Complaint No. 162/2005
Dr. Dharmendra P. Mehta
Address at "Shriji Orthopedic Hospital"
Near Doshi Tower
Morbi ..... Complainant
-Versus -
Paschim Gujarat Vij Co. Ltd.
Through Deputy Engineer
Town Sub-Division
Morbi ...... Opponent
Shri K.H. Nathvani- Advocate for the complainant
Shri D.B. Vasavada - Advocate for opponent
Corum : Shri H. D. Chaglani, President
Shri B.J. Dave, Member
- JUDGMENT -
1. By present complaint complainant under Section-12 of the Consumer Protection Act, 1986, complainant has challenged Electric Consumption Bill issued by opponent company in tune of Rs.3,60,394=25 and subsequently issuance of revised bill in place of earlier bill in tune of Rs.2,48,338=23 on the ground that the bill issued in violation of Section-126 of the Electricity Act-2003 and procedure laid down under Rules and Regulations of the said act, and further claimed refund of the said amount with interest @ 18% p.a. and has also claimed Rs.90,000/- which he paid to opponent at the time of issuance of earlier bill Rs.3,60,394=25. Complainant has also claimed Rs.20,000/- compensation on the ground of mental agony and harassment and Rs.5,000/- towards cost of the complaint against opponent.
2. The facts giving rise to this complaint in short may be stated as follow :
That complainant has obtained Electricity Connection bearing No. 32303/04862/3 and as such complainant is the consumer of opponent company. According to the case of complainant, he used to pay Electricity Consumption Bills regularly. On 31-12-2004, the Deputy Engineer of opponent company has made inspection of Electricity Connection of the complainant and prepared checking report in absence of Panchas and without making Panchnama. At relevant time complainant was busy with diagnoses and surgery of his patient, so the Deputy Engineer of opponent company filled up report in his own way without testing electricity load. The Deputy Engineer of opponent company has asked the complainant that complainant uses more load than sanctioned load, and further, he disconnected the Electricity Connection of the complainant. In fact the meter box was OK and it was in working condition. The meter reading was 7919 on 24-11-2004 whereas it was 7340 on the date of inspection 31-12-2004. The Terminal Box wiring was also OK. Only Y.B. Phase was burnt. There was no external element in the meter. There was nothing to say that complainant has committed power theft. Inspite of that his connection was disconnected without laboratory test. Complainant was issued supplementary bill in tune of Rs.4,32,473=08 even without affording opportunity of being heard to the complainant under Section-126 of the Electricity Act-2003, and after issuance of this supplementary bill, the complainant was served with the notice dated 15-01-2005 and asked to remain present for laboratory test on 17-02-2005. At the time of laboratory test of the meter, nothing was found to say that it was a case of power theft. Inspite of that, by making false allegation regarding power theft, the supplementary bill which was earlier given for Rs.4,32,473=08, was revised in tune of Rs.3,60,394=25, and thereafter, again it was revised and given for Rs.2,48,339=23, and thereby opponent has committed deficiency in service. Therefore, the present complaint for the relief stated at out set.
3. Opponent has been served with notice, in response; it appeared and opposed the complaint by filing written statement at Exh-14. The contentions of the opponent in detail have been stated in its written statement Exh-14. Inter-alia, the main contention of the opponent may be stated as follow :
It is admitted by this opponent that complainant runs "Shriji Orthopedic Hospital" at Morbi, and in his hospital, complainant has obtained Electricity Connection. It is three phase connection. Further it is contended by this opponent that complainant was found using excess load than 4.5 K.W. sanctioned to him. It is also contention of this opponent that complainant has tampered with the meter at the time of inspection, the plastic seals at the meter box were not found, paper seals were also broken, the sealing screws of the meter box were also found open and there was scratches on reading counter and disc of the meter, and as such it was a case of power theft. Inspite of that complainant was given opportunity of being heard and his bill was also revised after hearing the complainant. The meter was checked in presence of the complainant and it was found that complainant has committed power theft. So supplementary bill was given quite in accordance with the Rules and Regulations. The Electricity Connection of the complainant was also reconnected by recovering 20%amount of the disputed bill. Under these circumstances, in the contention of this opponent, complaint is false, the allegations leveled against opponent are false and complaint is not maintainable. It deserves to be dismissed.
