As per case facts, the appellants (electricity supplier) filed a second appeal against a lower court's judgment. The case concerns disputes between an electricity supplier and a consumer over alleged ...
RSA No.1952 of 2024 (O&M) 1
IN THE HIGH COURT OF PUNJAB AND HARYANA
AT CHANDIGARH
RSA No.1952 of 2024 (O&M)
Date of decision : 27.10.2025
Sub Divisional Officer and another ....Appellants
Versus
Smt. Kamla Devi ...Respondent
CORAM: HON'BLE MR. JUSTICE PANKAJ JAIN
Present : Mr. Surinder K. Mahajan, Advocate
for the appellants.
PANKAJ JAIN, J. (ORAL)
Defendants are in second appeal, aggrieved of the judgment and
decree passed by the Courts below.
2. The issue involved in the present regular second appeal relates
to jurisdiction of Civil Court qua disputes between electricity supplier and
the consumer wherein the supplier alleges theft of electricity against
consumer.
3. Counsel for the appellants claims that the issue is covered in
favour of the electricity supplier in terms of ratio of law laid down by
Division Bench of this Court in RSA No.4181 of 2016 titled as ‘Mahesh
Kumar vs. Sub Divisional Officers and another’ decided on 14.05.2025.
RSA No.1952 of 2024 (O&M) 2
4. I have heard counsel for the appellant and have carefully gone
through records of the case and the ratio of law laid down by Division Bench
in Mahesh Kumar’s case (supra).
5. Keeping in view conflicting decisions by different Benches of
this Court, the following question was formulated by the Single Bench to be
adjudicated by the Larger Bench:
“As to whether the bar contained in Section 145 of the Act, on
the jurisdiction of the civil Court, would be restricted only to
proceedings arising from an order passed by the Assessing
Officer under Section 126 and an appellate authority under
Section 127, or, in view of the language contained in Sections
154 and 155, (read with Section 145 of the Act), such bar would
extend to matters falling under Sections 135 to 140 and Section
150 of the Act also?”
6. The Division Bench answered the issue, observing as under:
“42. Now since sub-Sections (5) and (6), as embodied in Section
154 of the Act of 2003, provisions whereof become re-extracted
hereinafter, do confer jurisdiction upon a Special Court also to
determine the civil liability of the errant concerned, whereafter
compensation can also be settled against the errant concerned.
“x x x x
(5) The [Special Court shall] determine the civil
liability against a consumer or a person in terms of money
for theft of energy which shall not be less than an amount
equivalent to two times of the tariff rate applicable for a
period of twelve months preceding the date of detection of
theft of energy or the exact period of theft if determined
RSA No.1952 of 2024 (O&M) 3
whichever is less and the amount of civil liability so
determined shall be recovered as if it were a decree of civil
court.
(6) In case the civil liability so determined finally by the
Special Court is less than the amount deposited by the
consumer or the person, the excess amount so deposited by
the consumer or the person, to the Board or licensee or the
concerned person, as the case may be, shall be refunded by
the Board or licensee or the concerned person, as the case
may be, within a fortnight from the date of communication
of the order of the Special Court together with interest at
the prevailing Reserve Bank of India prime lending rate for
the period from the date of such deposit till the date of
payment.”
43. However, the conferment of the said jurisdiction, naturally
has to be exercised, rather only after a conclusive and binding
verdict of conviction becoming recorded against the errant
concerned, and, not prior thereto. Conspicuously so, if there is a
parallel determination of both civil and criminal liabilities,
therebys if the civil liability is determined prior to the
determination of the apposite criminal liability. As such, therebys
the Special Court while trying an offender qua the ably triable
offences, rather would become presented with a fait accompli.
Moreover, in case there are different sets of evidences for
respectively convicting the errant concerned, and, for encumbering
the errant concerned, with compensation amounts, therebys also
both the criminal trial as well as the determinations of civil
liability(ies) against the errant concerned, rather are required to be
naturally separately working. In other words, they are not required
to be conjointly embarked upon, as therebys there would be
encumbrance of gross hardship, vis-a-vis the errant/consumer
concerned.
