(1)
CHANDIGARH HOUSING BOARD AND ANOTHER ........ Vs.
NARINDER KAUR MAKOL ........Respondent D.D
13/07/2000
Facts:A commercial plot was allotted on a free-hold basis to the respondent's husband.The allotment required completion of the building according to sanctioned plans.The husband constructed a building with the ground floor for commercial use and first and second floors for residential purposes.The respondent applied for a residential plot, declaring no ownership of residential property in the...
(2)
DIVYA MANUFACTURING COMPANY (P) LTD. ........ Vs.
UNION BANK OF INDIA AND OTHERS ........Respondent
TIRUPATI WOOLLEN MILLS SHRAMIK SHANGHARSHA SAMITY AND ANOTHER ….Appellant
VERSUS
THE OFFICIAL LIQUIDATOR AND OTHERS ….Respondent D.D
11/07/2000
Facts:Tirupati Mills, incorporated in 1972, faced financial distress and was declared a sick industrial company in 1988.On 5-7-1997, an agreement was made between Tirupati Woollen Mills Shramik Sangharsha Samity ("Samity") and appellant-Divya for the purchase of assets and re-employment of workers.Legal proceedings ensued, leading to a series of court orders and appeals.Offers for the sa...
(3)
PIARA SINGH ........ Vs.
STATE OF PUNJAB AND OTHERS ........Respondent D.D
10/07/2000
Facts: The dispute centered around land measuring 2 Kanals 12 Marias, classified as "gair mumkin toba" or pond land, in village Khokhar, Punjab. Respondent No. 2 claimed ownership through an auction in 1959. Appellant, inducted as a tenant in 1978, contended the land was evacuee property. The appellant was growing sugarcane on the land.Issues:Discrepancy in the auctioned land's clas...
(4)
RAMESH CHANDRA ACHARYA ........ Vs.
REGISTRAR, HIGH COURT OF ORISSA AND ANOTHER ........Respondent D.D
26/06/2000
Facts:The petitioner was appointed as a temporary Munsif in 1981, confirmed in 1985, and later promoted to a Civil Judge in 1993.A review in 1998 allowed the petitioner to remain in service until the age of 58.A subsequent decision, invoking Rule 71(A1), mandated the petitioner's retirement at the age of 58.Issues: Whether Rule 71(A1) is valid and in compliance with previous judgments, specif...
(5)
BHAVESH D. PARISH AND OTHERS ........ Vs.
UNION OF INDIA AND ANOTHER ........Respondent D.D
12/05/2000
Facts: The petitioners, engaged in providing credit to the public, challenged the constitutionality of Section 45-S, alleging that it prohibited them from accepting public deposits for their business. They argued that this restriction adversely affected various sectors with seasonal financial needs.Issues:Constitutionality of Section 45-S concerning the acceptance of public deposits by non-banking...
(6)
BIHAR STATE ELECTRICITY BOARD ........ Vs.
THE PATNA ELECTRIC SUPPLY CO. LTD. AND OTHERS AND THE UNITED PROVINCES OF ELECTRIC SUPPLY CO. LTD. ........Respondent
Sections, Acts, Rules, and Articles Mentioned:
Article 19(1), Article 31(2), Article 39: Constitution of India, 1950
Section 5, Section 6, Section 7: Electricity Act, 1910
Subject:
Appeal against the judgment delivered by a Division Bench of the Calcutta High Court related to the acquisition of electric undertakings by Bihar State Electricity Board.
Headnotes:
Facts:
The Government of Bihar granted a license for the supply of electric energy to M/s. Octavices Steel & Co. Ltd. in 1924, later transferred to the 1st Respondent.
The license had a term of 50 years, ending on February 5, 1974.
Appellant served notice under Section 6(1) of the Indian Electricity Act, 1910, calling for the sale of the undertaking on the license expiration.
Ordinances and an Amendment Act were passed in 1974, amending Sections 6 and 7A of the Indian Electricity Act.
Issues:
Validity of the amended Sections 6 and 7A concerning the purchase of electric undertakings.
Constitutional validity of the amendments challenged on the grounds of violating Article 19(1)(f) and Article 31(2).
Whether the amendments had a reasonable and direct nexus to the principles under Article 39(b) of the Constitution.
Nature of the acquisition: whether it was for material resources or a chose-in-action.
Held:
The acquisition was part of the policy of nationalization of electric companies by the Union of India.
Constitutional Bench upheld the validity of the Act/Ordinance, stating it had nexus with the principles in Article 39(b) and was protected by Article 31(c).
The Act was not a piece of colorable legislation; it aimed at nationalization of the undertaking and was eligible for protection under Article 31(c).
The financial costs of the nationalization scheme were integral and inseparable, and economic considerations for nationalization were not justiciable.
The rights to compensation did not crystallize upon giving the notice; licensee's rights were affected only when the undertaking was actually taken over.