Further, it is contended by this opponent that the Electricity Connection given to the complainant is commercial; therefore, this forum has no jurisdiction to entertain the complaint. So also it deserves to be dismissed.
4. In support of his case, complainant has produced documentary evidence at Mark-3/1 to Mark-3/4, Mark-12/1 and Mark-12/2, Mark-17/1. Proof affidavit at Exh-16. Reply to the interrogatories on oath at Exh-25. Documentary evidence at Mark-27/1 to Mark-27/2. Amended complaint at Exh-29. Further affidavit at Exh-30. Interrogatories to the opponent at Exh-34/1. Except this, complainant has adduced no other evidence.
5. The opponent has produced interrogatories at Exh-21, proof affidavit of Deputy Engineer at Exh-33. Reply to interrogatories at Exh-33/A and at Exh-34/A. Except this, opponent has adduced no evidence.
6. The complainant has submitted written arguments at Exh-39.
7. Opponent has submitted written arguments at Exh-41 and further written arguments at Exh-42.
8. From the facts of pleadings, evidence on record and in view of the arguments of the parties, following points arose for our determination :
1) Whether this Forum has jurisdiction to entertain this complaint?
2) Whether complainant proves that opponent has committed deficiency in service by bay of issuance of illegal supplementary bill in tune of Rs.2,48,338=23 and by way of illegal recovery of Rs.90,000/- towards earlier bill (Pre-revised bill for Rs.4,32,473=08?
3) To what relief complainant is entitled for?
4) What order?
9. Our findings on the above stated points are as follow for the reasons stated below :
1) In the Affirmative.
2) In the Affirmative.
3) Complainant is entitled to the amount of Rs.2,48,338=23 including Rs.90,000/- paid by the complainant with running interest @ 8% from the date of payment.
4) As per final order.
10. Reasons :
Issue No. 1 :
On this point, it is the contention of this opponent that complainant was given commercial three phase connection, therefore, this Forum has no jurisdiction under Section-2(1)(d) of the Consumer Protection Act, 1986 to entertain present complaint. As against this it is the argument of complainant that admittedly complainant is orthopedic Surgeon. He runs "Shriji Orthopedic Hospital" at Morbi. The complainant has produce Electricity Consumption Bills at Mark-3/3 to Mark-3/7 issued by opponent. It is in the name of Dr. Darmendra P. Mehta. So it is clear from these bills issued by opponent that admittedly complainant is the Doctor and not businessman. Now it is the argument of Mr. K.H. Nathavani, Ld. Advocate for the complainant that commercial transaction does not include profession or professional transaction. In support of his argument, he relied on the decision of Hon'ble Bombay High Court in case of Dena Bank Vs. Prakash Birbhan Kataria & others reported in AIR 1994 BOMBAY 343. He has also relied on the decision of Hon'ble Supreme Court in case of Dr. Devendra M. Surti Vs. The State of Gujarat reported in AIR 1969 SUPREME COURT 63. In that case it was held by the Hon'ble Supreme Court that -
"Profession Carried on by individual by his personal skill and intelligence - When can fall under Section-2(4) - Test - Private dispensary of doctor is not commercial establishment5. 8 Guj LR 395, revised".
Further, it was observed in para-6 of this judgement of Hon'ble Supreme Court that - "The correct test of finding whether a professional activity falls within section-2(4) of the Act is whether the activity is systematically and habitually undertaken for production or distribution of goods or for rendering material services to the community with the help of employees in the manner of a trade or business in such and undertaking".
