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M S Shivam Iron and Steel Co Ltd Sms Division Vs. Damodar Valley Corporation and Anr - Court Judgment

SooperKanoon Citation
CourtJharkhand High Court
Decided On
AppellantM S Shivam Iron and Steel Co Ltd Sms Division
RespondentDamodar Valley Corporation and Anr
Excerpt:
.....act, 1956 and having its office at main road, hotel park campus, ramgarh and works at gola road, dist. ramgarh, jharkhand through one of its director sri bijay kumar harlalka, son of sri chgandi prasad harlalka resident of hari om towers, a block, lalpur, p.o. & p.s. - lalpur, dist. ranchi (jharkhand). … petitioner with w.p. (c) no. 3182 of 2012 m/s yash alloys pvt. ltd., an existing company within the meaning of the companies act, 1956 and having its office at kusumdih, gola road, ramgarh (jharkhand) through one of its director, sri anil kumar agarwal, son of shri nand lal agarwal resident of adarsh colony, near ashok cinema, ranchi road, marar, p.o. & p.s. - ramgarh, dist. ramgarh (jharkhand). … petitioner with w.p. (c) no. 3188 of 2012 m/s maihar allotys (p) ltd., an.....
Judgment:

1 IN THE HIGH COURT OF JHARKHAND AT RANCHI W.P. (C) No. 3183 of 2012 M/S SUPRE SMELTERS LTD., a company incorporated under the provisions of Companies Act, 1956 having its Factory at Telaiyabasti, Jhumritelaiya, Koderma through one of its Director Sri Deepak Kumar, son of Sri S.R. Agarwal resident of Geetayan, 18H, Alipore Road, P.O. & P.S. - Alipore, Town Kolkata, Dist. West Bengal. … Petitioner WITH W.P. (C) No. 2706 of 2012 M/S ALOKE STEEL INDUSTRIES PRIVATE LIMITED, a company incorporated under the provisions of Companies Act, 1956 having its unit at Hesla, Ramgarh Cantonment through one of its Director Ram Chandra Rungta, son of Late Ram Kumar Rungta resident of Main Road, Ramgarh Cantonment, P.O. & P.S. - Ramgarh, Dist. Ramgarh. … Petitioner WITH W.P. (C) No. 2722 of 2012 M/S JHARKHAND ISPAT PRIVATE LIMITED, a company incorporated under the provisions of Companies Act, 1956 having its unit at Hesla, Ramgarh Cantonment through one of its Director Sri Rajeev Kumar Agarwal, son of Sri Durga Pd. Agarwal, resident of Near Punjab National Bank, Main Road, P.O. & P.S. - Ramgarh, Dist. Ramgarh. … Petitioner WITH W.P. (C) No. 2735 of 2012 M/S BIHAR FOUNDRY & CASTING LTD., a company incorporated under the provisions of Companies Act, 1956 2 having its registered office at Main Road, Ranchi, P.S. - Kotwali Town and District – Ranchi through one of its Directors Dr. Hari Kishan Budhia, son of Late R.K. Budhia, aged about 67 years resident of Near Surendra Nath Centenary School, P.O. - Booty, P.S. - Sadar, District – Ranchi (Jharkhand). … Petitioner WITH W.P. (C) No. 3179 of 2012 M/S DAYAL STEELS LTD., an existing company within the meaning of the Companies Act, 1956 and having its office at Main Road, Hotel Park Campus, Ramgarh and Works at Gola Road, Dist. Ramgarh, Jharkhand through one of its Director Sri Bijay Kumar Harlalka, son of Sri Chgandi Prasad Harlalka resident of Hari Om Towers, A Block, Lalpur, P.O. & P.S. - Lalpur, Dist. Ranchi (Jharkhand). … Petitioner WITH W.P. (C) No. 3182 of 2012 M/S YASH ALLOYS PVT. LTD., an existing company within the meaning of the Companies Act, 1956 and having its office at Kusumdih, Gola Road, Ramgarh (Jharkhand) through one of its Director, Sri Anil Kumar Agarwal, son of Shri Nand Lal Agarwal resident of Adarsh Colony, Near Ashok Cinema, Ranchi Road, Marar, P.O. & P.S. - Ramgarh, Dist. Ramgarh (Jharkhand). … Petitioner WITH W.P. (C) No. 3188 of 2012 M/S MAIHAR ALLOTYS (P) LTD., an existing company within the meaning of the Companies Act, 1956 and having 3 its Works at Marar, Ramgarh, Jhrkhand through one of its Director, Sri Dhananjay Kumar, son of Shri Dhruv Kumar, resident of Basant Vihar Colony, P.O. & P.S. - Ramgarh, Dist. Ramgarh (Jharkhand). … Petitioner WITH W.P. (C) No. 3190 of 2012 M/S SHRIRAM POWER & STEELS PVT. LTD. (formerly known as M/s. Sumi Vyapar Pvt. Ltd.), an existing company within the meaning of the Companies Act, 1956 and having its Works at Naya More, Kuju, Ramgarh, Jhrkhand through one of its Director, Sri Ajay Jain, son of Mahabir Prasad, resident of 49/12, Choti Mandi, Gannaur Sonepath, P.O. & P.S. - Gannaur, Dist. Sonepat (Jharkhand). … Petitioner