MIS INDIAN MAIZE AND CHEMICALS LTD. versus STATE OF U.P. AND ORS.

MIS INDIAN MAIZE AND CHEMICALS LTD. versus STATE OF U.P. AND ORS.

Pending proceedings before BIFR do not exempt an industrial consumer from complying with contractual and regulatory payment obligations for electric supply; Board is entitled to disconnect supply for default as per agreement and law, and the petitioner cannot seek direction for uninterrupted supply during BIFR...

Source-derived case information.

Parties
Petitioner: MIS INDIAN MAIZE AND CHEMICALS LTD.; Respondent: STATE OF U.P.; Respondent: U.P. State Electricity Board
Jurisdiction
India
Judgment Date
13 January 1997
Procedural Posture
Special Leave Petition (civil) / Supreme Court Appellate Disposition
Outcome
petition dismissed
Legal Topics
Electricity Supply Agreement, Sick Industrial Companies, Payment Default, BIFR Proceedings, Disconnection of Energy
Electricity Law Industrial Law Electricity Supply Agreement Sick Industrial Companies Payment Default BIFR Proceedings Disconnection of Energy

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Parties

MIS INDIAN MAIZE AND CHEMICALS LTD.

Petitioner

STATE OF U.P.

Respondent

U.P. State Electricity Board

Respondent

Procedural Posture

Special Leave Petition (civil) / Supreme Court Appellate Disposition

Legal Issues

  1. 1 Whether pending proceedings before BIFR under Section 22(1) of Sick Industrial Companies Act bar disconnection for payment default under electricity contract.
  2. 2 Whether the electricity board can disconnect supply for non-payment when rehabilitation proceedings are pending before BIFR.

Ratio Decidendi

Pending proceedings before BIFR do not exempt an industrial consumer from complying with contractual and regulatory payment obligations for electric supply; Board is entitled to disconnect supply for default as per agreement and law, and the petitioner cannot seek direction for uninterrupted supply during BIFR proceedings.

Court Disposition

petition dismissed

Orders

  • special leave petition dismissed