Ajay Kumar v. The State Of Bihar And ORS

IN THE HIGH COURT OF JUDICATURE AT PATNA

Civil Writ Jurisdiction Case No.8415 of 2016 ======================================================

1. Ajay Kumar son of Late Kailash Yadav Resident of village - Hawanpura, P.O. Bhandari, P.S. Rahui, District - Nalanda, proprietor Maa Lakshmi Rice Mill, Hawanpura, P.O. Bhandari, P.S. Rahui, District - Nalanda. .... .... Petitioner/s

Versus

1. The State of Bihar through the District Magistrate, Nalanda at Biharsharif.

2. The District Magistrate, Nalanda at Biharsharif, District - Nalanda at Biharsharif.

3. The District Certificate Officer, Nalanda at Biharsharif, District - Nalanda at Biharsharif.

4. The Bihar State Food and Civil Supplies Corporation Ltd. Sone Bhawan, Birchand Patel Path, Patna through the Managing Director.

5. The Managing Director, Bihar State Food and Civil Supplies Corporation Ltd., Sone Bhawan, Birchand Patel Path, Patna.

6. The District Manager, State Food Corporation, Nalanda at Biharsharif, District - Nalanda at Biharsharif.

.... .... Respondent/s ====================================================== Appearance :

For the Petitioner/s : Mr. Shashi Bhushan Kumar Manglam For the State : Mr. Rajesh Kumar, A.C. to G.P.3 For B.S.F.C. : Mr. Aditya Prakash Sahay ====================================================== CORAM: HONOURABLE MR. JUSTICE RAMESH KUMAR DATTA ORAL ORDER 06-09-2016 Heard learned counsel for the petitioner and learned counsels for the State and for the Bihar State Food and Civil Supplies Corporation Ltd.

The writ application has been filed for quashing the order dated 08.03.2016/15.03.2016 passed by the District Certificate Officer, Nalanda at Biharsharif, by which the warrant of arrest has been issued against the petitioner for recovery of an amount of Rs.1,43,40,435/-.

Patna High Court CWJC No.8415 of 2016 (4) dt.06-09-2016 Learned counsel for the petitioner submits that even before coming to this Court the petitioner had paid an amount of Rs.31,00,000/- of the total dues of Rs. 1,64,40,455/- and thereafter on the direction of this Court another amount of Rs. 33,00,000/- has been paid and thus the dues at present is Rs.99,99,999.10 as per the demand made vide letter dated 24.06.2016 by the District Manager, State Food Corporation, Nalanda.

It is stated by learned counsel for the petitioner that the petitioner on his own is prepared to liquidate the entire dues of the respondent-Corporation in ten monthly instalments. Learned counsel for the respondent-Corporation on instructions submits that in view of the bona fide shown by the petitioner with regard to payments already made and willing to pay the remaining amount the Corporation is ready to accept the payment of the petitioner in ten monthly instalments but since the Corporation itself is paying interest to its bank to the extent of about 12% on the loan taken by it and further even in the certificate proceedings, the petitioner would be obliged to pay interest at the rate of 12% since the institution of the proceedings, the petitioner must pay interest on the reducing balance. In view of the stand of the respondent-Corporation, it is directed that the petitioner shall pay the entire amount of

Patna High Court CWJC No.8415 of 2016 (4) dt.06-09-2016 Rs.99,99,999.10 to the respondent-Corporation in ten monthly instalments along with interest at the rate of 9% per annum from today on the reducing balance. The petitioner shall pay an amount of Rs. 10, 50,000/- on or before 30th September, 2016 and thereafter he shall keep on paying the same amount in each succeeding month until the nine instalments and the balance including the interest on the reducing balance, whatever it may be, shall be paid in the tenth instalment.

In the meantime, the certificate proceedings in Certificate Case No.09 of 2014-15 shall remain in abeyance; however, failure of the petitioner to pay any of the instalments would revive the certificate proceedings and the respondentCorporation thereafter may proceed against the petitioner in accordance with law.

(Ramesh Kumar Datta, J) V.P.Sinha/- U