subject. Crown debt means the debts due to the State or the King; debts which a prerogative entitles the Crown to claim priority for before ... creditors, however, must be held to mean unsecured creditors. Principle of Crown debt as such pertains to the common law principle. A common law which
made as
arrears of land revenue, meaning thereby the same is
crown debt and the same would supersede the claim of the
petitioner Bank ... dues i.e. Crown debts vis-a-vis secured
debts of a secured creditor and it was held that the
debts of the secured creditor
clear that income-tax dues, being in the nature
of Crown debts, do not take precedence even over secured creditors,
who are private persons
that the Income Tax dues, being in the nature of Crown Debts, do not take
precedence even over secured creditors, who are private persons
Section 53(1) . The tax due to the State is
a crown debt and the statute has declared the transfers made with a
view
Municipality would not come
within the purview of the Crown debt. Even a Crown debt could be
discharged only after the secured creditors stand discharged
Section 53(1) . The tax due to the State is
a crown debt and the statute has declared the transfers made with a
view
decree holder was never in doubt, but
even in respect of crown debts, the Recovery of Debts and Bankruptcy Act,
1993 has been amended
Civil) 729 explained the doctrine
of priority to Crown Debts, thus:-
"What is the common law doctrine of priority or
precedence of Crown debts ... Halsbury, dealing with general
rights of the Crown in relation to property, states that where
the Crown's right and that of a subject
question of who holds first charge as to
whether the crown debt / the revenue to the government
under the fiscal laws or the claim ... statutory charge
prevail over mortgage charge over any pledged property.
The crown debt is treated as unsecured and mortgage rights
will get priority only when
