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1990 (11) TMI 409

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....been paid. At a point of time when the third one had not become due and in regard to the second there had been default, proceedings under the Bihar Public Demands Recovery Act, 1914, were initiated for recovery of the two instalments on the requisition of the forest officer after adjustment of the security deposit and the price obtained at a re-auction. The appellant challenged the action taken in a proceeding under Article 226 of the Constitution before the Patna High Court. The Patna High Court by the impugned decision , dismissed the petition and upheld the action. That has led to this appeal by special leave. 2. The main stand taken in support of the appeal before us is that once the contract was rescinded, as would appear from the ord....

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.... two Sections in the Forest Act, 1927 may now be extracted : Section 82 : All money payable to the Government under this Act, or under any rule made under this Act, or on account of the price of any forest-produce, or of expenses incurred in the execution of this Act in respect of such produce, may, if not paid when due, be recovered under the law for the time being in force as if it were an arrear of land-revenue. 83.(1) When any such money is payable for or in respect of any forest-produce, the amount thereof shall be deemed to be a first charge on such produce, and such produce may be taken possession of by a Forest-Officer until such amount has been paid. (2) If such amount is not paid when due, the Forest-Officer may sell such prod....

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....her terms under the contract also run counter to the provisions. When Parliament provides a special statute to cover a given situation, there is an obligation on the State while entering into contracts with citizens in regard to matters so covered, to follow the special procedure and obtain the protection which the law intends to confer in regard to such transactions instead of allowing its activities to run in a different direction. 8. In the view we have taken of the matter it must be held that the consideration which has weighed with the different High Courts in the decisions referred to above while dealing with the recovery of unpaid forest contract money to which Sections 82 and 83 apply must be taken not to be good law. 9. It is not....