Poonam Agrawal vs The State Of Bihar on 1 July, 2026

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    Patna High Court

    Poonam Agrawal vs The State Of Bihar on 1 July, 2026

    Author: A. Abhishek Reddy

    Bench: A. Abhishek Reddy

              IN THE HIGH COURT OF JUDICATURE AT PATNA
                        Civil Writ Jurisdiction Case No.519 of 2025
         ======================================================
    1.    Poonam Agrawal, wife of Late Pradeep Agrawal, resident of Flat Number N-
          801, Uday Giri Apartment, Budh Marg, Patna-800001, presently resident of
          House Number 244, Road No. 9, Rajendra Nagar, P.O. and P.S.-Kadam
          Kuan, Patna.
    2.   Simran Agrawal, son of Late Pradeep Agrawal, R/o Flat No. N/801, Uday
         Giri Apartment, Budh Marg, Patna-1, presently resident of H. No. 244, Road
         No. 9, Rajendra Nagar, P.O. and P.S.-Kadam Kuan, Patna.
    
                                                               ... ... Petitioner/s
                                          Versus
    1.   The State of Bihar through the Principal Secretary cum Commissioner,
         Department of Finance, Govt. of Bihar, Patna.
    2.   The Principal Secretary cum Commissioner, Department of Finance, Govt.
         of Bihar, Patna.
    3.   The District Magistrate, Patna.
    4.   The Certificate Officer cum Officer in Charge, Disaster Management, Patna.
    5.   The Senior Superintendent of Police, Patna.
    6.   The Officer in Charge Kadam Kuan Police Station, Patna.
    7.   The South Bihar Power Distribution Company Limited through its
         Managing Director, Vidyut Bhawan, Patna.
    
                                                   ... ... Respondent/s
         ======================================================
         Appearance :
         For the Petitioner/s   :        Mr. Prakash Chandra Agrawal, Advocate.
         For the Respondent/s   :        Mr. Government Pleader (17)
         ======================================================
         CORAM: HONOURABLE MR. JUSTICE A. ABHISHEK REDDY
         ORAL JUDGMENT
         Date: 01-07-2026
                   Heard the learned counsel for the parties.
    
                        2. The present Writ Petition has been filed for the
    
          following relief(s):-
    
                                              "(i) For issuance of a writ in the
                                    nature of certiorari for quashing of the
                                    letter bearing reference number 141/aa.pra.
                                    Dated 17.07.2019 issued by the respondent
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                                     4 served upon the petitioner for the first
                                     time by local police on 28.12.2024 whereby
                                     the police authorities have been requested to
                                     execute the process issued for attachment of
                                     property in connection with recovery of
                                     certificate amount in certificate case
                                     number 10/2013-14/181/2001-02 against
                                     Simran Metals Ltd and the managing
                                     director Mr Pradip Agrawal.
                                                b) For further issuance of a writ
                                     or order or a direction upon the respondent
                                     4 to award proper opportunity of hearing to
                                     the petitioners who are legal heirs of the
                                     managing director Mr Pradip Agrawal and
                                     also take steps for consideration of the
                                     pending objections already filed in the
                                     records of the certificate case number
                                     10/2013-14/181

    /2001-02 before proceeding
    to take any action against the personal
    assets of the petitioners and other legal
    heirs of the late managing director of the
    company;

    c) For further issuance of writ or
    order or a direction restraining the
    respondent number 4 from taking any
    coercive action against the petitioners and
    all other legal heirs of late managing
    director of Simran Metals Ltd including
    their personal assets till the objections
    already on the records of the certificate case
    number 10/2013-14/181/2001-02 and also
    adequate opportunity of hearing afforded to
    the petitioners and other such legal heirs in
    connection with recovery of alleged
    certificate dues from out of the assets of late
    managing director;

    SPONSORED

    d) For further holding and a
    declaration that the respondent at 4 could
    not have proceeded to issue any process for
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    attachment of the personal assets of the
    petitioners being legal heirs of late
    managing director of Simran Metals Ltd on
    account of recovery of certificate dues
    against the company namely Simran Metals
    Ltd as the outstanding dues as such could be
    recovered only from out of the assets of the
    company alone.”

    3. Learned counsel appearing on behalf of the

    petitioner submits that the certificate proceedings was initiated

    against the Simran Metals Ltd and the Managing director Pradeep

    Agrawal vide Certificate Case No. 10/2013 – 14/181/2001-02 and

    the warrant of attachment vide Memo No. 141 dated 17.07.2019

    was served upon the petitioners for the first time on 28.12.2024.