WITH W.P. (C) No. 3191 of 2012 M/S JAI DURGA IRON (P) LTD., an existing company within the meaning of the Companies Act, 1956 and having its registered office at 70, Diamond Harbour Road, 8B- Dhanshree Tower, Kolkata 700-072 and Works at Jarnakund, Jhumritelaiya, Koderma, Jharkhand through one of its Director Sri Krishna Kumar Agarwal, son of Late I.C. Agarwal, resident of Jhumritelaiya, Koderma, P.O. & P.S. - Jhumritelaiya (M), Dist. Koderma (Jharkhand). … Petitioner WITH W.P. (C) No. 3192 of 2012 M/S CALCUTTA CARBIDE (P) LTD., an existing company within the meaning of the Companies Act, 1956 and having its Works at Rauta, Ramgarh, Jharkhand through one of its 4 Director Sri Manoj Kumar Bhalotia, son of Shri Bhakti Ram Bhalotia, resident of 108, N.S.C. Bose Road, Opp. Lions Eye Hospital, P.O. & P.S. - Raniganj, Dist. Burdwan (West Bengal). … Petitioner WITH W.P. (C) No. 3194 of 2012 M/S BALASHRI METALS PVT. LTD., an existing company within the meaning of the Companies Act, 1956 and having its Works at Gola, Dist. Ramgarh Cantonment, Jhrakhand through one of its Director, Sri Shyam Sunder Choudhary, son of Late Jugal Kishore Choudhary, resident of 18, Gola Road, P.O. & P.S. - Gola, Dist. Ramgarh (Jharkhand). … Petitioner WITH W.P. (C) No. 3195 of 2012 M/S WAR STEELS PVT. LTD., an existing company within the meaning of the Companies Act, 1956 and having its Works at Main Road, Hotel Park Campur, Ramgarh and Works at Marar, Dist. Ramgarh, Jhrakhand through one of its Director, Sri Krishan Kumar Dujari, son of G.D. Dujari, resident of 501, Riviresa Apartment, Old H.B. Road, Kokar, P.O. & P.S. - Lalpur, Dist. Ranchi (Jharkhand). … Petitioner WITH W.P. (C) No. 3196 of 2012 M/S BALAJEE ELECTROSTTELS LIMITED, an existing company within the meaning of the Companies Act, 1956 and having its Registered Office at 203B, N.P. Centre, New Dak Bungalow Road, Patna and Works at Gajhandi Road, Gumo, Jhumritelaiya, Koderma (Jharkhand) through one of 5 its Director, Sri Sushil Kumar Bajaj, son of Sri P.D. Bajaj, resident of 610, Shanti Vihar Fraser Road, P.O. - GPO & P.S. - Kotwali, Dist. Patna (Bihar). … Petitioner WITH W.P. (C) No. 3200 of 2012 M/S HINDUSTAN MALLEABLES & FORGING LIMITED, an existing company within the meaning of the Companies Act, 1956 and having its Office & Works at Jalan Nagar, Bhuli, Dhanbad, Jharkhand through its Managing Director Sri Dilip Kumar Gopalka, son of Sri Shyam Sunder Gopalka, resident of Basera Complex, Ashok Nagar, P.O. - Dhansar & P.S. - Bank More, Dist. Dhanbad (Jharkhand). … Petitioner WITH W.P. (C) No. 3719 of 2012 M/S SUNDARAM FERRO TECH PVT. LTD., a company incorporated under the Companies Act, 1956 having its Registered Office At: Chowk Bazar, Giridih, Jharkhand and its works at Jambad Udnabad, P.O. Udnabad, P.S. Giridih Muffasil, Dist. Giridih through its Authorised Signatory, Shri Ramjeet Kumar Tewary, son of Sri R.N. Tewary, resident of Bara Chowk, Giridih, P.O. & P.S. - Giridih, Town & Dist. Giridih. … Petitioner WITH W.P. (C) No. 3721 of 2012 M/S SHIVAM IRON & STEEL CO. LTD. (SMS DIVISION), a company incorporated under the Companies Act, 1956 having its Registered Office At: Chowk Bazar, Giridih, Jharkhand and its works at Jambad Udnabad, P.O. 6 Udnabad, P.S. Giridih Muffasil, Dist. Giridih through its Authorised Signatory, Shri Ramjeet Kumar Tewary, son of Sri R.N. Tewary, resident of Bara Chowk, Giridih, P.O. & P.S. - Giridih, Town & Dist. Giridih. … Petitioner WITH W.P. (C) No. 3731 of 2012 M/S SHIVAM IRON & STEEL CO. LTD. (SMS DIVISION), a company incorporated under the Companies Act, 1956 having its Registered Office At: Chowk Bazar, Giridih, Jharkhand and its works at Jambad Udnabad, P.O. Udnabad, P.S. Giridih Muffasil, Dist. Giridih through its Authorised Signatory, Shri Ramjeet Kumar Tewary, son of Sri R.N. Tewary, resident of Alkapuri, Giridih, P.O. & P.S. - Giridih, Town & Dist. Giridih. … Petitioner WITH W.P. (C) No. 3846 of 2012 M/S MONGIA STEEL LTD. (formerly known as Mongia Hi- Tech (P) Ltd.), a company incorporated under the provisions of the Companies Act, 1956 having its factory at Mouza Daridih, Giridih through one of its Director Sri Gunwant Singh Saluja, son of Late Daljit Singh Saluja, resident of Netaji Chowk, P.O. - Giridih, P.S. - Giridih, Town & Dist. Giridih. … Petitioner WITH W.P. (C) No. 3852 of 2012 M/S ATIBIR INDUSTRIES CO. LTD., a company incorporated under the provisions of the Companies Act, 1956 having its factory at Manjhiladih, Giridih through one 7 of its Director Sri Para Kumar Sarawagi, son of Sri Mahabir Prasad Kumar Sarawgi, resident of Sarawgi Sadan, Whitty Bazar, Girdih, P.O. - Giridih, P.S. - Giridih, Town & Dist. Giridih. … Petitioner WITH W.P. (C) No. 3854 of 2012 M/S ATIBIR HI-TECH PVT. LTD., a company incorporated under the Companies Act, 1956 having its factory at Tundi Road, Mohanpur, Giridih through one of its Director Sri Santosh Kumar Sarawagi, son of Sri Mahabir Prasad Kumar Sarawgi, resident of Sarawgi Sadan, Whitty Bazar, Girdih, P.O. - Giridih, P.S. - Giridih, Town & Dist. Giridih. … Petitioner WITH W.P. (C) No. 3886 of 2012 M/S ATIBIR INDUSTRIES CO. LTD., a company incorporated under the provisions of the Companies Act, 1956 having its factory at Manjhiladih, Giridih through one of its Director Sri Para Kumar Sarawagi, son of Sri Mahabir Prasad Kumar Sarawgi, resident of Sarawgi Sadan, Whitty Bazar, Girdih, P.O. - Giridih, P.S. - Giridih, Town & Dist. Giridih. … Petitioner WITH W.P. (C) No. 3892 of 2012 M/S BIR STEELS PVT. LTD., a company incorporated under the provisions of the Companies Act, 1956 having its factory at Manjhiladih, Giridih through one of its Director Sri Arpit Kumar Sarawagi, son of Sri Santosh Kumar Sarawgi, resident of Sarawgi Sadan, Whitty Bazar, Girdih, 8 P.O. - Giridih, P.S. - Giridih, Town & Dist. Giridih. … Petitioner WITH W.P. (C) No. 3897 of 2012 M/S SANTPURIA ALLOYS PVT. LTD., a company incorporated under the provisions of the Companies Act, 1956 having its factory at Manjhaladih, Giridih through one of its Director Sri Gunwant Singh Saluja, son of Late Daljit Singh Saluja, resident of Netaji Chowk, P.O. - Giridih, P.S. - Giridih, Town & Dist. Giridih. … Petitioner WITH W.P. (C) No. 3973 of 2012 M/S TULSYAN METALS PVT. LTD., a company incorporated under the provisions of the Companies Act, 1956 having its factory at Gajandih Road, Jumritelaiya, Koderma through one of its Director Sri Ashish Agarwal, son of Sri Binary Praad Agarwal, resident of Flat No. 3-D, Sakambbri Apartment, Patna City, P.O. & P.S. - Patna City, Town & Dist. Patna (Bihar). … Petitioner WITH W.P. (C) No. 3976 of 2012 BALMUKUND SPONGE AND IRON LIMITED, a company incorporated under the provisions of the Companies Act, 1956 having its registered office at 603, Shanti Kunj Apartment, Chajjubagh, Patna, Bihar, through one of its Director Sri Abhishek Kanodia, son of Naval Kumar Kanodia, resident of 38A/1 New Road, Kolkata, West Bengal. … Petitioner 9 WITH W.P. (C) No. 3977 of 2012 M/s SUPER STEEL CASTING LTD., a company incorporated under the provisions of the Companies Act, 1956 having its factory at Gajandih Road, Jumritelaiya, Koderma through one of its Director Sri Shashi Kant Kanoria, son of Shri Sushil Kumar Kanoria, resident of Flat No. A-3, Sinheswar Palace, East Boring Canal Raod, P.O. & P.S. - Boring Canal Road (East), Town & Dist. Patna (Bihar). … Petitioner WITH W.P. (C) No. 5866 of 2012 M/s STEEL AUTHORITY OF INDIA LTD., a Government of India Company registered under S.617 of the Indian Companies Act, 1956, its registered office at Ispat Bhawan, Lodhi Road, New Delhi, having its unit at Bokaro by the name of Bokaro Steel Plant, Bokaro Steel City, P.O. & P.S. - Bokaro Steel City, District – Bokaro through Ajay Kumar, son of Baleshwar Singh, resident of Bokaro Steel Plant, Dy. General Manger, (Town Engg.) Elect. Admn. I/C AC H & A, Rajbhasa, Town Services, Bokaro Steel Plant, P.O. & P.S. & Dist. Bokaro. … Petitioner WITH W.P. (C) No. 6 of 2013 SWATI CONCAST & POWER PRIVATE LIMITED, a company incorporated under the provisions of the Companies Act, 1956 having its unit at Bhadradih, Giridih through its Authorised Signatory Sri Rajeev Kumar Gupta, son of Late D.N. Gupta, resident of Tetritoli, Jorar, Namkum, P.O. & P.S. - Namkum, Dist. Ranchi (Jharkhand). … Petitioner 10 -V e r s u s- 1. DAMODAR VALLEY CORPORATION a licensee under the Electricity Act, 2003 having its Office at DVC Towers VIP Road, Kolkata (W.B.) through its chairman having its office at DVC Towers VIP Road, Kolkata – 700 054 (West Bengal).

