(1.) The Kerala Financial Corporation, hereinafter called "the KFC" had taken over the firm, M/s. Sakthi Electrical Industries Private Limited, in exercise of the powers conferred under Section 29(1) of the State Financial Corporations Act, 1951. Later in exercise of the powers conferred under Section 29(2) of the Act, KFC has executed sale deed No. 859 of 2003 of the Sub Registry Office, Vennikulam in favour of the petitioners after inviting tenders and accepting the highest offer made by the petitioners. Ext. P1 is the sale deed executed which contains the following clause.
(2.) Petitioners after purchasing the industrial unit started a new unit under the name and style "M/s. A.M. Cartons". The Board examined the petitioners' application and sent reply dated 7-1-2004 informing them that power to the extent of 33 K.W. could be allotted to the petitioners on condition that the petitioners would remit an amount of Rs. 83,242/- towards arrears pending recovery from the consumer No. 5819 (LT IV) dismantled from the said premises. Petitioners are aggrieved by the condition imposed by the Electricity Board and have approached this Court seeking a writ of mandamus directing the respondents to grant them electricity supply to the extent of 33 KW to the premises of M/s. A.M. Cartons and also sought a writ of certiorari to quash condition No. 7 imposed by the Board. Learned Single Judge allowed the writ petition directing the Board to give electric connection to the petitioners. Aggrieved by the said order, this appeal has been preferred by the Board.
(3.) A Full Bench of this Court in Suraj v. K.S.E. Board has held that reconnection or new connection need not be given to any premises where there are arrears on any account due to the Board pending payment unless the arrears including penalty, if any, are cleared in advance. The Court ordered that if the new owner/ occupier/allottee remits the amount due from the previous consumer, the Board shall provide reconnection or new connection depending on whether the service remains disconnected/dismantled, as the case may be. In view of the settled legal position, in our view, learned single Judge was not justified in giving direction to the Board to give electric connection to the premises of the petitioners.