Pongalur Spinning Mills (P) v. The Chairman
IN THE HIGH COURT OF JUDICATURE AT MADRAS
Dated: 1/11/2022 C O R A M THE HONOURABLE MR.JUSTICE N. SATHISH KUMAR a n d W.M.P.Nos.14968 and 14969 of 2017 Pongalur Spinning Mills (P) Ltd rep. By its Managing Director Mr.S.Ranganathan HTSC No.237 SF No.217/1A Ugayanur Road Pongalur 641 667 Palladam Taluk Tirupur District.
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Petitioner Vs
1. The Chairman Tamil Nadu Generation and Distribution Corporation Limited 144 Anna Salai Chennai 600 002.
2. The Chief Financial Controller/Revenue Tamil Nadu Generation and Distribution Corporation Limited 144 Anna Salai Chennai 600 002.
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3. The Superintending Engineer TANGEDCO Tirupur Electricity Distribution Circle Tirupur.
4. Tamil Nadu Electricity Regulatory Commission rep. By its Secretary 19 A Rukmini Lakshmipathy Salai Egmore Chennai 600 008.
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Respondents PRAYER : Petition filed under Article 226 of the Constitution of India praying for the issuance of a writ of certiorari to call for the records of the second respondent contained in impugned letter CFC/FC/DFC/AAO.HT/AS.3/REV/D.N.115/13 dated 29/7/2013 and quash the same as arbitrary, illegal and violative of the provisions of the Electricity Act, 2003 and orders of the TNERC.
For Petitioner ...
Mr.S.P.Parthasarathy For respondents ...
Mr.Abul Kalam Standing Counsel - - - - -
O R D E R
Aggrieved by the withdrawal of the concession of the deemed demand charges extended to the petitioner by the respondents, instant writ petition has been filed.
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2. This issue was considered by the learned single Judge of this Court and similar impugned orders were quashed by this Court. Aggrieved by the same, the respondents have preferred appeals and the same are pending in W.A.Nos.2539 & 2540 of 2018.
3.The Division Bench while entertaining the writ appeals directed the concerned parties to pay 50% of the demand made pursuant to the issuance of the impugned order. The relevant portions in the order passed by the Division Bench are extracted hereunder:
"6. This court has carefully considered the rival submissions and also perused the materials placed. In the light of the stand taken by the Tamilnadu Electricity Regulatory Commission in the counter affidavit in paragraph No.14 in W.P.No.28256 of 2014 etc., batch of writ petitions, coupled with the decision of the said Commission, vide the order dated 31.03.2016 in R.A.No.6 of 2013, this Court is of the considered view that Page No:3/8
prima facie case has been made out for grant of interim orders.
7. Hence, there shall be an order of interim stay as prayed for till 17.12.2018. It is also brought to the notice of this Court by the learned Advocate General that during the pendency of the writ petitions interim stay has been granted subject to the condition that the writ petitioners pay 50% of the amount demanded within a stipulated time.
8. Therefore, in the light of the above facts and circumstances, and reasons assigned above, this Court is of the considered view that the same arrangement shall continue till the disposal of the writ appeals for the reason that appellant in the event of success in these appeals may not be able to recover it and there may be possibility of respondents / writ petitioners to wind up operations due to vagaries of business or other reasons. Therefore, without prejudice to the rights and Page No:4/8
contentions, the first respondents / writ petitioners shall continue to pay 50% of the demand made as per the impugned orders / demand, the subject matter of challege in the writ petitions, within a period of two weeks from the date of each demand. It is also made clear that the amount collected by virtue of the interim order in the writ petitions as well as in these writ appeals, by the appellant is also subject to the result of these writ appeals, and if the appellant fails, they are liable to refund the Deemed Demand Charges already collected from the first respondents / writ petitioners. Call on 17.12.2018.
4. In the light of the above order passed by the Division Bench, the petitioner has been paying 50% deemed demand charges. Hence, this writ petition is disposed of, with a direction to the petitioner to continue to pay 50% of the demand made towards the deemed demand charges till the writ appeals are disposed of by the Division Bench. It is also made clear that the payment made by the petitioner will be subject to the result of the writ appeals and Page No:5/8
petitioner shall abide by the final order passed by the Division Bench while disposing of the writ appeals.
5.In the result, this writ petition is disposed of, accordingly. No costs. Consequently, connected miscellaneous petitions are closed. 1/11/2022 Index : Yes / No Internet: Yes Speaking/non speaking order mvs.
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To
1. The Chairman Tamil Nadu Generation and Distribution Corporation Limited 144 Anna Salai Chennai 600 002.
2. The Chief Financial Controller/Revenue Tamil Nadu Generation and Distribution Corporation Limited 144 Anna Salai Chennai 600 002.
3. The Superintending Engineer TANGEDCO Tirupur Electricity Distribution Circle Tirupur.
4. The Secretary Tamil Nadu Electricity Regulatory Commission 19 A Rukmini Lakshmipathy Salai Egmore Chennai 600 008.
N. SATHISH KUMAR, J Page No:7/8
mvs.
W.P.No.13781 of 2017 1/11/2022 Page No:8/8