Summary
The Court held that an electricity distributor could assess charges for unauthorised consumption under section 126 even when it also pursued a theft complaint under section 135. Theft through meter tampering fell within unauthorised use, and assessment did not depend on a consumer’s request for reconnection. The Special Court’s eventual determination of civil liability remained relevant, with excess deposits refundable under section 154(6). The contrary High Court orders were set aside.
Issues
- Whether section 126 assessment could proceed where the same conduct was alleged to constitute theft under section 135.
- Whether assessment depended on a request for restoration of supply and how it related to Special Court civil liability.
Provisions considered
- Section 126, Electricity Act, 2003Unauthorised use included consumption through a tampered meter; provisional and final assessment remained available despite a theft complaint. (¶ 10–14)
- Section 135(1) and (1A), Electricity Act, 2003Criminal theft required dishonest conduct; the disconnection and restoration provisions did not confine assessment to cases where reconnection was requested. (¶¶ 10, 12–14)
- Section 154(5)–(6), Electricity Act, 2003The Special Court’s civil-liability jurisdiction did not displace section 126 assessment; excess deposits over its final determination were refundable as provided by the Act. (¶¶ 10, 12, 14)
Held
- Not every unauthorised use was theft, but theft covered by section 135 came within unauthorised use for section 126. A theft complaint therefore did not bar provisional or final revenue assessment. (¶ 11–14)
- The High Court erred in distinguishing consumers who sought restoration after disconnection from those who did not. The statutory assessment power was not contingent on a restoration request. (¶¶ 12, 14)
- Criminal guilt required proof beyond reasonable doubt and mens rea; that strict standard did not govern section 126 assessment. A Special Court could separately determine civil liability, with excess deposits refundable under section 154(6). (¶ 12–14)
- The impugned Division Bench judgment and its corrected order were set aside. (¶ 15)
Result
Distributor’s appeal allowed; High Court Division Bench judgment of 18 December 2017 and corrected order of 7 February 2018 set aside. No order as to costs. The decision resolved the assessment-power issue, not criminal guilt.