Quashed

Chandan Kumar Tiwary v. The State Of Bihar and Ors.

Patna HC10 Jul 2014CWJC/11500/2014

Case brief

AI extract

What is this about?

The High Court quashed an arrest warrant issued by the Certificate Officer under the Bihar Public Demand Recovery Act. The court directed the petitioner to approach the Certificate Officer for a personal hearing before the Officer adjudicating the objection under Section 9 of the Act.

What did the court decide?

The order dated 20.06.2014 issuing the bailable warrant was quashed. The petitioner is directed to appear before the Certificate Officer with his objection by 11th August 2014.

Chandan Kumar Tiwary Vs The State Of Bihar… — Contract and Commercial Disputes | Patna HC (2014)

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IN THE HIGH COURT OF JUDICATURE AT PATNA Civil Writ Jurisdiction Case No.11500 of 2014

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Chandan Kumar Tiwary s/o Sri Prem Kumar Tiwary, r/o Mohalla Pandariwa Lane, P.O. Jhauganj, Poice Station Khajekala Patna City, District Patna.

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.... .... Petitioner/s

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Versus 1.The State of Bihar. 2.Central Bank of India through its Branch Manager, Jhauganj Branch, Patna City (Patna).

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3.Certificate Officer, Patna City (Patna.). 4.The Government of India through the Principal Seceretary, Ministry of Finance, New Delhi.

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.... .... Respondent/s

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====================================================== Appearance : For the Petitioner/s : Mr. Rabindra Kumar, Adv For the Respondent/s : Mr. Ajit Kumar Sinha & Ajay Kumar Sinha, Advocates. For the Union of India : Mr. Satya Prakash Tripathy, Sr. S.C. ====================================================== CORAM: HONOURABLE MR. JUSTICE MIHIR KUMAR JHA ORAL ORDER

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2 10-07-2014

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Heard learned counsel for the parties as with

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regard to the following relief prayed in this writ application:-

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"Quashing the entire proceeding of the certificate case no. 215 of 13-14 pending in the Court of respondent no. 3 including the order dated 20.06.2014 by which warrant of arrest has been issued against the petitioner for realization of the alleger certificate amount (Annexure-2) and further a writ in the nature of mandamus commanding the respondents to forbear from executing the aforesaid warrant against the petitioner."

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Patna High Court CWJC No.11500 of 2014 (2) dt.10-07-2014

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Having regard to the admitted position that the petitioner has already been served with a notice under Section-7 of the Bihar Public Demand Recovery Act, 1914 (hereinafter referred to as the Act) in Certificate Case No. 215/13-14 and in fact has already appeared by filing Vakalatnama on 21.04.2014, he in all fairness instead of moving this Court ought to have filed his objection under Section-9 of the Act in order to get the issue of his liability thrashed out, which is now sought to be raised before this Court. The fact as to whether there is a scheme of Central Government or whether that scheme is applicable to the case of the petitioner or the petitioner will have no liability to pay the amount of loan can only be gone into by the Certificate Officer in the light of the objection raised by the petitioner. The petitioner having failed to do so before the Certificate Officer cannot be permitted to raise all those issues in the first instance before a writ Court.

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This court, however finds that the Certificate Officer has also not acted in a proper manner. If the

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Patna High Court CWJC No.11500 of 2014 (2) dt.10-07-2014

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petitioner after his appearance in the certificate proceedings had not filed the objection under Section 9 of the Act, the Certificate Officer ought to have at least recorded it that in the prescribed period no objection was filed by the petitioner and therefore, the liability was admitted. Let it be noted that the petitioner was being represented through his counsel who was also present on 20.6.2014 and therefore, this Court cannot appreciate the mechanical manner in which the bailable warrant of arrest has been issued against the petitioner by an order of Certificate Officer dated 20.6.2014. There was infact no justification for the Certificate Officer to take coercive action if the petitioner was represented and very much present through his counsel. Such orders passed by the Certificate Officer would only go to show either his predetermined mind or lack of procedural knowledge to deal with certificate cases.

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In that view of the matter, the order dated 20.06.2014(Annexure-2) is hereby quashed. The petitioner is directed to appear before the Certificate

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Patna High Court CWJC No.11500 of 2014 (2) dt.10-07-2014

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Officer in person along with his objection on or before 11^th of August, 2014. If the petitioner appears before the Certificate Officer and files his objection under Section9 of the Recovery Act, the Certificate Officer shall afford opportunity of personal hearing to the petitioner either by himself or through his counsel and after hearing learned counsel and/or representative for the Bank, he would pass a reasoned order under Section-9 of the Act disposing of the objection of the petitioner.

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It, however, also goes without saying that if the petitioner is further aggrieved on account of any order adverse passed under Section-9 of the Act he will have the statutory alternative remedy under Section-60 and 62 of the Act by way of both appeal and revision.

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With the aforementioned observations and direction, this application is disposed of.

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(Mihir Kumar Jha, J)

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Ranjan/U

Chandan Kumar Tiwary v. The State Of Bihar and Ors.

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Chandan Kumar Tiwary v. The State Of Bihar and Ors.

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