The petitioner, a Cooperative Society, sought a declaration that it was not liable to pay interest on cash credit accrued due to delayed government payments for commission. The Court held the writ application was not maintainable and declined to issue such an exemption direction.
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IN THE HIGH COURT OF JUDICATURE AT PATNA Civil Writ Jurisdiction Case No.2015 of 2022
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Kauriya Primary Agriculture Credit Cooperative Society Limited at Kauriya Panchyat, Haweli Kharagpur, District-Munger through its Chairman Shyam Sunder Singh, male, aged about 63 years, Son of Bhubneshwar Prasad, resident of Village - Khand Bihari, Kauriya, P.S. Haweli Kharagpur, District- Munger.
... ... Petitioner/s
Versus
... ... Respondent/s
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Appearance : For the Petitioner : Mr.Rakesh Kumar Jha, Advocate For the State : Mr.S. Raza Ahmad, AAG-5 For BSFC : Mr. Shailendra Kumar Singh, Advocate For the Bank : Mr. Bindhyachal Rai, Advocate ======================================================
CORAM: HONOURABLE MR. JUSTICE CHAKRADHARI SHARAN SINGH and
HONOURABLE MR. JUSTICE MADHURESH PRASAD ORAL ORDER
operative Society at Kauriya in the district of Munger. It has a grievance that various amounts under the head “Commission and other incidental expenditure” to it pertaining to kharif marketing seasons 2019-20 and 2020-
Patna High Court CWJC No.2015 of 2022(3) dt.13-05-2022 2/3
21 as well as Rabi marketing season 2021-22 are not being fully paid under the procurement drive scheme of the Government.
It is the petitioner’s further grievance that because of non-disbursement of the said amount, interest has accrued upon the cash credit granted by the Bank (Respondent No.7).
The petitioner is accordingly seeking a declaration from this Court that the petitioner is not liable to pay interest upon the cash credit subsequent to date of delivery of the procured item to the Bihar State Food & Civil Supplies Corporation Ltd.
In our opinion, this writ application seeking the relief, as noted above, is not maintainable. It is not desirable for this Court to issue a direction exempting the petitioner from payment of interest on cash credit allowed by the Bank. If it has any grievance against the BSFC or the State Government, it shall be at liberty to approach appropriate authority for due disbursement of the amount within the stipulated time. We, at the same time, refrain from commenting upon the petitioner’s claim in this regard.
Patna High Court CWJC No.2015 of 2022(3) dt.13-05-2022 3/3
This application stands disposed of with the
aforesaid observation.
(Chakradhari Sharan Singh, J)
(Madhuresh Prasad, J)
PNM U
2 issues framed by the court
Whether the writ court should grant a declaration that the petitioner is not liable to pay interest on cash credit following non-payment of procurement commission.
Whether the High Court can issue a direction exempting the petitioner from interest obligations owed to the Bank.
Kauriya Primary Agriculture Credit Cooperative Society Limited
State of Bihar
Chakradhari Sharan Singh
Madhuresh Prasad
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
