LACHHMAN DAS ON BEHALF OF FIRMTILAK RAM RAM BUX vs STATE OF PUNJAB AND OTHERS[And Connected Petition And Appe

The Supreme Court upheld the constitutional validity of the Patiala Recovery of State Dues Act, IV of 2002 BK, stating that it was enacted under the authority of the rulers of the erstwhile States and continued to be in force post-merger. The Court clarified that the Act's provisions, particularly Sections 3, 4, 5, and 6, which define 'State Dues' and authorize recovery as arrears of land revenue, are valid under Articles 14, 19(1)(f), and 19(1)(g) of the Constitution of India. The Court ruled that the debts due to the Patiala State Bank are recoverable under this Act, affirming the authority of the Managing Director to determine the dues and issue certificates as conclusive proof.