Case Note & Summary
The petitioner, Rakhee Gupta, is the owner of a flat in Mumbai. She entered into a Leave and License Agreement with M/s. Laurent & Benon Management Consultants Ltd. The Brihan Mumbai Electric Supply & Transport Undertaking (BEST), the licensee, conducted an inspection and found that the petitioner was using electricity without a proper meter, amounting to theft of electricity. The Assessing Officer, under Section 126 of the Electricity Act, 2003, passed an assessment order determining the amount payable. The petitioner filed an appeal under Section 127 before the Appellate Authority (Superintendent Engineer, Mumbai Regional Electrical Inspection Committee). The Appellate Authority dismissed the appeal on the ground that the petitioner failed to deposit 50% of the assessed amount as required under Section 127. The petitioner then filed a writ petition under Article 226 of the Constitution of India challenging the appellate order. The High Court held that the requirement of pre-deposit under Section 127 is mandatory and the Appellate Authority had no power to waive it. The court further held that the writ petition was not maintainable as the petitioner had an efficacious alternative remedy under the Act. The court dismissed the petition, upholding the appellate order.
Headnote
A) Electricity Law - Theft of Electricity - Assessment under Section 126 - The petitioner, owner of a flat, was assessed for unauthorized use of electricity by a licensee (BEST). The Assessing Officer passed an order under Section 126 of the Electricity Act, 2003, determining the amount payable. The petitioner filed an appeal under Section 127, which was dismissed for non-compliance with the pre-deposit requirement of 50% of the assessed amount. The High Court held that the Appellate Authority's order was correct and the writ petition was not maintainable as the petitioner had an alternative remedy under Section 127 itself, which required pre-deposit. (Paras 1-10) B) Electricity Law - Pre-deposit Requirement - Section 127 - The court held that the requirement of pre-deposit of 50% of the assessed amount under Section 127 is mandatory and not directory. The Appellate Authority has no power to waive or reduce the pre-deposit. The petitioner's failure to deposit the amount justified the dismissal of the appeal. (Paras 11-15) C) Constitutional Law - Writ Jurisdiction - Article 226 - The court held that the writ petition under Article 226 is not maintainable when there is an efficacious alternative remedy available under the Electricity Act, 2003. The petitioner could have challenged the assessment order before the Appellate Authority by complying with the pre-deposit requirement. The court declined to interfere in the absence of any exceptional circumstances. (Paras 16-20)
Issue of Consideration
Whether the Appellate Authority under Section 127 of the Electricity Act, 2003 was justified in rejecting the appeal for non-compliance with the pre-deposit requirement of 50% of the assessed amount, and whether the writ petition under Article 226 is maintainable despite the availability of an alternative remedy.
Final Decision
The High Court dismissed the writ petition, upholding the order of the Appellate Authority dated 18/01/2016. The court held that the pre-deposit requirement under Section 127 is mandatory and the petitioner failed to comply. The writ petition was not maintainable as the petitioner had an efficacious alternative remedy under the Act.
Law Points
- Electricity Act
- 2003
- Section 126
- Section 127
- Section 135
- Appellate Authority
- Pre-deposit
- Writ jurisdiction
- Article 226
- Alternative remedy
- Natural justice
- Theft of electricity
- Assessment of electricity charges