2. The Chief Engineer, Commercial, Damodar Valley Corporation (Commercial Department) having its office at DVC Towers, VIP Road, Kolkata – 700 054 (West Bengal) … Respondents (in all cases) ... CORAM: HON’BLE MR. JUSTICE PRASHANT KUMAR. … For the Petitioner : Mr. Nitin Kr. Pasari, Advocate. (in all cases) Mr. Rajiv Ranjan, Advocate Mr. Shresh Gautam, Advocate. Mr. Shray Mishra, Advocate (in WPC586612) For the Respondent-DVC: Mr. Srijit Choudhary, Advocate. Mr. Prashant Kr. Singh, Advocate. Mr. Rohit Roy, Advocate. Mr. Debolina Sen Hirani, Advocate. … 05/13.05.2015 In these writ applications, petitioners challenged the letters issued by Chief Engineer (Commercial), Damodar Valley Corporation (hereinafter referred as 'DVC'), whereby and whereunder the DVC demanded security deposit as per the provision of Clause 10.2 of the Jharkhand Electricity Supply Regulation Code 2005 (hereinafter referred as 'Regulation') for continuing the electrical supply.

2. It is submitted by learned counsel for the petitioners that the Regulation issued by Jharkhand State Electricity Regulatory Commission (in short 'JSERC') has no application on DVC because previously DVC was only a transmission licensee. It is submitted that according to Section 79 of the Electricity Act tariff determined by the Central Electricity Regulatory Commission (in short 'CERC') was applicable to the DVC, because DVC is generating and selling electricity in more than one State. Thus, previously there was dispute as to which commission will determine the distribution tariff of the 11 DVC.

