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2013 Supreme(Pat) 170

PATNA HIGH COURT
NAVIN SINHA AND SHIVAJI PANDEY, JJ.
Bihar State Electricity Board Through its Chairman, Patna
Vs
Ice Berg Industries Ltd. and Ors
Letters Patent Appeal No. 521 of 2011
Decided on : 07.02.2013

Advocates Appeared:
(In LPA No. 521 of 2011)
For the Appellant/s: Mr. Anand Kumar Ojha with Mr. Ashok Kumar Karn.
For the Respondent/s:Mr. Jitendra Singh, Sr. Advocate with Mr. Satyabir Bharti.
(In LPA No. 1490 of 2010)
For the Appellant/s: Mr. Anand Kumar Ojha with Mr. Ashok Kumar Karn.
For the Respondent/s:Mr. Jitendra Singh, Sr. Advocate with Mr. Satyabir Bharti.
(In LPA No. 1491 of 2010)
For the Appellant/s: Mr. Anand Kumar Ojha with Mr. Ashok Kumar Karn.
For the Respondent/s:Mr. Jitendra Singh, Sr. Advocate with Mr. Satyabir Bharti.

ORAL JUDGMENT

(Per: HONOURABLE MR. JUSTICE NAVIN SINHA)

The three appeals arise out of a common order dated 29.4.2010 disposing three writ applications. CWJC 4637 of 2008 and CWJC 9742 of 2009 preferred by respondent no.1, M/s. Iceberg Industries Ltd. (hereinafter referred to as the ‘Industry’) challenging the Annual Minimum Guarantee bills with DPS (hereinafter referred to as ‘AMG’ and ‘DPS’) raised by the Appellant Board have been allowed with directions to compute the bills afresh excluding periods of illegal disconnection. CWJC 7314 of 2008 preferred by the Appellant Board against the order of the Consumer Redressal Forum (hereinafter referred to as the ‘Forum’) constituted under the Electricity Act 2003 (hereinafter referred to as ‘the Act’), on an application by the Industry denying the Board to charge AMG and DPS for the period of illegal disconnection has been dismissed. The Industry was provided a High Tension electric connection (hereinafter referred to as “H.T.”) for setting up a Brewery. An agreement was entered between the parties in 2005, as an H.T. Consumer with a contract demand of 1000 KVA in HTS–II category. Electric supply was energized on 6.5.2005. Charges for current consumption were raised and paid.

On 17.4.2006 a bill was raised for Rs.27,11,812/- towards AMG for the period 2005–06 payable by 6.5.2006. The Industry represented on 29.7.2006 for grant of instalments citing difficulties. The representation evoked no response. On 23.8.2006, a disconnection notice was served under Section 56 of the Act for non-payment of AMG bill with DPS for Rs. 33,38,572/-. The Industry on 26.8.2006 again requested for grant of 10 instalments offering DPS also, citing difficulties occasioned by closure of the Unit ordered by the Excise department. The representation again remained unanswered. Subsequently a fresh bill was raised on 1.9.2006 which included arrears of AMG and DPS under the bill dated 17.4.2006 also, for a total of Rs. 37,00,923/- along with current charges. The due date for payment was 20.9.2006. The Board disconnected supply on 6.9.2006 pursuant to the notice for disconnection dated 23.8.2006. The Board thereafter acted on the representation dated 26.8.2006 and granted facility of instalments. An agreement was signed between the parties on 11.4.2007 for payment of AMG and DPS in instalments. The connection was restored 7 months later on 16.4.2007. It is not in dispute that payments under the bill dated 17.4.2006 has then been made as agreed.

A fresh bill was thereafter raised by the Board on 4.5.2007 for Rs.70,23,149/- as the minimum guarantee charge/base charge for the disconnected period of 1.11.2006 to 30.4.2007, along with AMG charge for the financial year 2006-07 (which also included charges for the disconnected periods of August, September, October 2006 ) of Rs.18,02,582/-. The total bill thus raised was for Rs. 88,389,528/-. A fresh disconnection notice for non-payment of the same was issued on 22.5.2007. The Industry moved the Forum under the Act. By order dated 12.2.2008 the Forum held the Industry liable to pay minimum charges up to November 2006. The minimum charges from December 2006 to April 2007 were held to be bad. The Industry, to the extent it was aggrieved by the order, questioned it in CWJC 4637 of 2008. The latter part of the order was not challenged by the Board. On 19.3.2008, a fresh disconnection notice was served for non-payment of Rs. 1.33 Crores inclusive of AMG and DPS for the period December 2006 to April 2007 disallowed by the Forum. The Board also refused to accept current consumption charges. Based on a demand contrary to the order of the Forum, the Board disconnected electric supply for the second time on 2.4. 2008. After it had disobeyed the order dated 12.2.2008 of the Forum, CWJC 7314 of 2008 was filed by the Board on 5.5.2008 questioning the same. The writ petition did not disclose that the Board had already disobeyed the order and disconnected supply without raising fresh re
























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