LAWS(MPH)-2002-1-42

JYOTI OVERSEAS LIMITED Vs. M P ELECTRICITY BOARD

Decided On January 03, 2002
JYOTI OVERSEAS LIMITED Appellant
V/S
M.P.ELECTRICITY BOARD Respondents

JUDGEMENT

(1.) BY filing this petition under Articles 226/227 of Constitution of India, the petitioner seeks quashing of a decision taken by the M. P. E. B. contained in their letter dated 12-5-96 (Annexure P-1) and the consequential demand based on the said impugned decision dated 3-6-1995 (Annexure P-2), dated 12-6-95 (Annexure P-3), dated 14-7-95 (Annexure P-4 ). Facts of the case lie in a narrow compass. It essentially involves an interpretation of a notification detailed infra. They, however, need mention in brief.

(2.) THE petitioner is a limited Company duly registered as such under the Companies Act. It is engaged in the business of manufacture of several kinds of cotton, cloth/fabrics. These fabrics are heavily and thickly woven with multiple warp/weft/yarns. The petitioner is having its manufacturing unit at Indore. The petitioner has entered into an agreement with the M. P. Electricity Board (for short "board") for supply of electricity to their manufacturing unit.

(3.) A dispute arose while opting for the tariff between the petitioner and the Board as to at what rate the petitioner is liable to pay electricity charges. The contention of the petitioner was that they being engaged in the business of manufacture of various kinds of cloth are governed by the electricity tariff applicable for Textile Mills as defined in notification dated 1-12-1988 issued by the Board (Annexure P-8) whereas the contention of the Board was that petitioner cannot be regarded as a Textile Mill nor they cannot be regarded as a manufacturer of cotton as provided in the notification, and hence no benefit of the tariff which is applicable to Textile Mills can be extended to petitioner. According to Board, the petitioner's case was governed by residuary entry of notification i. e. , VII. Since the Board did not accept contention of the petitioner and hence conveyed their decision by their letter dated 12-5-1995 (Annexure P-l) holding therein that petitioner will have to pay their electricity bill as per rates defined in residuary Clause VII of the notification i. e. , rates applicable to those units which are not falling in any other categories i. e. , I, II, III, IV and VI. As a consequence, the demand of electricity bills were raised on the petitioner as per rates specified in Clause VII. It is against this decision and the impugned demands, the petitioner has felt aggrieved and filed this writ.