RSA No.1952 of 2024 (O&M) 4
44. Therefore this Court is convinced, that only pursuant to a
binding and conclusive verdict of conviction becoming made by
the Special Court, vis-a-vis the errant consumer concerned,
therebys the Special Court in terms of sub-Section (5) of Section
154 of the Act of 2003, shall proceed to determine the
compensation amount to be paid by the consumer concerned, to the
supplier concerned.
45. However, since the Special Court(s) has been declared by
Section 155 of the Act of 2003 to be a Court of Session, besides
when there is also an empowerment vested, thus through the
mandate enclosed in sub-Section (5) of Section 154 of the Act of
2003, in the Special Court, to determine the civil liability, vis-a-vis
the consumer concerned, therebys it would be more appropriate
that a provision becomes engrafted in the Act of 2003, so that,
when the Special Court, thus proceeds to determine the civil
liability of the errant concerned, therebys the determination of the
apposite civil liability, rather than being so determined by the
Court of Session, which exclusively tries an offender, qua the said
civil liability, being determined by the District Judge concerned.
The said anomaly also fortifies the above assigned reason by this
Court, that only post the conclusive determination of criminal
liability by the Special Court, that the civil liability is to be
determined vis-a-vis the errant consumer concerned. Obviously,
an amendment in the said regard is required to be made in the Act
of 2003.
46. Moreover, the non obstante clause, wherebys becomes
ousted the provisions, as embodied in the Cr.P.C., excepting to the
extent of investigations in respect of offences made punishable
under the Act of 2003, thus being conducted by the investigating
officers concerned, who become stationed at the police stations
concerned. However, since now the former Cr.P.C. has been
replaced by Bharatiya Nagarik Suraksha Sanhita (for short
‘BNSS’), therefore, a compatible thereto amendment is required to
RSA No.1952 of 2024 (O&M) 5
be made to sub-Section (1), wherebys there is an introduction
thereins vis-a-vis the apposite provisions of BNSS.
47. All the supra amendments be considered to be most
expeditiously passed by the State Legislature concerned, as
therebys the supra anomalies would become erased.
48. Since the makings of composition(s) of an offence in terms
of Section 152 of the Act of 2003, would also tantamount to
acceptance of the guilt by the errant consumer concerned, therebys
post the making of an order of composition, if the compounding
fee, does not also cover the apposite civil liability, thereupon in
terms of sub-Section (5) of Section 154 of the Act of 2003, thus the
Court concerned may proceed to determine the civil liability
against the errant consumer concerned.
49. The utmost burning issue relates to the fact, that when sub-
Section (5) of Section 154 of the Act of 2003, speaks about
determination of civil liability against the consumer or a person, as
arises from theft of electricity. Moreover when the apposite
explanation, which occurs at the end of Section 154 of the Act of
2003, explanation whereof becomes extracted hereinafter, makes
expressions about the phrase ‘civil liability’, thus obviously
connoting loss or damage incurred by the Boad or licensee or the
concerned person.
“x x x x
Explanation.–For the purposes of this section, “civil
liability” means loss or damage incurred by the Board or
licensee or the concerned person, as the case may be, due
to the commission of an offence referred to in sections 135
to 140 and section 150.”
50. Though prima facie therebys, the phrase ‘concerned person’
may imply, that the conferment of jurisdiction in terms of sub-
Sections (5) and (6) of Section 154 of the Act of 2003, also
encompasses thereins, thus a remedy to the consumer, to post a
RSA No.1952 of 2024 (O&M) 6
conclusive and binding verdict of acquittal becoming rendered in
respect of a charge relating to the offence of theft of electricity, to
thus recourse the remedy as envisaged thereins.
51. However, to the considered and objective contemplation of
this Court, the concerned person, does not cover a consumer of
electricity, nor does it cover the aspect relating to the consumer,
upon the latter becoming clinchingly and provenly acquitted of the
charge relating to theft of electricity, thus nourishing a claim in
terms of sub-Section (5) of Section 154 of the Act of 2003.
