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2023 Supreme(P&H) 3040

IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
VINOD S. BHARDWAJ, J.
Punjab State Power Corporation Limited & Ors. – Petitioners
Versus
Sub Divisional Magistrate-Cum-Appellate Authority, Batala & Anr. – Respondents
CWP NO. 21355 of 2015
Decided On : 09-08-2023

Advocates Appeared:
Ms. Promila Nain, Advocate; For the Petitioners
Mr. Gagandeep Singh Sirphiki, Advocate for Respondent No.2.

Headnote:(A) Electricity Act, 2003 - Sections 126, 127, 135, 152, and 154 - The penalty of Rs. 1,37,356/- imposed for theft of electricity was deemed inappropriate as the Appellate Authority determined that the proper scrutiny was not afforded to the consumer, who was deceased, hence the order was set aside. (Paras 1, 21)

(B) Appellate Authority's Jurisdiction - The powers conferred by statute dictate jurisdiction; hence, powers of appeal cannot be interpreted broadly. The demand raised under Section 135 (1A) does not constitute a civil liability assessment as envisioned in Section 126. (Paras 14, 20)

Facts of the case:
The petitioners challenged an appellate authority's decision which found a penalty unjust based on the evaluation procedure, claiming the connection was checked post the consumer's death and a case of theft was established. (Paras 1, 2)

Findings of Court:
The appellate authority lacked the prescribed powers under the Electricity Act to hear appeals on theft cases, leading to the annulment of its order. (Paras 21)

Issues: Whether the appellate authority had the jurisdiction to entertain the appeal related to Section 135 (1A) and the implications of the consumer's death. (Paras 20)

Ratio Decidendi: The court noted that jurisdiction must derive from statute, and the alleged theft assessment under Section 135 cannot be treated as a civil liability under Section 126, hence rendering the appellate authority’s order void. (Paragraphs 20, 21)

Result: Petition allowed; the order of the Sub Divisional Magistrate is set aside.

Table of Content
1. details of electricity theft case (Para 1 , 2 , 3 , 4)
2. legal challenge to appellate authority's decision (Para 5)
3. arguments regarding meter installation and theft (Para 6 , 7)
4. legal arguments concerning jurisdiction and fir registration (Para 8 , 9 , 10 , 11)
5. court's analysis on statutory powers and liability (Para 12 , 13 , 14 , 15 , 16 , 17 , 18 , 19 , 20)
6. court's final judgment and order (Para 21)
7. conclusion and directions for further remedies (Para 22)

JUDGMENT

Mr. Vinod S. Bhardwaj, J. (Oral)

Challenge in the present petition is to the order dated 27.04.2015 (Annexure P-1) passed by the Sub Divisional Magistrate, Appellate Authority, Batala whereby the appeal of the respondent has been accepted and it has been held that the penalty of Rs. 1,37,356/- levied by the petitioner-PSPCL is not appropriate and the demand vide letter No. 84 dated 20.01.2015 was without any valid basis.

2. It has been submitted by the petitioner that an electricity connection bearing Account No. G-18HF750847A was running in the name of one Harvinder Singh who was consumer of the petitioner-department and sole proprietor of the filling station. The said Harvinder Singh passed away on 21.01.2015, however, no intimation was given to the petitioner-PSPCL about the date of his death. The electricity connection was checked by the Sub Divisional Officer alongwith other staff members vide LCR No. 1048/22552 dated 09.09.2013 and it was detected at the spot that both the ME Lab seals of the meter were broken alongwith both the edges/clamps of the meter. The meter was checked at heater load and it was found to be running slow by 75%. Since it was a case of theft of electricity, a report was prepared by the officials of the petitioner. The Manager of the Filling Station was present during the inspection, however, he refused to sign the said report despite being asked.

3. On the next day, the connection was changed vide MCO No. 075/29466 dated 09.09.2013 and the disconnected meter was packed immediately in a cardboard box at the spot. The consumer was asked to sign the box and the documents, however, he refused to do so and requested that meter be checked in the ME Lab. Memo No. 1720 dated 23.04.2014, Memo No. 1783 dated 16.12.2014, Memo No. 1837 dated 30.05.2014, Memo No. 1996 dated 23.07.2014 and Memo No. 8 dated 02.01.2015 were sent to the Consumer and he was to be present in the ME Lab at the time of inspection of the meter, however, he chose not to appear despite receipt of the said notices.

4. Having been left with no alternative, the meter was produced in the ME Lab after preparing the challan, by the Junior Engineer Harbhajan Singh on 16.01.2015, where it was inspected by a Committee including SDO, ME Laboratory Engineer, Additional SE City Division and other officials. During the external inspection of the meter it was detected that the seals of meter and side screw was found missing. The ultrasonic welding of meter was found to be broken. During the internal inspection of the meter, it was found that the wire leading from CT to Circuit was intercepted and the meter was found permanently slowed by the consumer by fiddling with the same and hindering the meter from recording the actual reading. It was thus concluded to be a case of theft of electricity under Section 135 of the ELECTRICITY ACT , 2003. After inspection, the meter was repacked by the ME Lab and handed over to Junior Engineer, Harbhajan Singh. A penalty notice bearing Memo No. 84 dated 19.01.2015 for a sum of Rs. 1,37,356/- was issued to the consumer. However, the same was not paid whereupon another notice vide Memo No. 84 dated 19.01.2015 was sent to the SHO Anti Power Theft, Police Station Verka for registration of the FIR for commission of theft of electricity and Case FIR No. 131 dated 13.02.2015 under Section 135 of the ELECTRICITY ACT , 2003 was registered against the respondent-consumer. The said proceedings are stated to be still pending. It is informed t

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