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Madras High CourtWP/27197/2017disposed of

Birin Spinning Mills Ltd v. The Chairman

2021-11-19Honourable Mr Justice Krishnan Ramasamy5 pages

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 19.11.2021 C O R A M THE HON'BLE MR. JUSTICE KRISHNAN RAMASAMY W.P.Nos.27197 & 27198 of 2017 and W.M.P.Nos.29063 to 29068 of 2017 Birin Spinning Mills Ltd., HTSC No.266, S.F.No.5/148, Tirupur Road, P.B.No.26, Avanashi, Coimbatore - 641 654, Rep.by its Authorized Signatory E.Selvan.

...Petitioner in W.P.No.27197/2017

Sri Jayajothi & Co.Ltd.. HTSC No.228, 70, Alagai Nagar, Rajapalayam - 17 by its Authorized Signatory B.Seenivasagam.

...Petitioner in W.P.No.27198/2017

Vs 1.The Chairman, Tamil Nadu Generation and Distribution Corporation Limited, (TANGEDCO), 144, Anna Salai, Chennai - 600 002.

2.Chief Financial Controller/Revenue, TANGEDCO, 144, Anna Salai, Chennai - 600 002.

...R1 & R2 in both Wps.

3.The Superintending Engineer, TANGEDCO, Coimbatore Electricity Distribution Circle/South, Coimbatore.

....R3 in WP.27197/17 4.The Superintending Engineer, Virudhunagar Electricity Distribution Circle, TANGEDCO, Virudhunagar.

...R3 in WP.27198/17

5.Tamil Nadu Electricity Regulatory Commission, Through its Secretary No.19A, Rukmini Lakshmipathy Salai, Egmore, Chennai - 600 008.

...4th Respondent in both WPs.

COMMON PRAYER: Writ Petitions filed under Section 226 of the Constitution of India, prayed for the issuance of 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 29.07.2013 and quash the same as arbitrary, illegal and violative of the provisions of the Electricity Act, 2003 and the orders of the TNERC. For Petitioners :

Mr.S.P.Parthasarathy For Respondents :

Mr.Abdul Kalam Standing Counsel for R1 to R3 ...in both WPs.

COMMON ORDER These writ petitions have been filed aggrieved by the withdrawal of the concession of the deemed demand charges extended to the petitioners by the respondents. 2.The similar issue involved in the present writ petitions was already considered by a learned single Judge of this Court and similar impugned orders were quashed by this Court. Aggrieved by the same, the respondents therein, have preferred writ 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 portion in the order passed by the Division Bench is 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 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 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.By order dated 24.07.2017, this Court granted interim injunction on condition that the petitioners pay 50% of the demand which is impugned in the writ petitions within a period of

two weeks from the date of receipt of a copy of the said order, failing which the interim order will get automatically vacated. Pursuant to the same, the petitioners have also been paying the 50% deemed demand charges. Hence, the petitioners are directed 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 petitioners will be subject to the result of the writ appeals and petitioners shall abide by the final orders passed by the Division Bench while disposing of the writ appeals. 5.With this direction, these writ petitions are disposed of. No Costs. Consequently, connected miscellaneous petitions are closed.

Sd/- Assistant Registrar(CS-V) // True Copy // Sub Assistant Registrar Pns To:

1.The Chairman, Tamil Nadu Generation and Distribution Corporation Limited, (TANGEDCO), 144, Anna Salai, Chennai - 600 002.

2.Chief Financial Controller/Revenue, TANGEDCO, 144, Anna Salai, Chennai - 600 002.

3.The Superintending Engineer, TANGEDCO, Coimbatore Electricity Distribution Circle/South, Coimbatore.

4.The Superintending Engineer, Virudhunagar Electricity Distribution Circle, TANGEDCO, Virudhunagar.

5.The Secretary, The Tamil Nadu Electricity Regulatory Commission, No.19A, Rukmani Lakshmipathy Salai, Egmore, Chennai - 600 008.

+2cc to Mr.R.S.Pandiyaraj, Advocate SR.No.59734 W.P.Nos.27197 & 27198 of 2017 BP(CO) CB(20/12/2021)