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HIGH COURT OF CALCUTTA
R. S. Bachawat
PROVASH CHANDRA SETT - Appellant
Versus
GOURIPORE ELECTRIC SUPPLY CO. LTD. - Respondent
Civil Rule 2483 Of 1956
Decided On : JUNE 16, 1959
ELECTRICITY ACT - SECTION 51 - ORDER UNDER SECTION 51 - POWER CONFERRED ON STATE GOVERNMENT - NATURE OF POWER - WHETHER QUASI-JUDICIAL - WHETHER NOTICE TO BE GIVEN BEFORE EXERCISE OF POWER - REASONABLENESS AND GOOD FAITH - EXERCISE OF POWER IN THE PRESENT CASE.
Fact of the Case:
The petitioners, Lily Biscuit Company (Private) Limited, and its directors, challenged an order passed by the State of West Bengal under Section 51 of the Indian Electricity Act, 1910, conferring powers on the respondent, Gourepore Electric Supply Company Limited, to lay transmission lines over the petitioners' plots for the purpose of transmitting energy. The petitioners contended that the power conferred by Section 51 was quasi-judicial and that they should have been given an opportunity of being heard before the order was passed. Alternatively, they argued that even if the power was administrative, it should not have been exercised without giving them a hearing.
Finding of the Court:
The court held that the power conferred by Section 51 of the Indian Electricity Act was not quasi-judicial and that the State Government was not required to give the petitioners an opportunity of being heard before exercising the power. The court also held that a provision for the giving of a notice before the exercise of the power under Section 51 should not be implied, but that the omission to give such a notice was a circumstance that could be taken into consideration in deciding whether the power had been exercised reasonably and in good faith.
Issues: 1. Whether the power conferred by Section 51 of the Indian Electricity Act was quasi-judicial and required a hearing before being exercised? 2. Whether a provision for the giving of a notice before the exercise of the power under Section 51 should be implied?
Ratio Decidendi: 1. The power conferred by Section 51 of the Indian Electricity Act is not quasi-judicial because it does not require the State Government to determine or decide any dispute between two contending parties or to investigate into and decide disputed questions. The order under Section 51 is based on considerations of policy and expediency and not on the determination of some disputed questions. 2. A provision for the giving of a notice before the exercise of the power under Section 51 should not be implied because it would be unreasonable to require such a notice in all cases, especially when the power is being conferred in general terms. However, the omission to give such a notice is a circumstance that can be taken into consideration in deciding whether the power has been exercised reasonably and in good faith.
Final Decision: The court discharged the rule and held that the order passed by the State Government under Section 51 of the Indian Electricity Act was valid and that the petitioners were not entitled to any relief.
( 1 ) IN this Rule the petitioners ask for an appropriate Writ quashing an order dated 29th July 1956 made by the State of West Bengal under Section 51 of the Indian Electricity Act.
( 2 ) THE petitioner Lily Biscuit Company (Private) Limited is the owner of c. s. plots Nos. 901 and 902 appertaining to c. s. khatians Nos. 304 and 305 of mouza Balagarh, Police Station Chinsurah in the Sadar Subdivision of District Hooghly. The petitioners Provash Chandra Sett and Bivash Chandra Sett are directors of Lily Biscuit Company (Private) Limited. The respondent No. 1 Gourepore Electric Supply Company Limited is a licensee within the meaning of Section 2 (h) of the Indian Electricity Act. It was necessary for the supply company to draw 33 K. V. transmission lines from the North Calcutta Grid Sub-Station at Naihati up to their power station at Gorifa, 24-Paraganas for receiving bulk supply from the said North Calcutta Sub-Station. The proposed transmission line involved numerous plots including the plots belonging to the petitioner. The supply company applied to the State Government for the issue of a general authority under Section 51 of the Indian Electricity Act, 1910 whereupon It was advised to obtain necessary way leave from the owners of the plots concerned through amicable negotiations and on payment of reasonable compensation, if necessary. The supply company was advised that in the event of unreasonable objection by the owners, the Government should be approached for the issue of the necessary orders under Section 51. It appears that the company obtained the necessary way leave from almost all the owners by amicable negotiations. There were prolonged negotiations between the supply company and the petitioners for the grant of the necessary way leave through plots Nos. 901 and 902. In course of such negotiation the petitioner Lily Biscuit Company (Private) Limited by its letter dated the 23rd September 1955 written to the Supply Company proposed a new alignment of the transmission lines. By its letter dated the 7th October 1955 the Supply Company agreed to the proposed new line of alignment. It appears that meanwhile certain trees on the two plots were cut down by the employees of the Supply Company without the permission of Lily Biscuit Company (Private) Limited or their directors. The Supply Company by its letter dated 4th November 1955 tendered its apologies for the cutting of the trees. The apology, however, was not accepted. Disputes arose between the Supply Company and the Lily Biscuit Company (Private) Limited and the negotiations for the grant of the way leave by amicable negotiation fell through. The petitioners started proceedings under Section 144 of the Criminal Procedure Code. In the meantime, there was some correspondence between the petitioners and the Electric Inspector, West Bengal. By his letter dated the 4th February 1956 the Electric Inspector asked the petitioner Bivash Chandra Sett to state the grounds of the objections of Lily Biscuit Company (Private) Limited to the grant of the way leave and also to state if they would be prepared to give their consent in the matter under any terms and conditions.
( 3 ) BY its letter dated 11th February 1956 the Lily Biscuit Company (Private) Limited stated that in spite of accepting the proposal for the new alignment the employees of the Supply Company started cutting down trees and that when this was brought to their notice, a letter was sent offering apology. By his letter dated 5th March 1956 the Electric Inspector asked Lily Biscuit Company (Private) Limited to reconsider the matter and stated that the Supply Company was prepared to re-open negotiation if possible and further suggested that a representative of Lily Biscuit Company (Private) Limited might call upon the Electric inspector at his office so that the matter might be discussed.
( 4 ) BY its letter dated the 17th March 1950 Lily Biscuit Company (Private) Limited stated that they were
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