Referred Cases:
Tinsukhia Electric Supply Co. Ltd. Vs. State of Assam and others, AIR 1990 SC 123 : (1989) 3 SCC 709 : (1989) 2 UJ 712
Maharastra State Electricity Board Vs. Thane Electric Supply Co. and others, AIR 1990 SC 153 : (1989) 3 SCC 616 : (1989) 2 UJ 427
Bihar State Electricity Board and Others Vs. Patna Electric Supply Co. Ltd. and Another, AIR 1982 Cal 74 : 86 CWN 43
Vellore Electric Corporation Ltd. and Another Vs. State of Tamil Nadu and Others, AIR 1989 SC 1741 : (1989) 1 JT 105 Supp : (1989) 1 SCALE 1103 : (1989) 4 SCC 138 : (1989) 2 SCR 475
JUDGMENT
S.N. Variava, J.—This Civil Appeal is against the judgment dated 22nd July, 1981 delivered by a Division Bench of the Calcutta High Court (since reported in Bihar State Electricity Board and Others Vs. Patna Electric Supply Co. Ltd. and Another, . By this Judgment the Division Bench dismissed the Appeal filed by the Appellant against a Judgment of a learned Single Judge of the Calcutta High Court which upheld the challenge of the 1st Respondent to Ordinances and the Amendment Act set out hereinafter.
2. Briefly stated the facts are as follows:
On 6th February 1924 the Government of Bihar granted to one M/s. Octavices Steel & Co. Ltd. a licence for supply of electric energy. This licence was subsequently transferred to the 1st Respondent. One of the terms of the licence was that at the end of the licence period the Government had a right to purchase the undertaking. The licence was for a period of 50 years. The 50 years period would thus end on 5th February, 1974. On 5th January 1973 the Appellant served a notice on the 1st Respondent, u/s 6(1) of the Indian Electricity Act, 1910 (hereinafter called the said Act). By this the Appellant called upon the 1st Respondent to sell the undertaking to the Appellant on the expiry of the period of 50 years from the commencement of the licence, i.e., at 12 O' clock in the night between the 5th and 6th February, 1974.
3. Respondent No. 5 is an Electric Company whose undertaking is also purchased. They were added by Order dated 31.3.1992. In their case the facts are that they were granted a licence for 50 years on 17th September, 1914. The Notice to take over was given on 9th August, 1963 and the undertaking was taken over on 17th September, 1964.
4. On 2nd February 1974, Indian Electricity (Bihar Amendment) Ordinance No. 50 of 1974 was passed. This Ordinance amended certain provisions of the Indian Electricity Act. This Ordinance was followed by two other Ordinances being Ordinance No. 83 of 1974 and Ordinance No. 123 of 1974. Thereafter, the Indian Electricity (Bihar Amendment) Act, 1974 (Act No. 15 of 1975) was passed. These Ordinances and the Act, amended amongst others Sections 6 and 7A of the Indian Electricity Act.
5. At this stage it is necessary to see what the unamended Sections 6 and 7A pro vided for. They read as follows:
6. Purchase of undertakings- (1)Where licence has been granted to any person, not being a local authority, the State Electricity Board shall, -
(a) in the case of a licence granted before the commencement of the Indian Electricity (Amendment) Act, 1959 (32 of 1959), on the expiration of each such period as is specified in the licence; and
(b) in the case of a licence granted on or after the commencement of the said Act, on the expiration of such period not exceeding thirty years and of every such subsequent period, not exceeding twenty years, as shall be specified in this behalf in the licence;
have the option of purchasing the undertaking and such option shall be exercised by the State Electricity Board serving upon the licensee a notice in writing of not less than one year requiring the licensee to sell the undertaking to it at the expiry of the relevant period referred to in this Sub-section.
(2) Where a State Electricity Board has not been constituted, or if constituted, does not elect to purchase the undertaking, the State Government shall have the like option to be exercised in the like manner of purchasing the undertaking.
(3) Where neither the State Electricity Board nor the State Government elects to purchase the undertaking, any local authority constituted for an area within which the whole of the area of supply is included shall have the like option to be exercised in the like manner of purchasing the undertaking.
(4) If the State Electricity Board intends to exercise the option of purchasing the undertaking under this D.D
12/05/2000
Facts:The Government of Bihar granted a license for the supply of electric energy to M/s. Octavices Steel & Co. Ltd. in 1924, later transferred to the 1st Respondent.The license had a term of 50 years, ending on February 5, 1974.Appellant served notice under Section 6(1) of the Indian Electricity Act, 1910, calling for the sale of the undertaking on the license expiration.Ordinances and an Ame...
(7)
COMMISSIONER OF INCOME TAX, TRIVANDRUM ........ Vs.
M/S. ANAND THEATRES ......Respondent D.D
12/05/2000
Facts: The assessee claimed depreciation at 15% on a theater building, asserting it as 'plant.' The Assessing Officer allowed depreciation at 5%. The Commissioner of Income Tax (Appeals) approved the claim, later confirmed by the Income Tax Appellate Tribunal.Issues: Whether a theater building can be considered 'plant' for depreciation purposes under the Income Tax Act.Held:The...
(8)
GHAZIABAD DEVELOPMENT AUTHORITY ........ Vs.
UNION OF INDIA AND ANOTHER ......Respondent D.D
12/05/2000
Facts: Ghaziabad Development Authority announced schemes for allotment of developed plots. Claimants alleged unreasonable delays and failures in scheme implementation. Various forums found the Authority at fault and directed refund of amounts paid by claimants.Issues:Compensation for mental agony.Awarding interest in the absence of a contractual obligation.Determination of the appropriate interest...
(9)
KAMLA DEVI ........ Vs.
LAXMI DEVI ........Respondent D.D
12/05/2000
Facts:Appellant (landlady) owns property at Masjid Moth, New Delhi, including an open plot of land (suit plot).Respondent (tenant) constructed an unauthorized latrine on the suit plot.Parties settled the dispute earlier with a compromise where respondent became the tenant of the suit plot.Landlady terminated the tenancy and filed a suit for possession, contested by the tenant on the ground that th...