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Adisankara Spinning Mills (P) Ltd vs The Chairman
2021 Latest Caselaw 11286 Mad

Citation : 2021 Latest Caselaw 11286 Mad
Judgement Date : 5 May, 2021

Madras High Court
Adisankara Spinning Mills (P) Ltd vs The Chairman on 5 May, 2021
                                                                          W.P(MD)No.9330 of 2021


                           BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT

                                                DATED: 05.05.2021

                                                    CORAM:

                                   THE HONOURABLE MR.JUSTICE B.PUGALENDHI

                                            W.P(MD)No.9330 of 2021

                     Adisankara Spinning Mills (P) Ltd,
                     HTSC 059094500182,
                     Vedasandur Taluk,
                     Dindigul District Rep. By its
                     Authorised Singatory D.Mohan Raj                ... Petitioner


                                                              Vs.

                     1.The Chairman,
                       Tamil Nadu Generation and Distribution
                       Corporation Limited,
                       144, Anna Salai,
                       Chennai - 600 002.

                     2.The Superintending Engineer,
                       TANGEDCO,
                       Dindigul Electricity Distribution Circle,
                       Dindigul.                                    ... Respondents

                     PRAYER: Petition filed under Article 226 of the Constitution of India,
                     seeking for issuance of a Writ of Mandamus, directing the 1st and 2nd
                     respondent to permit the petitioner to pay the Additional Security
                     Deposit of Rs.58,16,369/- alone in six equal monthly instalments along
                     with regular current consumption charges.


                     1/7
https://www.mhc.tn.gov.in/judis/
                                                                               W.P(MD)No.9330 of 2021


                                   For Petitioner     : Mr.R.S.Pandiaraj
                                   For Respondents    : Mrs.S.Srimathy


                                                      ORDER

This writ petition is filed for a Mandamus, directing the 1st

and 2nd respondents to permit the petitioner to pay the Additional

Security Deposit of Rs.58,16,369/- alone in six equal monthly

instalments along with regular current consumption charges.

2. The case of the petitioner is that he is having HT service

connection bearing No.059094500182 with the second respondent and

has also given security deposit of Rs.1,06,41,161/-. As per Regulation

5(5)(ii) (a) of the Tamil Nadu Electricity Supply Code, 2004, the CCD

should be two times of the average of the electricity charges for the

preceding twelve months prior to April. The second respondent vide his

letter dated 27.04.2021, directed the petitioner to pay the Additional

Security Deposit of Rs.58,16,369/- over and above the existing deposit of

Rs.1,06,41,161 /- in one lump sum and also directed that on failure of

payment of such deposit, electricity supply to the petitioner's Company

would be disconnected.

https://www.mhc.tn.gov.in/judis/ W.P(MD)No.9330 of 2021

3. Mr.R.S.Pandiaraj, learned counsel for the petitioner by

relying on the judgment of a Division Bench of this Court in

W.A(MD)No.407 of 2012 etc., batch dated 02.08.2012, would submit

that though the Regulation does not provide for payment on instalments,

in similar circumstances, this Court has extended the benefit of payment

of Additional Security Deposit amount on instalments. He would further

submit that in view of the present day Covid-19 Pandemic situation,

similar relief can be granted to the petitioner also, otherwise, it would be

difficult for the petitioner to pay the entire amount in one lump sum.

4. Mrs.S.Srimathy, learned Standing Counsel, takes notice for

the respondents and would submit that as per Regulation 5(5)(ii)(a) of

the Tamil Nadu Electricity Supply Code, 2004, CCD should be two

times of the average of the electricity charges for the preceding twelve

months prior to April and depending upon the consumption of the

petitioner, the Additional Security Deposit has been called for from the

petitioner, vide letter dated 27.04.2021. There is no provision available

under the Regulation for granting the benefit of payment of Additional

Security Deposit amount in instalments.

https://www.mhc.tn.gov.in/judis/ W.P(MD)No.9330 of 2021

5. This Court paid its anxious consideration to the rival

submissions made and also perused the materials placed on record.

6. The Division Bench of this Court, in the decision rendered

in W.A(MD)No.407 of 2012 etc., batch, dated 02.08.2012, has held as

follows:

“8. It is to be pointed out that Regulation (5)(5)

(iv) of the Tamil Nadu Electricity Supply Code forms the term of contract and the respondent(s) is governed by the same, the purpose of adequacy of the current consumption deposit is re-viewable once in 12 months. The purpose of the review and obtaining additional Security Deposit is to avoid any loss due to default in payment to current Consumption Charges. When the adequacy of the current consumption deposit is reviewable once in 12 months, permitting the respondent(s)/writ petitioner(s) to pay additional Security Deposit in twelve instalments will defeat the very provision since the Additional Security Deposit is to be reviewed every year that is after every 12 months. The direction issued by the Writ Court is against the express statutory provisions of the Tamil Nadu Electricity Supply Code and the same cannot be sustained and is liable to be set aside.

https://www.mhc.tn.gov.in/judis/ W.P(MD)No.9330 of 2021

9. It was stated that the respondent (s) / writ petitioner (s) have paid three instalments as per the order of the Writ Court and the remaining amount is payable in three equal instalments commencing from August, 2012. So far as the remaining amount, the first installment is payable on or before 10th of August, 2012, the second instalment shall be payable on or before 10th September, 2012 and the third instalment is payable on or before 10th October, 2012. Failure to pay any one of the instalments, it is open to the appellant Electricity Board to proceed against the respondent(s)/writ petitioner(s) in accordance with law. Accordingly, the order of the Writ Court is modified and the Writ Appeals are partly allowed. No Costs. Connected Miscellaneous Petitions are closed.”

7. By following the decision of the Division Bench of this

Court, this Court has also passed several other orders, which have also

been relied on by the learned counsel for the petitioner in support of his

submissions.

8. Since similar relief has been granted by this Court to the

similarly placed persons like that of the petitioner, considering the

https://www.mhc.tn.gov.in/judis/ W.P(MD)No.9330 of 2021

Covid-19 Pandemic situation, the same benefit shall be extended to the

petitioner also. Therefore, the respondents are directed to accept the

payment of Additional Security Deposit from the petitioner in six

monthly instalments along with regular current consumption charges

commencing from June, 2021.

9. Accordingly, the Writ Petition is allowed. No Costs.

05.05.2021 Index :yes/No Internet:yes/No pm/am

NOTE: In view of the present lock down owing to COVID-19 pandemic, a web copy of the order may be utilized for official purposes, but, ensuring that the copy of the order that is presented is the correct copy, shall be the responsibility of the advocate/litigant concerned.

https://www.mhc.tn.gov.in/judis/ W.P(MD)No.9330 of 2021

B.PUGALENDHI. J.

pm/am

W.P(MD)No.9330 of 2021

05.05.2021

https://www.mhc.tn.gov.in/judis/

 
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