(1) In respect of any licence fee or other sum of any kind payable to the Central Government or to the State Government under any of the provisions of this Act or of any rule or order made thereunder, the officer of the Central Government or the State Government, as the case may be, who is empowered to require the payment of such sum, may deduct the amount of such sum from any money owing to the person from whom such sum may be recoverable or due or may recover such amount or sum by attachment and sale of the goods belonging to such persons and if the amount of the same is not so recovered, the same may be recovered from the person or from his surety (if any) as if it were an arrears of land revenue.
(2) When any person, in compliance with any rule made under this Act, gives a bond (other than a bond under section 34 and section 39) for the performance of any act, or for his abstention from any act, such performance or abstention shall be deemed to be a public duty within the meaning of section 74 of the Indian Contract Act, 1872 (9 of 1872); and upon breach of the conditions of such bond by him, the whole sum named therein as the amount to be paid in case of such breach may be recovered from him or from his surety (if any) as if it were an arrears of land revenue.
Simplified Explanation
This section outlines the procedures for the recovery of any dues owed to the Central Government or State Government under the provisions of the Narcotic Drugs and Psychotropic Substances Act or any rules or orders made under it. It provides mechanisms for the deduction, attachment, and recovery of sums, as well as recovery from sureties in case of default.
Key Provisions of Section 72:
Sub-section 1: Recovery of Licence Fees or Sums Due
- Deduction from Money Owed: An officer of the Central Government or State Government, who is authorized to require the payment of a sum (such as a licence fee), may deduct the amount from any money that is owed to the person who owes the sum.
- Attachment and Sale of Goods: If the sum cannot be deducted from owed money, the officer may recover the amount through the attachment and sale of goods belonging to the person who owes the sum.
- Recovery from Person or Surety: If the sum still remains unpaid, it may be recovered from the person or from their surety (if any), as if the sum were arrears of land revenue. This means that the sum owed can be treated similarly to unpaid taxes and pursued accordingly.
Sub-section 2: Recovery of Breach of Bond
- If a person gives a bond under any of the rules made under this Act (excluding bonds under sections 34 and 39), the bond’s conditions are considered a public duty under section 74 of the Indian Contract Act, 1872.
- If the conditions of the bond are breached (such as failing to comply with the terms of the bond), the whole sum named in the bond for breach may be recovered from the person or their surety (if any), as if it were an arrears of land revenue.
Implications of Section 72:
- Government’s Power to Recover Dues:
- The section provides a robust mechanism for the recovery of dues owed to the government, allowing the authorities to directly deduct amounts from money owed to the person or use legal processes like attachment and sale of property.
- Recovery of amounts can be enforced just like land revenue, which makes the process more effective and harder to avoid.
- Public Duty and Bond Enforcement:
- When a bond is given under this Act, the obligations are treated as public duties, meaning that breaching such a bond has serious financial consequences. The bond amount can be recovered by the government through legal proceedings if breached.
- Role of Sureties:
- The sureties (if any) who back the person’s bond are also liable for payment if the person defaults. This provides an added layer of financial security for the government.
- Legal Backing for Recovery:
- By allowing recovery of sums as arrears of land revenue, the section ensures that the sums owed to the government can be treated with a high degree of legal enforcement, using well-established procedures for the recovery of land revenue dues. This includes property attachment and sale.
Example:
- Case 1: If a licensee fails to pay the prescribed license fee under the Narcotic Drugs Act, the government may deduct the unpaid fee directly from any money owed to the licensee. If that is not possible, the government may attach and sell the licensee’s goods to recover the fee.
- Case 2: If a person has given a bond under the Act to refrain from certain activities (like selling narcotics without a license) and breaches this bond, the entire sum specified in the bond (as penalty) can be recovered from the person or their surety as arrears of land revenue.
Conclusion:
Section 72 provides a clear and enforceable process for recovering any dues owed to the government under the Narcotic Drugs and Psychotropic Substances Act. By giving government officers the authority to deduct, attach, and sell goods, as well as pursue recovery from sureties, the section ensures effective enforcement of government claims. Additionally, it emphasizes that bonds given under the Act are treated as public duties, with severe consequences for breach.
