Partly allowed

V.R.Sadasivan and Another v. Special Officer(Revenue)Kseb & Ors.

Kerala HC18 Jul 2019RSA/799/2009

Case brief

AI extract

What is this about?

This regular second appeal concerned recovery of interest on excess electricity charges paid by a small scale industry due to a slab modification. The court held that without a specific debarring provision, interest applies under general law for the last three years.

What did the court decide?

Decree and judgment of courts below set aside; decree for recovery of Rs.29,147/- granted with interest at 6% per annum from date of suit.

V.R.Sadasivan and Another Vs Special… — Banking and Recovery | Kerala HC (2019)

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IN THE HIGH COURT OF KERALA AT ERNAKULAM

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PRESENT

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THE HONOURABLE MR. JUSTICE P.SOMARAJAN

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THURSDAY, THE 18TH DAY OF JULY 2019 / 27TH ASHADHA, 1941

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RSA.No.799 of 2009 (C)

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AGAINST THE DECREE & JUDGMENT DATED 19-02-2009 IN AS No.319/2007 of ADDITIONAL DISTRICT COURT, VADAKARA

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AGAINST THE DECREE & JUDGMENT DATED 8.10.2007 IN OS No.16/2006 of SUB COURT, VADAKARA

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APPELLANTS: (APPELLANTS/PLAINTIFFS)

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1 V.R.SADASIVAN, SON OF KANARAN, AGED 53 YEARS, MANAGING PARTNER, RANI FOOD PRODUCTS, CHORODE-P.O., VATAKARA, VATAKARA TALUK.

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2 V.R.KRISHNAN, SON OF CHEKKU, PARTNER & (CONSUMER NO.20/1634), RANI FOOD PRODUCTS, CHORODE-P.O., VATAKARA, VATAKARA TALUK.

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BY ADVs. SRI.TPM.IBRAHIM KHAN (SR.) SMT. RAZIA BEEVI P.J. SRI. ABDUL MAJEED K.M.

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RESPONDENTS: (RESPONDENTS/DEFENDANTS)

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1 SPECIAL OFFICER(REVENUE), KERALA STATE ELECTRICITY BOARD, VYDYUTHI BHAVANAM, PATTOM, THIRUVANANTHAPURAM.

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2 THE DEPUTY CHIEF ENGINEER, KERALA STATE ELECTRICITY BOARD, ELECTRICAL CIRCLE OFFICE, EDODI, VATAKARA, VATAKARA TALUK.

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3 THE ASSISTANT ENGINEER, ELECTRICAL MAJOR SECTION, KERALA STATE ELECTRICITY BOARD, MUTTUNGAL, RAVARANGOTH-P.O., VATAKARA TALUK.

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4 THE SECRETARY, KERALA STATE ELECTRICITY BOARD, PATTOM, THIRUVANANTHAPURAM TALUK.

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BY ADVS.SRI.RAJU JOSEPH (SR.) R1 TO R4 SRI.K.T.PAULOSE, SC, KSEB, R1 TO R4

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THIS REGULAR SECOND APPEAL HAVING BEEN FINALLY HEARD ON 18.07.2019. THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

R.S.A.No.799 of 2009

JUDGMENT

A suit for recovery of damages being the interest payable in respect of the amount received in excess by the defendants/Electricity Board came up for consideration before the Trial Court as well as the First Appellate Court and both the courts below dismissed the suit. Aggrieved by the said decree and judgment, the plaintiffs came up with this appeal.

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The question came up for consideration is whether the courts below are justified in not granting a decree for realization of interest amount payable in the absence of a debarring provision or a contract to the contrary.

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Admittedly, the earlier slab pertaining to the SSI Unit run by the plaintiffs was modified and altered into another slab as per the direction issued by this Court in a Writ OP by way of an order passed by the Assistant Executive Engineer attached to the defendants by which an order for reimbursement (return) of the excess amount received by way of electricity charges was also ordered. But, no provision was made in the said order for payment of interest. Aggrieved by the non grant of interest, the plaintiffs came up with a

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R.S.A.No.799 of 2009

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suit for recovery of damages by way of interest and claimed an amount of Rs.1,77,163/- by way of interest to the excess amount retained by the KSEB/the defendants.

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It is an admitted case of both the parties that as per the direction issued by this court, the slab was changed thereby it was found that what is received by the KSEB by way of electricity charges are in excess of what is required to be paid by the plaintiffs and by virtue of the order passed by the Assistant Executive Engineer the said amount sought to be adjusted towards the future electrical energy charges. But the question of interest not addressed by the Executive Engineer. There is no provision anywhere in any of the enactment dealing with the matters of KSEB debarring the plaintiffs from claiming interest with respect to the amount which was received in excess except the security deposit. This amount will not form part of any security deposit. As such, the general law governing interest would come into play and KSEB is liable to pay interest, but the claim can only be allowed with respect to the last 3 years from the date of suit as per the provisions contained in the Limitation Act. So the plaintiffs are entitled to interest from March 2003 to April 2004. A calculation statement was forwarded by the learned counsel for the appellants showing the interest accrued on each and every month which is as follows:

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R.S.A.No.799 of 2009

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03/2003	-	Rs.3871
04/2003	-	Rs.3594
05/2003	-	Rs.3569
06/2003	-	Rs.3041
07/2003	-	Rs.2765
08/2003	-	Rs.2488
09/2003	-	Rs.2212
10/2003	-	Rs.1911
11/2003	-	Rs.1617.06
12/2003	-	Rs.1382.5
01/2004	-	Rs.1106
02/2004	-	Rs.829.5
03/2004	-	Rs.553
04/2004	-	Rs.207 -----------------
Total		Rs.29146.6

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===========

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The learned counsel for respondents fairly submitted that the

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calculation arrived at by the learned counsel for appellants is correct

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by applying interest rate at the rate of 12%. So the total amount due

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by way of interest comes to Rs.29,147/-. The appeal is liable to be allowed to that extent by modifying the decree and judgment of the

R.S.A.No.799 of 2009

courts below.

The appeal is allowed in part. The decree and judgment of both the courts below is set aside and granted a decree of recovery of amount of Rs.29,147/- with interest at the rate of 6% per annum from the date of suit till the date of realization to the plaintiffs. No order as to cost of appeal.

Sd/-

P.SOMARAJAN

DMR/-

JUDGE

V.R.Sadasivan and Another v. Special Officer(Revenue)Kseb & Ors.

Case brief

What is this about?

What did the court decide?

V.R.Sadasivan and Another v. Special Officer(Revenue)Kseb & Ors.

Case brief

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