In view of above decision of Hon'ble Supreme Court, the commercial transaction does not include profession or professional transaction and there is distinct line among two. Particularly a professional activity must be an activity carried on by an individual by his personal skill and intelligence, whereas in commercial transaction, production or distribution of goods or for rendering material services to the community with the help of employees in the manner of trade or business are habitually undertaken. Under these circumstances, we cannot accept the contention of opponent that this Forum has no jurisdiction to entertain complainant's complaint, and complaint does not fall within the jurisdiction of this Forum under Section-2(1)(d) of the Consumer Protection Act, 1986. Accordingly We hold this point in the Affirmative.
Issue No. 2 :
On this point it is the case of the complainant that opponent have committed deficiency in service by issuing supplementary bill on the ground of alleged power theft by the complainant in violation of Provision of Section-126 of the Electricity Act-2003. As per case of the complainant, complainant used to pay Electricity Bills regularly. At the time of checking of electricity meter of the complainant, the meter was found in working condition. No Panchnama or Rojkam was prepared in presence of Panchas at the time of checking by the Deputy Engineer. The complainant himself was busy in his work at the time of checking. The Deputy Engineer prepared checking-sheet in his own way. The electrical load was also not tested. Inspite of that he falsely, in his own way mentioned the electricity load in the checking-sheet and asked the complainant that he used more electricity load than sanctioned load 4.5 K.W. Before laboratory report, supplementary bill was given to the complainant in absence of any evidence to show that complainant has committed power theft. The first bill was in tune of Rs.4,32,473=08 issued by opponent to complainant on 03-01-2005, at that time no laboratory report was made. In fact, thereafter, on 15-01-2005, complainant was served with notice to remain present for laboratory test on 17-01-2005. Thereafter, the said bill was revised and given for Rs.3,60,394=25. Again it was revised an last supplementary bill was given for Rs.2,48,339=23. Referring this fact, it is the argument of Mr. Nathavani, Ld. Advocate for the complainant that opponent himself was not certain about the amount of supplementary bill it was demanded Rs.4,32,473=08. Thereafter, it was revised for amount of Rs.3,60,394=25, and lastly it was revised for Rs.2,48,339=23. These revised bills issued frequently, discloses that opponents were not certain and sure regarding assessment of supplementary bill. Secondly, it is issued without any evidence regarding power theft committed by the complainant as it were issued prior to laboratory test. Lastly it is the argument that as per allegation of opponent, for alleged power theft, opponent has only relied on laboratory test report, which is produced at Mark-3/12. As per this report, there was no seal on meter box, paper seals were broken and on opening of the mater, some scratches mark were found on the disc and counter of the meter. Except this, no other evidence has produced by opponent to show that complainant has committed power theft. In the argument of Mr. Nathavani, Ld. Advocate for complainant, at the time of inspection of the disputed meter by the Deputy Engineer, admittedly independent Panchas were not present, the condition of the meter was not written by drawing Panchnama in presence of the Panch, but Deputy Engineer himself has prepared the report in his own way. This is itself irregularity on part of the opponent and checking-sheet was prepared in violation of principle of natural justice.
