- (1.) The appeals arising out of Special Leave Petitions Nos. 5262-64 of 1992 are directed against order dated February 19, 1992 passed by the Division Bench of the Allahabad High Court disposing of Writ Petition No. 10379 of 1988 challenging the notice dated April 26, 1988 and the demand dated May 17, 1988 of U. P. State Electricity Board and Writ Petition No. 16723/88 and 16325/90 challenging the validity of the bills for the month of June and July, 1988 issued by the U. P. State Electricity Board and also the demand dated June 14, 1990 made by the said Board. By the impugned judgment dated February 19, 1992, the High Court quashed various demand notices issued to the appellant on the basis of check meters installed by the respondent U. P. State Electricity Board and directing that payment for six months would be made on the basis of estimate of Electrical Inspector dated October 10, 1990 and further directing that the fresh bills for the period 7-9-87 to 10-10-90 be issued on the basis of new meter. By the order dated March 10, 1992, the Division Bench of the Allahabad High Court passed an interim order on another Writ Petition filed by the appellant on March 9, 1992 challenging the action of the U. P. State Electricity Board in respect of the bill dated January, 1992 and disconnecting the supply of electricity in the factory of the appellant. By the order dated March 10, 1992, the High Court directed the appellant to deposit Rs. 10 lacs and on such deposit the U. P. State Electricity Board was to restore the connection within 24 hours and also directing the U. P. State Electricity Board to prepare the bills for the period subsequent to 10-10-90 within a month with a further direction to the appellant to pay such bill within a month thereafter.
(2.) The relevant facts leading to the controversy as to the raising demands for the bills and the consequential direction passed by the High Court on February 19, 1992 and March 10, 1992 are stated hereunder.
(3.) On February 7, 1986 U. P. State Electricity Board installed a meter bearing No. 5850497 in the factory of the appellant. The Board carried out periodical inspection and tests and had raised the bills on the basis of the said installed meter and the appellant had also paid such bills. On September 7, 1987 the U. P. State Electricity Board issued a notice raising doubt about the correctness of the said meter No. 5850497. On October 25, 1987, the appellant controverted the contents of the said notice of the Electricity Board and asserted that the meter was correct. No reference to the Electrical Inspector was made under Sectin 26 of the Electricity Act, 1910 by the Board. The Board installed a check meter on November 30, 1987. The appellant, however, deposited the testing fee and requested the Electricity Board to check the said test meter. The Board, however, continued to raise the bills on the basis of the said check meter for the period December, 1987 to May, 1988. On April 26, 1988, the Electricity Board wrote to the appellant that the Bills for May, 1987 to November, 1987 could be revised on the basis of check meter and sought information for the purpose of revising of the bills prior to 1987. On May 17, 1987, the Electricity Board raised a demand of Rs. 10,70,886.82 for the period May, 1987 to November, 1987 on the basis of readings in the check meter and threatened the appellant that the electricity connection would be discontinued if the payment was not made. It was at this stage that the appellant moved a Writ Petition No. 10379 of 1988 challenging the said notice dated April 26, 1988 and the demand dated May 17, 1988. During the pendency of the said Writ Petition, the Electricity Board again raised bills for the months of June and July, 1988 on the basis of check meter and also threatened the appellant that disconnection would be resorted to if the payment was not made. The appellant then moved another Writ Petition No. 16723/88 in the Allahabad High Court challenging the said bills for June and July, 1988. By an interim order, the High Court restrained the disconnection of the electric supply subject to the payment of electricity dues by the appellant on the basis of original meter reading and furnishing security and bank guarantee for Rs. 1 lakh every month. The Electricity Board raised additional demand of Rs. 5,54,963.64 ending July 1988 on the basis of check meter. The appellant moved the third Writ Petition on June 21, 1990 being writ petition No. 16325/90 challenging the demand dated June 4, 1990 for the said sum of Rs. 5,54,963.64. The High Court passed an interim order staying the operation of the demand and directed the appellant to deposit a sum of Rs. 1,50,000/-. It may be stated that on July 9, 1988 the appellant made an application for reference to the Electrical Inspector to check the correctness of the original meter and also the check meter. Between 26th June, 1990 and 28th June, 1990, the work of inspection was carried out and on October 10, 1990 the Electrical Inspector submitted a report containing his decision under Section 26(6) of the Electricity Act, 1910. In the said report, the Electrical Inspector held that the original meter as well as the check meter were incorrect. The Electrical Inspector made an estimate of the energy supplied to the appellant during the period of six months from December, 1989 to May, 1990 and authorised the Board to raise a demand accordingly for a period of six months and the Electrical Inspector also directed that the original meter as well as the check meter should be installed under Section 26(1) of the Electricity Act.;