3. It appears that DVC has filed a counter affidavit in W.P. (C) No. 3182 of 2012. In the above counter affidavit the DVC annexed the order dated 30.09.2013 passed in Petition No. 277 of 2010 and Petition No. 293 of 2010 by CERC. It appears from the aforesaid order that CERC observed that DVC shall file application for determination of retail tariff before respective State Commission for the period 2009-14 and pursue the matter for expeditious determination of distribution tariff. Thus, from the aforesaid observation, it is clear that there is no distribution tariff from 2009 on the basis of which DVC can raise bill from its consumers.

4. It is stated at the bar that during the pendency of these writ applications, the Jharkhand State Electricity Regulatory Commission determined the distribution tariff for the financial years 2013-14, 2014-15 2015-16 for the DVC and the said tariff became effective w.e.f. 4 th September 2014. In view of the above facts and circumstances, it is clear that in the year 2012, there is no tariff issued by Jharkhand State Electricity Regulatory Commission. Thus, the DVC is not entitled to raise any bill for security amount as provided under Section 10 (2) of the Regulation.

5. However, learned counsels for the petitioners submit that after determination of distribution tariff for the year 2013-14, 2014-15, 2015-16, the petitioners are ready to pay the security amount as per the terms and conditions mentioned in the agreement, which was entered in between them and the DVC.

6. Learned counsel for the DVC, after taking telephonic instruction from Sri Rajiv Goswami, Dy. Chief Engineer, DVC, fairly submitted that the DVC has no objection, if the petitioners are ready to pay the security amount as per the terms and conditions of the agreement read with Section 47 of the Electricity Act and Clause 10 (2) of the Regulation. 12 7. In view of the aforesaid submission of the parties, these applications are disposed of with following direction:- (i) The DVC will not insist to levy security deposit as per the impugned letters annexed with the writ applications. (ii) The DVC is entitled to raise demand for security amount w.e.f. 4th September, 2014 as per the terms and conditions of the agreement read with Section 47 of the Electricity Act, 2003 and Clause 10 (2) of the Jharkhand Electricity Supply Regulation Code, 2005. (Prashant Kumar, J.) sunil/ 


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