KAMACHI STEELS LIMITED Vs. STATE OF TAMIL NADU

JUDGEMENT

(1.) THE present Writ Petition has been filed by one M/s.Kamachi Steels Limited, challenging the impugned order passed by the 4th respondent/the Superintending Engineer, Chennai Electricity Distribution Circle/North, Chennai in letter No.SE/CEDC/N/(O)/AAO/HT/AS/F.E. Tax/D/03 dated 31.12.2003 and quash the same.

(2.) THE petitioner Company is manufacturing steel ingots and obtained High Tension Service Connection bearing No.1612 from the 4th respondent/the Superintending Engineer, Chennai Electricity Distribution Circle/North, Chennai on 06.11.2000 for a sanctioned load of 1825 KVA.

(3.) BUT, in the year 2003, the 4th respondent suddenly issued the impugned letter Lr.No.SE/CEDC/N/(O)/AAO/HT/AS/F.E.Tax/D/03 dated 31.12.2003 informing the petitioner that the electricity tax exemption granted to the petitioner stood cancelled from 16.06.2003 in view of the repealing of the old Tamil Nadu Electricity Duty Act, 1929 and the Tamil Nadu Electricity (Taxation on Consumption) Act, 1962 and hence the exemption allowed for the new industrial undertakings under Section 3-A of the Tamil Nadu Electricity (Taxation on Consumption) Act, 1962 was restricted upto 15.06.2003 only. As a result, the 4th respondent has also asked the petitioner to pay a sum of Rs.11,49,773.42/-.Since the petitioner also apprehended the risk of disconnection in the event of not paying the above said amount, the present Writ Petition has been filed under Article 226 of the Constitution of India on the ground that the impugned order passed by the 4th respondent is arbitrary and also against the principles of natural justice.