52. The reason for stating so generates from the factum, that the
opening sentence of sub-Section (5) of Section 154 of the Act of
2003, speaks about the determination of civil liability by the
Special Court, but against the consumer or a person . Therefore,
if in the explanation, which occurs at the end of Section 154 of the
Act of 2003, there occurs the expression ‘ concerned person ’,
wherebys the apposite determination of civil liability, does prima
facie connote, qua the concerned person, rather may also being
the consumer . Nonetheless, if the intent of the legislature was so,
then under the jurisdiction foisting provision, vis-a-vis the Special
Courts, inasmuch as, in sub-Section (5) of Section 154 of the Act
2003, thus apart from speakings made thereins, that against a
consumer, both the civil and criminal action being ably
contemplated to become initiated, there was but also a requirement
of ‘ concerned person ’ being specifically included thereins. Since
the foisting of jurisdiction upon the Special Court, to determine
civil liability is not only against a consumer, but is also against “a
person”, therebys the intent of the legislation, irrespective of the
explanation carrying the phrase ‘ concerned person ’, wherebys the
apposite germination of civil liability does prima facie takes within
its ambit, thus the consumer of electricity, rather the concerned
person is neither the consumer, nor also any person, which is
expressed in sub-Section (5) of Section 154 of the Act of 2003,
thus becomes the consumer. Contrarily, any person, as expressed
in the supra sub-Section (5), rather is referable either to any
RSA No.1952 of 2024 (O&M) 7
corporate entity, thus private or public. Moreover, concomitantly
therebys, the word ‘ concerned person ’ means the supplier, who
has been endowed permission to supply electricity. Reiteratedly
therebys, the consumer of the electricity is left remediless.
53. The further effect of the above interpretation, is that, there
is no remedy to the accused, to post the making of a binding and
clinching verdict of acquittal, thus by the Special Court concerned,
to thereupon subsequently claim damages for malicious
prosecution. As such, in respect of the claim of malicious
prosecution, a suit in the said regard can be laid before the Civil
Court of competent jurisdiction.
54. Last but not the least, even if this Court has concluded, that
the jurisdiction of the Civil Court is, thus barred through the
occurrence of Section 145 of the Act of 2003, but yet in respect of
the first three segments, which become alluded to hereinabove,
there is yet vestment of jurisdiction qua a Writ Court, to thus
determine the validity of passing of the apposite orders. The
reason for stating so, is that, the jurisdiction of the High Courts to
issue writs of various genres, is a constitutionally invested power,
and, the said power is an insegregable component of judicial
review of administrative actions, or of the quasi judicial actions,
besides is the basic structure of the constitution. As such, the
power of judicial review, a becomes invested in the High Courts,
rather cannot be snatched even through the occurrence of Section
145 in the Act of 2003.”
7. Accordingly, the Division Bench relied upon Section 154 of the
Electricity Act, 2003 (hereinafter referred to as ‘2003 Act’) to hold that the
jurisdiction of the Civil Court is barred as the adjudicatory power vests with
the Special Court constituted under Section 153 of the 2003 Act. It is Special
Court, which would determine the civil liability against the consumer for
RSA No.1952 of 2024 (O&M) 8
theft of energy. The question, however, still remains :
“Whether the bar under Section 154 (5) can be invoked
in the cases where there is no FIR against the theft and
thus the Special Court has not even clutched upon the
jurisdiction vested in it by law?”
8. The other issue that calls for the consideration of this Court is
the observation made by Division Bench in Para No.38 holding that the
provisions relating to investigations and assessment are embodied in Section
126 of the 2003 Act.
9. The scheme of Act of 2003 needs to be understood in its
entirety. Part XII of 2003 Act, deals with ‘investigation and enforcement’.
Part XIV deals with ‘offences and penalties’. Section 126 contained in Part
XII, deals with ‘assessment’ in the case of a person indulging in
unauthorized use of electricity. Section 135 defines ‘theft of electricity’.
Section 126 and Section 135, read as under:
Section 126: (Assessment): --- (1) If on an inspection of any place
or premises or after inspection of the equipments, gadgets,
machines, devices found connected or used, or after inspection of
records maintained by any person, the assessing officer comes to
the conclusion that such person is indulging in unauthorized use of
electricity, he shall provisionally assess to the best of his
judgement the electricity charges payable by such person or by any
other person benefited by such use.