    That the police authorities vide the above memo have been

    requested to execute the process issued for attachment of property

    in connection with recovery of certificate amount in Certificate

    Case No. 10/2013-14/181/2001-02 against Simran Metals Ltd. and

    the then Managing Director, late Pradeep Agrawal. Learned

    counsel submits that by the time the order of attachment was

    issued against the Managing Director, Pradeep Agrawal i.e., the

    husband and the father of the petitioner No. 1 and Petitioner No. 2

    respectively and he died in the month of May, 2021 itself,

    therefore, issuance of the warrant against a dead person is void ab

    initio and non-est in the eye of law. Further, it is stated that the

    original amount recoverable from the husband of the Petitioner
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    No. 1 is only Rs. 1,98,59,170/- and the respondent-authorities are

    trying to recover an amount of Rs. 3,94,00287/- from the

    Managing Director, Pradeep Agrawal. Learned counsel appearing

    on behalf of the petitioner submits that issuance of the warrant

    vide Memo No. 141 dated 17.07.2019 which was served on

    28.12.2024 is without jurisdiction and contrary to the provisions

    of the Bihar and Orissa Public Demand Recovery Act, 1914

    (herein after referred to as ‘the PDR Act‘). That the petitioners

    are residing in the personal property of late Pradeep Agrawal

    which has been succeeded by the petitioners and other legal

    heirs by virtue of law of succession and the said property does

    not belong to Simran Metals Ltd.

    4. Learned counsel for the petitioner has relied on the

    Judgment of this Hon’ble Court (Ranchi Bench) dated

    10.05.1999 passed in CWJC No. 11 of 1998 (R) reported in

    (2000) 1 PLJR 591 (Smt. Gita Devi v. State of Bihar and Ors.)

    and the Judgment of this Hon’ble Court dated 07.04.2004

    passed in CWJC No. 7271 of 2003 reported in (2004) 2 PLJR

    515 (Amar Prasad Sahu v. The State of Bihar & Ors.) and also

    the Judgment dated 01.10.2018 passed in CWJC No. 22205 of

    2013 (Most. Monakiya Devi v. The State of Bihar and Ors.).

    5. Learned counsel for the petitioner has stated that

    issuance of warrant against a dead person is totally
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    impermissible and further, it is stated that the claim itself is

    barred by limitations as the respondent-authorities have taken

    their own sweet time in initiating the proceedings, that to

    against a dead person. Learned counsel has, therefore, prayed

    this Hon’ble Court to allow the present writ petition and set

    aside the impugned demand notice and also the warrant vide

    Memo No. 141 dated 17.07.2019 and quash the certificate

    proceedings.

    6. Per contra, the learned counsel appearing on behalf

    of the Respondent-State has vehemently opposed the very

    maintainability of the present writ petition. Learned counsel has

    stated that the petitioners are having a remedy of filing their

    objections under Section 9 of the PDR Act before the Certificate

    Officer and the same shall be considered in accordance with law

    and necessary final orders under Section 10 of the Act will be

    passed. However, the petitioners without filing their objections

    have straightaway approached this Hon’ble Court by way of the

    present CWJC and the same is not legally permissible. Learned

    counsel has stated that the question of limitation does not arise

    as the process of recovery of the certificate amount has been

    continuing right from the period when the said Pradeep Agrawal

    was alive. That the petitioners being the legal heirs of the said
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    Pradeep Agrawal are bound to pay the outstanding due amounts

    owned by Pradeep Agrawal. Learned counsel has stated that as

    per Section 52 of the PDR Act, the authorities are well within

    their rights to proceed against the petitioners herein and also the

    other legal heirs of the late Pradeep Agrawal. Learned counsel

    has, therefore, prayed this Hon’ble Court to dismiss the present

    writ petition.

    7. Admittedly, in the present writ petition the facts are

    not in dispute, it is a fact that the said Pradeep Agrawal who is

    the husband of the petitioner No. 1 and the father of the

    petitioner no. 2. The cause of action for initiating the certificate

    proceedings started in the year 2001-02 and Pradeep Agrawal

    died in the month of May, 2021 and the certificate case has been

    initiated in the year 2001-02 vide Certificate Case No. 10/2013-

    14/181/2001-02 against the Simran Metals Ltd. and the then

    Managing Director Pradeep Agrawal. It is settled law that

    continuation of any proceedings against a dead person are non-

    est in the eye of law and without jurisdiction.

