M/S Jay Bhavani Metal Industries vs Dakshin Gujarat Vij Co. Ltd. ...
2021 Latest Caselaw 15369 Guj

     C/SCA/14619/2021                                ORDER DATED: 30/09/2021




            IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

             R/SPECIAL CIVIL APPLICATION NO. 14619 of 2021

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                    M/S JAY BHAVANI METAL INDUSTRIES
                                 Versus
                   DAKSHIN GUJARAT VIJ CO. LTD. (DGVCL)
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Appearance:
D H BHARWAD(7394) for the Petitioner(s) No. 1
for the Respondent(s) No. 1,2
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 CORAM:HONOURABLE MS. JUSTICE SANGEETA K. VISHEN

                             Date : 30/09/2021

                              ORAL ORDER

1. Heard Mr. Hriday Buch, learned Advocate appearing with Mr. D.H. Bharwad, learned Advocate appearing for the petitioner. It is submitted that on 09.06.2021 the petitioner had received a demand notice dated 04.06.2021 along with a supplementary bill dated 03.06.2021 requiring the petitioner to pay Rs. 2.03.81.629.65/- as dues of electricity bills for the month of November-2016 to January-2021 on the alleged ground that due to technical error in the system, the petitioner, has availed excess credit against the actual set-off given in the electricity bills. It is submitted that after the issuance of the supplementary bill, the petitioner has addressed a communication dated 11.06.2021 to the Executive Engineer, Dakshin Gujarat Vij Co. Ltd. (DGVCL), Surat inter alia requesting that the petitioner is ready and willing to make the payment of Rs. 2,03,81,629.65/-, however some time be granted and payment may be allowed to be made in installments as owing to the Covid-19 situation the petitioner was facing financial crisis. It is submitted that the request of the petitioner came to be rejected vide communication dated 05.07.2021 and payment by way of installments was refused. It is submitted that thereafter on

C/SCA/14619/2021 ORDER DATED: 30/09/2021

31.08.2021, the Executive Engineer(O&M), DGVCL, Surat, has directed the petitioner to make the payment of Rs. 20,38,81,630/- within a period of fifteen days, failing which, the electricity supply shall remain disconnected.

2. Reliance is placed on the judgment of the Apex Court in the case of Assistant Engineer, Ajmer Vidyut Vitran Nigam Limited and Another versus Rahamatullah Khan alias Rahamjulla reported in (2002) 4 SCC 650. It is submitted that the Apex Court in the said decision has held inter alia that sub-Section (2) of Section 56 does not preclude the licensee company from raising a supplementary demand after the expiry of the limitation period of two years. It only restricts the right of the licensee to disconnect electricity supply due to non-payment of dues after the period of limitation of two years has expired, nor does it restrict other modes of recovery which may be initiated by the licensee company for recovery of a supplementary demand. It is submitted that the facts of the above case decided by the Apex Court were almost identical to the facts of the present case.

3. Having regard to the submissions made by the learned Advocate appearing for the petitioner, issue notice to the respondents returnable on 21.10.2021. In the meantime, ad-interim relief in terms of para. 8(C) is granted. Direct service is permitted.

(SANGEETA K. VISHEN,J) SINDHU NAIR