(2) The order of provisional assessment shall be served
RSA No.1952 of 2024 (O&M) 9
upon the person in occupation or possession or in charge of the
place or premises in such manner as may be prescribed.
1[(3) The person, on whom an order has been served under
sub- section (2) shall be entitled to file objections, if any, against
the provisional assessment before the assessing officer, who shall,
after affording a reasonable opportunity of hearing to such person,
pass a final order of assessment within thirty days from the date of
service of such order of provisional assessment of the electricity
charges payable by such person.]
(4) Any person served with the order of provisional
assessment, may, accept such assessment and deposit the assessed
amount with the licensee within seven days of service of such
provisional assessment order upon him:
2[***]
3[(5) If the assessing officer reaches to the conclusion that
unauthorised use of electricity has taken place, the assessment shall
be made for the entire period during which such unauthorized use
of electricity has taken place and if, however, the period during
which such unauthorised use of electricity has taken place cannot
be ascertained, such period shall be limited to a period of twelve
months immediately preceding the date of inspection.]
(6) The assessment under this section shall be made at a rate
equal to 1[twice] the tariff rates applicable for the relevant
category of services specified in sub-section (5).
Explanation.- For the purposes of this section,-
(a) “assessing officer” means an officer of a State
Government or Board or licensee, as the case may
be, designated as such by the State Government;
(b) “unauthorised use of electricity” means the usage of
electricity –
(i) by any artificial means; or
(ii) by a means not authorised by the concerned
person or authority or licensee; or
(iii) through a tampered meter; or
RSA No.1952 of 2024 (O&M) 10
2[(iv) for the purpose other than for which the
usage of electricity was authorised; or
(v) for the premises or areas other than those for
which the supply of electricity was
authorized.”]
Section135. (Theft of Electricity):- 1[(1) Whoever, dishonestly, -
(a) taps, makes or causes to be made any connection
with overhead, underground or under water lines or
cables, or service wires, or service facilities of a
licensee or supplier as the case may be; or
(b) tampers a meter, installs or uses a tampered meter,
current reversing transformer, loop connection or
any other device or method which interferes with
accurate or proper registration, calibration or
metering of electric current or otherwise results in a
manner whereby electricity is stolen or wasted; or
(c) damages or destroys an electric meter, apparatus,
equipment, or wire or causes or allows any of them
to be so damaged or destroyed as to interfere with
the proper or accurate metering of electricity,
(d) uses electricity through a tampered meter; or
(e) uses electricity for the purpose other than for which
the usage of electricity was authorised,
so as to abstract or consume or use electricity shall be punishable
with imprisonment for a term which may extend to three years or
with fine or with both:
Provided that in a case where the load abstracted,
consumed, or used or attempted abstraction or attempted
consumption or attempted use -
(i) does not exceed 10 kilowatt, the fine imposed on
first conviction shall not be less than three times the
RSA No.1952 of 2024 (O&M) 11
financial gain on account of such theft of electricity
and in the event of second or subsequent conviction
the fine imposed shall not be less than six times the
financial gain on account of such theft of electricity;
(ii) exceeds 10 kilowatt, the fine imposed on first
conviction shall not be less than three times the
financial gain on account of such theft of electricity
and in the event of second or subsequent conviction,
the sentence shall be imprisonment for a term not
less than six months, but which may extend to five
years and with fine not less than six times the
financial gain on account of such theft of electricity:
Provided further that in the event of second and subsequent
conviction of a person where the load abstracted, consumed, or
used or attempted abstraction or attempted consumption or
attempted use exceeds 10 kilowatt, such person shall also be
debarred from getting any supply of electricity for a period which
shall not be less than three months but may extend to two years
and shall also be debarred from getting supply of electricity for
that period from any other source or generating station:
Provided also that if it is proved that any artificial means or
means not authorized by the Board or licensee or supplier, as the
case may be, exist for the abstraction, consumption or use of
electricity by the consumer, it shall be presumed, until the contrary
is proved, that any abstraction, consumption or use of electricity
has been dishonestly caused by such consumer.
