Jalgaon District Central Coop. Bank Ltd. v. State of Maharashtra 2025 INSC 1335 - EPF - SARFAESI
Employees’ Provident Funds and Miscellaneous Provisions Act, 1952 - Section 11(2) ; SARFAESI Act, 2002- Section 13,35,26E - There being a clear first charge created under the EPF&MP Act, it overrides the priority under Section 35 and Section 13 as also that conferred under Section 26-E since a priority cannot be equated with a first charge and cannot be given prevalence over the first charge statutorily created. (Para 27)
Interpretation of Statutes - When there are two enactments conferring priority in satisfaction of a debt coming under the respective enactments, by virtue of a non-obstante clause overriding the provisions of any law in force at that time, the time in which the statute was enacted or the provision was incorporated, assumes significance and the provision latter in time would prevail. However, if there is a first charge statutorily created, validly, dehors the non obstante clause conferring priority over other debts, the statutory charge would prevail. (Para 25)
Case Info
- Case name: Jalgaon District Central Coop. Bank Ltd. v. State of Maharashtra and Ors.
- Neutral citation: 2025 INSC 1335
- Coram: B. R. Gavai (CJI); K. Vinod Chandran, J.
- Judgment date: November 20, 2025
Caselaws and Citations
- Punjab National Bank & Ors. v. Union of India & Ors. (2022) 7 SCC 260.
- Maharashtra State Cooperative Bank Ltd. v. Assistant Provident Fund Commissioner (2009) 10 SCC 123.
- United Bank of India v. Satyawati Tondon and Ors. (2010) 8 SCC 110.
- Builders Supply Corporation v. Union of India & Ors. (1965) 2 SCR 289.
- State Bank of Bikaner and Jaipur v. National Iron Steel Rolling Corporation (1995) 2 SCC 19.
- State of M.P. v. State Bank of Indore (2002) 10 SCC 441.
- Recovery Officer and Assistant Provident Fund Commissioner v. Kerala Financial Corporation (2002) 3 LLJ 643.
- A.P. State Financial Corporation v. Official Liquidator (2000) 7 SCC 291.
- Union of India v. SICOM Ltd. (2009) 2 SCC 121.
- Central Bank of India v. State of Kerala (2009) 4 SCC 94.
- Employees Provident Fund Commissioner v. Official Liquidator (2011) 10 SCC 727.
Statutes/Laws Referred
- SARFAESI Act, 2002: Sections 13, 23, 26D, 26E, 35.
- Employees’ Provident Funds and Miscellaneous Provisions Act, 1952: Sections 7-A, 7-Q, 11(1), 11(2), 14-B, 15(2).
- Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971.
- State Financial Corporations Act, 1951: Sections 29, 46-B.
- Companies Act (pre-2013 references): Sections 529(1), 529A.
- Central Excise Act, 1944: Section 11-E.
- Bombay Sales Tax Act, 1959 and Kerala General Sales Tax Act, 1963 (first charge provisions).
#SupremeCourt holds that first charge created under EPF Act overrides the priority under SARFAESI Act ! https://t.co/AQVkcgRlpB pic.twitter.com/nfGelF3c7w
— CiteCase 🇮🇳 (@CiteCase) November 20, 2025