    8. This Hon’ble Court (Ranchi Bench) in the case of

    Smt. Gita Devi v. State of Bihar and Ors. in the Judgment dated

    10.05.1999 passed in CWJC No. 11 of 1998 (R) reported in

    (2000) 1 PLJR 591 has held as under:-

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    “7. From perusal of the aforesaid
    provision, it is clear that the provision is
    applicable to cases where the certificate-

    debtor dies before signing of the certificate.
    This Section is attracted where the
    certificate debtor dies after certificate is
    issued but before the certificate has been
    fully satisfied. It is well settled that where the
    certificate debtor dies during pendency of
    the certificate proceeding then the certificate
    officer can proceed against the legal
    representatives of the deceased brought on
    the record and after serving them notice as
    prescribed under the Act. This section does
    not confer power to the certificate officer to
    continue the proceeding against the legal
    representatives even if the certificate
    proceeding was initiated against the dead
    person. To clarify this position, the Board of
    Revenue have issued instructions. Clause 20
    of the Board’s instruction reads as under:-

    “20. Procedure to be followed
    when a certificate-debtor dies before or after
    the certificate is made. Section 52 of the Act
    lays down the procedure to be followed when
    a certificate-debtor dies at any time after the
    signing of the certificate. If the debtor has
    died before the certificate is signed the
    certificate is void, and a fresh certificate
    must be made against the legal
    representative of the deceased. The
    Initiative, where the sum is payable to the
    Collector originally, should rest with the
    Certificate Officer, for in such a case no
    requisition is needed, in a demand of this
    nature the Certificate Officer when striking
    off for due reason a case, the demand in
    which has not been fully realised or remitted
    should promptly sign a fresh properly
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    prepared certificate for the realisation of
    such demand and at the same time send
    Intimation to the Requiring Officer for note
    in his Register. Where the demand is not
    payable to the District Collector originally,
    the initiative lies with the authority who
    made the original requisition.”

    8. It is, therefore, clear that if the
    certificate is signed after the death of
    certificate-debtor then the certificate is void
    and a fresh certificate must be made against
    the legal representative of the deceased, in
    that view of the matter, in my opinion, when,
    admittedly, late husband of the petitioner
    died before the certificate was signed, entire
    certificate proceeding is vold and Certificate
    Officer has no jurisdiction to continue the
    certificate proceeding against the petitioner
    unless a fresh certificate is signed and a
    proceeding is initiated against the legal
    representatives of the deceased or against
    any person, who is in custody and possession
    of the vehicle.”

    9. This Hon’ble Court in the case of Amar Prasad

    Sahu v. The State of Bihar & Ors. reported in (2004) 2 PLJR

    515 in the Judgment dated 07.04.2004 passed in CWJC No.

    7271 of 2003 has held as under:-

    “It is contended that in view of the
    Division Bench decision of this Court in the
    case of Kanhaiya Lal v. State of Bihar,
    reported in 2002 (2) PLJR 553, liability of a
    company cannot be enforced against its
    officers, Including Director or Managing
    Director. Any debt payable by an
    Incorporated Company can be realised only
    by seizing the assets of the company and not
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    by putting in prison the Managing Director
    or any of the officers of the Company. Mr.
    Chatterjee, learned counsel for the
    petitioner, thus, submitted that the petitioner,
    who now ceases to be the Director of the
    Company after June, 1994, the certificate
    proceeding in question initiated against him
    for realisation of the aforementioned debt is
    wholly without jurisdiction and bad in law.”

    10. And also in the case of Most. Monakiya Devi v.

    The State of Bihar and Ors. passed in CWJC No. 22205 of

    2013 dated 01.10.2018 has held as under:-

    “6. Having heard the parties and
    on consideration of the materials on record,
    this Court finds considerable merit in the
    writ petition. A bare perusal of the impugned
    notice dated 12.09.2013 issued by the
    Certificate Officer-cum-SDO, Dumraon,
    Buxar as well as the requisition dated
    04.08.2011 issued under Section 5 of the
    PDR Act discloses that these have been
    issued after 11.09.2010, when the husband of
    the petitioner died. As such, the entire
    proceedings are rendered illegal and a
    nullity.”

    11. Admittedly even in this case, the continuation of

    the certificate case against the dead person and issuance of the

    distress warrant against the petitioners seeking recovery of the

    amount of Rs. 3,94,00,287/- is without jurisdiction and beyond

    the period of limitation. Further, it is to be noted that the

    petitioners have not been substituted in the Certificate Case No.

    10/2013-14/181/2001-02 at any point of time till date.

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    12. Having regard to the above mentioned facts and

    circumstances and also the law laid down by this Hon’ble Court

    in the above mentioned cases, the impugned letter bearing

    Reference No. 141 dated 17.07.2019 issued by the Certificate

    Officer i.e. Respondent No. 4 herein and the certificate

    proceedings initiated against the late Pradeep Agrawal and

    against the petitioners herein in the certificate case bearing

    Certificate Case No. 10/2013-14/181/2001-02 are hereby

    quashed. However, it is made clear that this order does not come

    in the way of the authority for proceedings against the Company

    for recovery of the amounts due, if any.

    13. With the above observations, the present writ

    petition stands allowed to the extent indicated.

    (A. Abhishek Reddy, J)
    shakir/-

    AFR/NAFR                NAFR
    CAV DATE                NA
    Uploading Date          07.07.2026
    Transmission Date       NA
     



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