CAV Order

1. This writ petition is filed by the petitioner seeking following reliefs:-

“10.1.That, this Hon’ble Court may kindly be pleased to quash the order dated 02.03.2022 bearing No.244/TAK/2022 issued by the respondent No.4 and the order dated 10.02.2022 bearing No.659/TAK/2022 passed by the respondent No.5 by which the wrong calculation sheet was issued to the petitioner.

10.2. Any other relief (s)/order (s) /direction (s) in favour of petitioner, which this Hon’ble Court may deem fit and proper in the facts and circumstances of the case, in the interest of justice.

10.3. Cost of the petition.”

2. Learned counsel for the petitioner would submit that petitioner is registered under the Companies Act, 1956 having its registered office at Village- Dagori, Tahsil-Bilha, District-Bilaspur. Petitioner- company has established a Sponge Iron Plant at Village -Dagori. To fulfill the water requirement of petitioner’s plant, petitioner moved an application initially on 21.05.1991 before State Government seeking permission to use the water of river Shivnath which flows adjacent to the plant of petitioner and sought permission to use 3 MGD water for its plant from river Shivnath. The Industry was using only 720 cubic meter water per day according to its need and the Irrigation Department of the Sate levied water charges according to such quantity of consumed water. It is contention of learned counsel for the petitioner that, earlier agreement was not executed between parties. Petitioner submitted proposal for execution of agreement to which respondents have raised no objection and accordingly the agreement dated 17.05.2017 was executed between the petitioner and respondent No.1. According to terms and conditions of agreement, petitioner deposited a sum of Rs.43,87,510/- as the water rates and local fund cess for the quantity of water to be drawn by the company in three months. As per the agreement, petitioner company has permission to draw 4,16,667 cubic meter of water per month from river Shivnath and the water changes is fixed as Rs.3.51 Cum/per unit. Petitioner was depositing water charges regularly, however, due to shutting down of petitioner’s plant, petitioner failed to deposit the water charges for few months during intervening period from May 2017 til date, for some of the months, but later on, the petitioner has made lump-sum payment of Rs.2 crores to settle old dispute of payment. On 04.01.2022, respondent No.4 issued a memo giving calculation of Rs.136.14 lakh pending against the petitioner till December 2021. In the calculation made, respondents have adjusted all the payments which have been made by the petitioner. But on 10.02.2022 respondents have raised the demand of Rs.229.86 lakh miscalculating the amount in contravention of earlier letter dated 04.01.2022. While calculating the aforementioned amount in its letter dated 10.02.2022, respondent No.4 has not considered the settlement of arrears for a period from July 2019 to June 2020 and interest and surcharge has been raised treating the bill paid for current month regularly from June 2020 till February 2022. Petitioner is requesting for reconsideration of the demand note dated 10.02.2022 and submitted representation on 27.02.2022 in this regard. However without considering the representation submitted by the petitioner on 27.02.2022 and deciding the same has again raised demand on 02.03.2022 which was revised to the tune of Rs.197.07 lakh. Again the calculation is wrongly done and therefore petitioner again submitted reminder on 16.03.2022 for reconsideration of the demand note dated 10.02.2022 which is pending for decision till date and again on 06.06.2022 demand is raised to the tune of Rs.211.14 lakhs. It is contention of learned counsel for the petitioner that the demand letter issued by respondent is arbitrary, illegal and contrary to law applicable to facts and circumstances of present case. The calculation made is erroneous without considering the earlier payment