Thereafter, under Section-126 of the Electricity Act, 2003, it was for opponent company to follow the procedure under Section-126 of the Electricity Act for the assessment of supplementary bill. At the time of inspection of any place, if Assessing Afficer comes to the conclusion that consumer has used unauthorized electricity, as per procedure he should have provisionally assessed the electricity charges payable by the consumer and provisional assessment should be served upon to the concerned person. On service of provisional bill under Section-126(3), consumer is entitled to file objection against provisional assessment before Assessing Officer. Thereafter, it is for assessment Officer to afford opportunity of being heard to such person and to pass the final order of assessment of electricity charges payable by such person. These procedures are not followed in present case. On perusal of Mark-27/4, which is provisional bill served upon to the complainant by opponent, but no date is mentioned in this document. There is nothing on record to show that complainant was afforded opportunity of being heard, and after hearing the complainant a final assessment was passed. In this case, mandatory provision of Section-126 of the Electricity Act, 2003 not followed. Therefore, supplementary bill dated 03-01-2005 in tune of Rs.3,42,473=08 is the bill without following the procedure under Section-126 of the Electricity Act, 2003, which is produced by the complainant at Mark-3/10. Similarly the recovery of Rs.90,000/- + Rs.100/- for reconnection charges that too without following procedure under Section-126 of the Electricity Act and even prior to laboratory testing report. In other words, without ascertaining the fact that complainant has whether committed power theft or not. Before coming to the conclusion on the basis of evidence that there was a power theft, Rs.90,000/- were recovered on 31-12-2004 as per receipt Mark-3/9. Thereafter, revised bill Mark-27/2 in tune of Rs.2,48,338=23 dated 27-06-2005 was issued. How the bill was revised whether on the basis of evidence or representation by the complainant is also not cleared in this revised bill. On perusal of bill Mark-3/10 dated 03-01-2005 and Mark-27/3 dated 17-01-2005, it is clear that nothing is specified that on what basis the earlier bill Mark-3/10 was revised and reduced to Rs.2,48,338=23. This is also go to show that opponents were not certain about the assessment of supplementary bill. Further, it is argued by Mr. Nathvani that as per defence of opponent, complainant has used more load than sanctioned load 4.5 K.W. On this basis, it is alleged by opponent that complainant has committed power theft. It is also against the Circular of Gujarat Urja Vikas Nigan Ltd. dated 27-06-3008. The said circular is produced with the list of authorities relied upon by the complainant. In clause-6 of this Circular, "use of more load than sanctioned load does not amount to unauthorized use of electricity", is mentioned there.
Now, opponent has changed its version. At the time of adducing evidence, the Engineer Mr. Rankja in his affidavit Mark-33/A tried to say that the supplementary bill was served upon to the complainant at the time of checking and it was found that complainant had committed power theft. But on perusal of his affidavit in reply to Question No. 5, he had to admit that checking was not made in his presence, at the time of laboratory testing he was also not present. So witness has no personal knowledge as to how the complainant has committed power theft because he was not present at the time of checking. Subsequently, he was also not present at the time of laboratory testing when old meter which was brought down by the person who made checking of complainant's connection. To level charge of power theft, only laboratory test report Mark-3/12 is there on record. Except that nothing is there to show that complainant has committed power theft. Referring this document, it is argued by Mr. Nathavani that prior to supplementary bill, the electricity consumption bill from February/March-04 to October/November-2004 were paid by the complainant and copy of the same is produced at Mark-3/2 to Mark-3/7, that means the meter was in working condition. As per bill Mark-3/7 dated 24-11-2004, it is alleged that complainant has tampered with the meter seal and installation. As per this bill, the electricity consumption is shown as 1070 units. Thereafter, according to checking sheet dated 31-12-2004, the meter reading is shown 7919.04 and earlier reading is shown as 7340. That means, from disputed bill dated 24-11-2004 to 31-12-2004, the checking sheet of the meter has recorded consumption of 579.04, that means meter was in working condition and it is not that, that the meter was going slow or not recording the consumption or complainant has arranged device so as to use electricity by way of bye-passing the meter that there may be use of electricity, but consumption of the same cannot be recorded.
Now in the say of opponent, as per laboratory checking report, the meter body was in OK condition. No external or substance found inside of the meter. The wiring of terminal block was also OK. Simply paper seals were broken and plastic seals on the body of the meter were not found, scratches were there on the disc. On the basis of this observation of the laboratory report, it is alleged by the opponent that complainant has committed power theft. But in the argument of Mr. Nathvani, Ld. Advocate for the complainant, simply scratches on the disc, breaking of paper seals, plastic seals on the meter body is not sufficient to presume power theft. But it was for opponent to establish with cogent evidence that complainant had utilized electricity by arranging device in the manner so as to by bye-passed meter and reading of used energy was not recorded in the meter. But to that effect, opponent could not adduce any evidence except laboratory report. This laboratory report does not clarify as to in what manner meter was bye-passed and electricity was used. Mr. Nathavani has relied in support of his argument on the decision of our Hon'ble Gujarat State Consumer Disputes Redressal Commission in the case of Gujarat Electricity Board Vs. Dr. Rekhaben S. Jha reported in I (2005) CPJ 403. In that case our Hon'ble State Commission has held that -
"Consumer Protection Act, 1986 - Section 15 - Electricity - Theft - Meter tempered - No independent person present at time of checking - Time, date and place of checking not informed to complainant - Violation of principles of natural justice - Meter reading roll tempered with - Pressure coil and current coil found in order - No foreign material found from meter - Theft not proved - No material difference between prior bills and subsequent bills - Power and technical knowledge misused by O.P.'s Officer - Filing of caveat in Civil Court unjustified - No occupier of residential premises would have economic interest in handling or tempering with meters - Mere checking sheet or Panchnama would not suffice - Documents should be tested on evidence and touchstone of probabilities of each case - False case of tempering of meters set up with aid of one employee, who had gone to complainant's premises and misused technical knowledge of disturbing meters - Complaint rightly allowed by Forum - No interference required in appeal".
