BIHAR STATE ELECTRICITY BOARD versus THE PATNA ELECTRIC SUPPLY CO. LTD. & ORS.

BIHAR STATE ELECTRICITY BOARD versus THE PATNA ELECTRIC SUPPLY CO. LTD. & ORS.

PESCO is entitled to recover Rs. 36.59 lakhs from BSEB, since it has been able to prove through affidavits and certificates from Bank of India that the amount had been paid by it to the Bank in settlement of liabilities shown in its accounts.

Parties
Appellant: Bihar State Electricity Board; Respondent No.1: Patna Electric Supply Company Limited; Interested Party: Bank of India
Jurisdiction
India
Judgment Date
01 September 2011
Procedural Posture
Civil Appeal / Order on Interlocutory Application
Outcome
Application disposed of
Legal Topics
Purchase Price Determination, Book Value Compensation, Settlement of Dues

Case Brief

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Parties

Bihar State Electricity Board

Appellant

Patna Electric Supply Company Limited

Respondent No.1

Bank of India

Interested Party

Procedural Posture

Civil Appeal / Order on Interlocutory Application

  1. 1 Whether PESCO is entitled to recover Rs. 36.59 lakhs from BSEB for payment made to Bank of India in settlement of liability shown in PESCO's accounts

Ratio Decidendi

PESCO is entitled to recover Rs. 36.59 lakhs from BSEB, since it has been able to prove through affidavits and certificates from Bank of India that the amount had been paid by it to the Bank in settlement of liabilities shown in its accounts.

Court Disposition

Application disposed of

Orders

  • BSEB directed to reimburse to PESCO Rs. 36.59 lakhs, together with interest at 6 per cent per annum from 19.12.2001 till the date of the order.
  • Payment to be made within one month from the date of communication of the order.