High Court of Gujarat Allows Appeal in Electricity Theft Case — Defendant Not Liable for Unauthorized Use by Third Party Without Proof of Involvement. Theft of Electricity by Direct Hooking from LT Line Does Not Automatically Impute Liability to the Consumer in Absence of Evidence Connecting Him to the Theft.

High Court: Gujarat High Court In Favour of Accused
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Case Note & Summary

The appellant, original defendant, was a consumer of electricity supplied by the respondent, Paschim Gujarat Vij Company Ltd. On 06.02.2002, an electric squad visited the defendant's quarry and found that electricity was being extracted illegally by direct hooking from the Low Tension (LT) line. A notice dated 13.03.2002 was issued to the defendant demanding payment of Rs.6,22,167.98 towards consumption of power illegally, along with delayed payment charges and notice expenses. A supplementary bill was also issued. The plaintiff filed Special Suit No.82 of 2002 for recovery of Rs.6,72,014.98. The trial court decreed the suit. The defendant appealed under Section 96 of the Code of Civil Procedure, 1908. The High Court heard both sides. The court noted that the plaintiff's witnesses admitted that the defendant was not present at the time of inspection and that the theft was by direct hooking, which could have been done by any person. The court held that the burden of proof was on the plaintiff to show that the defendant was responsible for the theft. Since there was no evidence connecting the defendant to the theft, the plaintiff failed to prove its case. The court allowed the appeal, set aside the judgment and decree of the trial court, and dismissed the suit with no order as to costs.

Headnote

A) Electricity Law - Theft of Electricity - Liability of Consumer - Sections 135, 138, 139, 150, 151 of Electricity Act, 2003 - The plaintiff electricity company filed a suit for recovery of dues on account of alleged theft of electricity by the defendant. The trial court decreed the suit. On appeal, the High Court held that the burden of proof lies on the plaintiff to establish that the defendant was responsible for the theft. Mere presence of a direct hooking on the defendant's premises does not automatically impute liability to the defendant, especially when the defendant was not present at the time of inspection and there was no evidence of his involvement. The court set aside the decree and dismissed the suit. (Paras 1-11)

B) Civil Procedure - Appeal against Decree - Section 96 of Code of Civil Procedure, 1908 - The defendant appealed against the judgment and decree passed by the trial court. The High Court, exercising appellate jurisdiction, re-appreciated the evidence and found that the plaintiff failed to prove its case. The appeal was allowed and the decree was set aside. (Paras 1-11)

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Issue of Consideration

Whether the defendant can be held liable for theft of electricity when the theft was committed by direct hooking from the LT line and there is no evidence to show that the defendant himself was involved in the theft or had authorized it.

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Final Decision

Appeal allowed. The judgment and decree dated 11.02.2009 passed by the learned Second Additional Senior Civil Judge & Judicial Magistrate First Class, Porbandar in Special Suit No.82 of 2002 is set aside. The suit is dismissed. No order as to costs.

Law Points

  • Burden of proof in electricity theft cases
  • Liability of consumer for unauthorized use by third party
  • Applicability of Indian Electricity Act
  • 1910 and Electricity Act
  • 2003
  • Requirement of direct evidence for theft
  • Presumption under Section 135 of Electricity Act
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Case Details

2026 LawText (GUJ) (01) 303

R/First Appeal No. 4151 of 2009

2026-01-13

Devan M. Desai

Ashish M. Dagli for appellant, S.P. Hasurkar for respondent

Jaisukhbhai Kanjibhai

Paschim Gujarat Vij Company Ltd

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Nature of Litigation

First appeal against judgment and decree in a suit for recovery of electricity dues on account of alleged theft of electricity.

Remedy Sought

Appellant sought setting aside of the trial court decree and dismissal of the suit.

Filing Reason

Appellant was aggrieved by the trial court decree holding him liable for theft of electricity.

Previous Decisions

Trial court decreed the suit in favor of the plaintiff on 11.02.2009.

Issues

Whether the defendant can be held liable for theft of electricity when the theft was committed by direct hooking from the LT line and there is no evidence to show that the defendant himself was involved in the theft or had authorized it.

Submissions/Arguments

Appellant argued that the plaintiff failed to prove that the defendant was responsible for the theft; the theft could have been done by a third party. Respondent argued that the defendant was the consumer and the theft occurred on his premises, so he is liable.

Ratio Decidendi

In a suit for recovery of dues on account of theft of electricity, the burden of proof lies on the plaintiff to establish that the defendant was responsible for the theft. Mere presence of a direct hooking on the defendant's premises does not automatically impute liability to the defendant, especially when the defendant was not present at the time of inspection and there is no evidence of his involvement.

Judgment Excerpts

The burden of proof lies on the plaintiff to establish that the defendant was responsible for the theft. Mere presence of a direct hooking on the defendant's premises does not automatically impute liability to the defendant.

Procedural History

The plaintiff filed Special Suit No.82 of 2002 in the court of learned Second Additional Senior Civil Judge & Judicial Magistrate First Class, Porbandar. The suit was decreed on 11.02.2009. The defendant filed First Appeal No.4151 of 2009 in the High Court of Gujarat under Section 96 of CPC. The High Court allowed the appeal on 13.01.2026.

Acts & Sections

  • Code of Civil Procedure, 1908: 96
  • Electricity Act, 2003: 135, 138, 139, 150, 151
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