Mr. Nathavani has also relied on the decision of Hon'ble National Commission in the case of Dakshin Haryana Bijli Vitran Nigam Ltd. Vs. Suresh Kumar reported in III (2007) CPJ 410 NC. In that case it was held by the Hon'ble National Commission that -
"Consumer Protection Act, 1986 - Section 21(b) - Electricity - Penalty imposed - Contention of O.P., M&T seals found tampered with, digits found to be disturbed and theft of energy, hence penalty - Rejected - Checking report does not show how and in what manner seals tampered with - - Further, meter ought not to have showed any reading if found sticky or defective - Penalty quashed - Refund of deposit amount allowed with interest @ 18% - Impugned order upheld in revision".
In our case also, there is nothing on record to show that in what manner seals of the meter were tempered with. Similarly, nothing is there to show that the reading of the meter was found sticky or defective. At least, the opponent could not adduced any evidence to show clearly that complainant had utilized electricity by way of bye-passing the meter in other words, the energy was used illegally, but consumption of the same was not recorded in the meter. Since the opponent could not prove the fact that the complainant has utilized electricity energy by bye-passing the meter. In other words, the energy used by the complainant but the reading of used energy was not recorded in the meter. In our humble view, opponent failed to establish the allegation of power theft against the complainant. In the result, legally they were not empowered to issue the supplementary bill under Section-126 of the Electricity Act, 2003. In the alternate, for the sake of argument, if we may take second contention of the opponent that complainant had used more load than connected load or sanctioned load then also it is itself is not sufficient to issue the supplementary bill as per Circular of the Gujarat Urja Vikas Nigam Ltd. as we discussed earlier. Inspite of that fact, complainant was served with revised supplementary bill in tune of Rs.2,48,338=23 and complainant was compelled to pay up this bill, which amounts to deficiency in service on part of opponent. Therefore, we hold this point in the Affirmative.
Issue No. 3
Complainant has prayed for refund of Rs.2,48,338=23 including rs.90,000/- earlier recovered by the opponent from complainant at the time of checking with running interest @ 18%. In our humble view, in view of affirmative answer to Issue No. 2, the supplementary bill was illegal and opponents are under obligations to refund the amount if any paid by the complainant for revised supplementary bill in tune of Rs.2,48,338=23 including Rs.90,000/- with running interest @ 8% p.a. Complainant has claimed Rs.5,000/- on the ground of mental agony and harassment. In our humble view, there is no sufficient evidence to justify this prayer. Therefore, only we hold this point in the affirmative for the relief of refund of Rs.2,48,338=23 including (Rs.90,000/-) paid by the complainant to opponent with running interest @ 8% p.a. In the result, following is the order :
: ORDER :
Complaint is allowed.
The supplementary bills issued by the opponent are declared as Null and Void. The amount of Rs.2,48,338=23 including Rs.90,000/- paid by the complainant be refunded to him with running interest @ 8% from the date of payment within the period of one month from the date of this order. Failing which, it will carry 10% interest.
Opponent to incur its own cost and should pay cost of Rs.2,000/- to the complainant.
Pronounced in the open forum on this 30th Day of November, 2009.


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