GIYA INTERNATIONAL Vs. PUNJAB STATE ELECTRICITY BOARD

JUDGEMENT

(1.) This original complaint has been filed by M/s. Giya International. Sirhind, a partnership firm, against Punjab State Electricity Board with the following allegations:

(2.) One of the terms and conditions of the seller for the sale of the property was that earnest money of Rs. 10.00 lacs was to be deposited by the intending purchaser. The auction was to be held on 8.12.2004. The complainants were the auction purchaser of the property/assets of M/s. Kaynsolidated Enterprises. Though the price of the assets has not been mentioned in the complaint but we can take it that it was much more than Rs. 10.00 lacs as it was only the earnest money.

(3.) The electric connection given by the PSEB to M/s. Kaynsolidated Enterprises had been permanently disconnected on account of non-clearance of outstanding arrears regarding the use of the electricity energy, etc. When the complainant has purchased the property in question in open auction there was no electricity connection. The complainant contacted the Electricity Board for the release of new electric connection but the opposite parties, as per the allegations of the complainant, refused to release new connection unless the arrears against the previous owner regarding the electricity supply were cleared. According to the complainant, since he was in dire need of electric supply to run his factory/business, the complainant had no option but to enter into one-time settlement with a view to start the operation of the factory and the workers working in the unit may start getting their salary. It is further alleged that one-time settlement was under protest. One time settlement dated 14.3.2005 has been appended as Annexure C-4 with the complaint. In a nutshell it provides that the complainant will pay a sum of Rs. 20,86,190 i.e. 25% of Rs. 83,44,763 (including three months MMC), one months advance bill and advance consumption deposit (ACD) at the prevailing rate at the time of reconnection and balance of Rs. 62,58,573 was to be paid in 10 instalments with interest @ 9% per annum. It is mentioned in the one-time settlement, Annexure C-4, that the same had been entered into as per commercial circular No. 42/2002 extended up to 30.6.2005 by CC No. 16/2005 dated 9.3.2005. Calculations were made on the basis of the aforesaid circulars. The complainant was asked to deposit a sum of Rs. 85,43,241 initially to enable the Electricity Board to give connection and further Rs. 62,58,573 was to be paid in 10 monthly instalments. This was informed by the Electricity Board to the complainant vide memo dated 17.3.2005, Annexure C-5. De hors of further details, it may be mentioned that the complainant was released a power connection in the month of May, 2005 on payment of Rs. 34,30,840 as per letter dated 15.4.2005, including the first instalment of arrears of previous firm. This was done on 2/4.5.2005. Complainant received a bill dated 4.6.2005 in the sum of Rs. 5,12,490 from the Electricity Board, which showed Rs. 3,24,790 towards debts of instalment of previous owner and Rs. 1,87,700 towards the actual consumption. This amount was paid by the complainant vide receipt dated 17.6.2005 Annexure C-13. Again a bill was received by the complainant dated 7.6.2005 in the sum of Rs. 26,26,890, Rs. 3,24,790 was towards the instalment of the arrears of previous owner and Rs. 23,02,100 for the actual consumption. This amount of Rs. 26,26,890 was also paid by the complainant on 14.7.2005. Again complainant received a bill dated 4.8.2005 in the sum of Rs. 30,17,370, Rs. 3,24,790 towards the instalment of the arrears of previous owner and Rs. 26,92,580 was for the actual consumption, which was paid on 16.8.2005. Similarly payment of Rs. 3,24,790 towards the instalment of the arrears of previous owner and Rs. 17,32,410 for actual consumption was made by the complainant on 19.9.2005. Yet another sum of Rs. 3,24,790 towards the instalment of the arrears of previous owner and Rs. 14,23,400 towards actual consumption was paid on 18.10.2005. Still another sum of Rs. 3,24,790 towards the instalment of the arrears of previous owner and Rs. 6,89,850 towards the actual consumption was paid on 21.11.2005. In other words, 8 instalments towards arrears of the previous owner were paid. After doing all this, the complainant filed a complaint before this Commission on 13.12.2005 challenging the recovery by the Electricity Board of the arrears of the previous owner qua the use of the electricity supply.