Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Sick Industrial Companies (special Provisions) Act 1985 |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Allowed |
Headnote | Sick Industrial Companies (special Provisions) Act, 1985:Sick Unit of National Textile Corporation - Electricity disconnection-Liability to pay late payment surcharge - Under the Scheme approved by BIFR, Electricity Board to writ off interest and damages - HELD: High Court failed to refer various letters and stands urged before it - Matter remitted to High Court - Parties would move BIFR to clarify whether delayed payment surcharge is included in interest or damages in view of conceded position that no interest was levied-Order of BIFR shall be placed before High Court which would thereafter decide the matter expeditiously.The appellant-Cotton Mill was a unit of National Textile Corporation U.P. Ltd. Production in the Mill was stopped in 1992, and the electricity supply to it was disconnected. The matter of sickness of the Mill was referred to the Board for Industrial and Financial Reconstruction under the Sick Industrial Companies (Special Provisions) Act, 1985. BIFR approved the Scheme, in para 5.03(v) and 5.04 whereof the Electricity Board was to writ off interest and damages on electricity as regards the appellant-Mill and to accept only the principal amount. A bill towards principal amount for electricity consumption and a sum towards late payment surcharge was raised by the respondent-Corporation. According to the appellant it paid the principal amount and took a stand that demand for late payment surcharge was contrary to the scheme. The High Court held against the Mill.In the instant appeal filed by the Mills, it was contended for the appellant that in the case of another Unit of the NTC, namely, Lord Krishna Mills' case, similar relief was claimed and granted and, there being no distinctive feature in the instant case, the High Court was not justified in refusing the relief. |
Judge | Hon'ble Dr. Justice Arijit Pasayat |
Neutral Citation | 2007 INSC 1159 |
Petitioner | Bijli Cotton Mill (unit Of National Textile Corporation U.p. Limited) |
Respondent | U.p. Power Corporation Limited & Ors. |
SCR | [2007] 12 S.C.R. 129 |
Judgement Date | 2007-11-16 |
Case Number | 5275 |
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