 and the balance amount shall be paid within one year in monthly installments by way of post dated cheques. iii) the party may request the Bank for one time settlement under OTS scheme and the Bank shall consider request of the party positively but remaining within the parameters as mentioned above Aggrieved with this, the petitioner filed an appeal under Section 68 of the Act before the RCS, Punjab who dismissed the appeal on 6.6.2006 and held that the petitioner is using various technicalities on one pretext or the other to postpone the recovery of a huge amount due against him. Aggrieved with this order, the petitioner has filed the present revision petition.
(3.) I have heard the counsel for the petitioner. The basic argument tendered by the counsel is that the petitioners have not been given adequate benefits and as per the policy of the Bank, he is entitled to further relief. The counsel further argued that instead of going to the arbitration under Sections 55/56 of the Act, recovery proceedings should have been filed before the Debt Recovery Tribunal.;