Secured Debts have priority against Government dues in respect of Assets against which such loan was given

State Bank of India Vs Assistant Commissioner (ST) (Madras High Court) Whether the Financial Institution, which is a secured creditor, or the department of the government concerned, would have the ‘Priority of Charge’ over the mortgaged property in question, with regard to the tax and other dues? No doubt that the rights of a secured creditor to realise secured debts due and payable by sale of assets over which security interest is created, would have priority over all debts and Government dues including revenues, taxes, cesses and rates due to the Central Government, State Governm...