HIGH COURT OF JHARKHAND
JHARKHAND ISPAT PRIVATE LIMITED THROUGH ONE OF ITS DIRECTOR RAM CHANDRA RUNGTA – Appellant
Versus
DAMODAR VALLEY CORPORATION THROUGH ITS CHAIRMAN – Respondent
WPC 3578 / 2022
IN THE HIGH COURT OF JHARKHAND AT RANCHI W.P.(C) No. 3578 of 2022 ….…..
Jharkhand Ispat Private Limited, a company incorporated under the provisions of the Companies Act, 1956, having its unit at Hesla, Ramgarh Cantonment through one of its Director Ram Chandra Rungta, Son of Late Ram Kumar Rungta aged about 61 Years, Resident of Main Road, Ramgarh Cantonment, P.O. & P.S. Ramgarh, Dist.-Ramgarh (Jharkhand).
..… Petitioner Versus
1. Damodar Valley Corporation, a Statutory Body, incorporated under Damodar Valley Corporation Act, 1948, carrying on business inter alia “DVC Towers”, VIP Road, P.O.
& P.S. VIP Road, Kolkata-700054 through its chairman.
2. Chief Engineer (Commercial) Damodar Valley Corporation, Commercial Department, DVC Towers, VIP Road, P.O. & P.S. VIP Road, Kolkata-700054.
3. The Superintending Engineer (E), GOMD-V, DVC Ramgarh, P.O. and P.S. Ramgarh, Jharkhand-829122.
4. The Executive Engineer (E), GOMD-V, DVC, Ramgarh Sub Station, District-Ramgarh, P.O. & P.S. Ramgarh, Jharkhand 829122. ..... Respondent(s)
….…..
CORAM: HON’BLE MR. JUSTICE DEEPAK ROSHAN ….…
For the Petitioner(s) : M/s. Nitin Kr. Pasari, Samiksha Kumari, Shubham Gurung, Neyaba Ahab,Ms. Simoni Tulsyan and Gaurav Kaushlesh Advocates For the Respondents :M/s. Srijit Choudhary, Tanya Rai, Aayush Ojha, Chiranjeev Mahto, Advocates ….…..
C.A.V. ON 26/03/2026 PRONOUNCED ON:04/05/2026
1. Heard learned counsel for the parties.
2. The present writ petition has been filed challenging the order dated 16.07.2022 passed by the Superintendent Engineer (E), Damodar Valley Corporation (Annexure-8 to the Writ Petition), exercising powers under section 126 of the Electricity Act, 2003, in compliance to the order passed by this Court dated
07.04.2022, in W.P.(C) No.95 of 2008.
3. The instant writ petition involves a unique dispute and as such, very briefly the facts are narrated, as submitted before this Court.
4. The Petitioner-Company is a manufacturing unit of Iron and Steel having a contract demand of 8000 KVA and the electrical connection had been taken from the respondent herein.
On 10/16.10.2007, pursuant to a request made by the petitioner for replacement of defective meter, the energy meter was replaced, acceding to such request of the petitioner.
All of a sudden, on 01.01.2008, the electrical connection of the unit was discontinued in the evening hours, the reason thereof came to the knowledge of the petitioner only on 02.01.2008, that an F.I.R. had been registered and allegation of theft of electricity has been levelled against the petitioner.
5. The petitioner approached this Court by filing a writ petition vide W.P.(C) No. 95 of 2008 and also filed an Interlocutory Application for restoration of its electrical connection vide I.A. No.138/2008.
6. A Counter Affidavit was filed by the respondents in the writ petition inter-alia on the ground that an inspection was carried out in the factory premises and certain seals were found to be missing and small copper wire (six in numbers) was used for shorting the electrical connection and based upon which, the connection was discontinued.
It was also averred in the Counter Affidavit filed by the Respondents that there had been detection of huge power loss in terms of Check Meter installed at Ramgarh Sub-Station from where electricity is being supplied to the petitioner, as also, other consumers and on the basis of alleged tampering of meter, the difference of actual supply and consumption is found to be 20%
lesser and as such, the electrical connection was discontinued.
On 24.01.2008, the petitioner was served with a provisional estimated of penal amount to the tune of ₹17.80 Crores approximately. The said provisional estimate was in two parts:
a) Unit Charges b) Demand Charges
7. The provisional assessment was based upon the units recorded in the meter of Ramgarh Sub-station and difference in units recorded in the meter of petitioner installed in the factory premises.
8. The writ petition was heard by this Court and vide order dated 28.01.2
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