Case Note & Summary
The petitioner, Subodhkumar Manikchand Jain, purchased a property through an auction conducted by the Provident Fund Department. The erstwhile owner had unpaid electricity charges. When the petitioner applied for a new electricity connection, the respondents (Maharashtra State Electricity Distribution Company Limited) refused to grant it on the ground of those arrears. The petitioner filed a writ petition. The High Court had earlier, on 4.5.2009, directed the respondents to provide a connection on condition of depositing money, which the petitioner did. The amount remained lying in court as the respondents could not withdraw it due to non-filing of an undertaking. The court considered the legality of the respondents' refusal. It noted that the auction was never challenged and the petitioner became the legal owner. The court found no specific power enabling the respondents to refuse a new connection to the owner. It relied on the Division Bench decision in Jaisukhlal N. Bhuta v. Maharashtra State Electricity Board, which held that refusal to provide a new connection on the ground of arrears of the previous owner is illegal. The court allowed the petition, directing the respondents to provide a new electricity connection to the petitioner within two weeks, and ordered the refund of the deposited amount with accrued interest to the petitioner.
Headnote
A) Electricity Law - New Connection - Arrears of Previous Owner - Refusal to provide new electricity connection to auction purchaser on ground of unpaid dues of erstwhile owner is illegal and unsustainable - The Division Bench of Bombay High Court held that the action of respondents in refusing new connection is illegal, following the principle laid down in Jaisukhlal N. Bhuta v. Maharashtra State Electricity Board, 2006 (5) Mh.L.J. 371, which relied on Supreme Court judgments under Electricity (Supply) Act, 1948 (Paras 2-4).
Issue of Consideration
Whether the respondents (electricity company) have the power to refuse a new electricity connection to the petitioner, who purchased the property through an auction, on the ground that the erstwhile owner had unpaid electricity charges.
Final Decision
Petition allowed. Respondents directed to provide new electricity connection to petitioner within two weeks. Amount deposited by petitioner in court to be refunded with accrued interest.
Law Points
- Electricity connection cannot be refused to a new owner for arrears of previous owner
- Auction purchaser not liable for prior electricity dues
- Condition to deposit arrears of erstwhile owner for new connection is illegal