(1A) Without prejudice to the provisions of this Act, the
licensee or supplier, as the case may be, may, upon detection of
such theft of electricity, immediately disconnect the supply of
electricity:
Provided that only such officer of the licensee or supplier,
as authorized for the purpose by the Appropriate Commission or
RSA No.1952 of 2024 (O&M) 12
any other officer of the licensee or supplier, as the case may be, of
the rank higher than the rank so authorised shall disconnect the
supply line of electricity:
Provided further that such officer of the licensee or supplier,
as the case may be, shall lodge a complaint in writing relating to
the commission of such offence in police station having
jurisdiction within twenty four hours from the time of such
disconnection:
Provided also that the licensee or supplier, as the case may
be, on deposit or payment of the assessed amount or electricity
charges in accordance with the provisions of this Act, shall,
without prejudice to the obligation to lodge the complaint as
referred to in the second proviso to this clause, restore the supply
line of electricity within forty-eight hours of such deposit or
payment.]
(2) 1[Any officer of the licensee or supplier as the case may
be,] authorized in this behalf by the State Government may --
(a) enter, inspect, break open and search any place or
premises in which he has reason to believe that
electricity 2[has been or is being,] used
unauthorisedly;
(b) search, seize and remove all such devices,
instruments, wires and any other facilitator or article
which has been, or is being, used for unauthorized
use of electricity;
(c) examine or seize any books of account or
documents which in his opinion shall be useful for
or relevant to, any proceedings in respect of the
offence under sub-section (1) and allow the person
from whose custody such books of account or
documents are seized to make copies thereof or take
extracts therefrom in his presence.
RSA No.1952 of 2024 (O&M) 13
(3) The occupant of the place of search or any person on his
behalf shall remain present during the search and a list of all things
seized in the course of such search shall be prepared and delivered
to such occupant or person who shall sign the list: Provided that no
inspection, search and seizure of any domestic places or domestic
premises shall be carried out between sunset and sunrise except in
the presence of an adult male member occupying such premises.
(4) The provisions of the Code of Criminal Procedure, 1973,
relating to search and seizure shall apply, as far as may be, to
searches and seizure under this Act.
(emphasis supplied)
10. Initially there was a confusion w.r.t. overlapping nature of
provisions contained under Section 126 and Section 135. Quite often the
‘cases of unauthorized use of electricity’ were misconstrued as the ‘cases of
theft of electricity’ and vice versa.
11. The issue was elaborately dealt with and explained by Supreme
Court in the case of ‘The Executive Engineer and another vs. M/s Sri
Seetaram Rice Mill’ (2012) 2 SCC 108, observing as under:
“xxxx xxxx xxxx
15. Upon their plain reading, the mark differences in the
contents of Sections 126 and 135 of the 2003 Act are obvious.
They are distinct and different provisions which operate in
different fields and have no common premise in law. We have
already noticed that Sections 126 and 127 of the 2003 Act read
together constitute a complete code in themselves covering all
RSA No.1952 of 2024 (O&M) 14
relevant considerations for passing of an order of assessment in
cases which do not fall under Section 135 of the 2003 Act. Section
135 of the 2003 Act falls under Part XIV relating to 'offences and
penalties' and title of the Section is 'theft of electricity'. The
Section opens with the words 'whoever, dishonestly' does any or all
of the acts specified under clauses (a) to (e) of Sub-section (1) of
Section 135 of the 2003 Act so as to abstract or consume or use
electricity shall be punishable for imprisonment for a term which
may extend to three years or with fine or with both. Besides
imposition of punishment as specified under these provisions or
the proviso thereto, Sub-section (1A) of Section 135 of the 2003
Act provides that without prejudice to the provisions of the 2003
Act, the licensee or supplier, as the case may be, through officer of
rank authorised in this behalf by the appropriate commission, may
immediately disconnect the supply of electricity and even take
other measures enumerated under Sub-sections (2) to (4) of the
said Section. The fine which may be imposed under Section 135 of
the 2003 Act is directly proportional to the number of convictions
and is also dependent on the extent of load abstracted. In
contradistinction to these provisions, Section 126 of the 2003 Act
would be applicable to the cases where there is no theft of
electricity but the electricity is being consumed in violation of the
terms and conditions of supply leading to malpractices which may
squarely fall within the expression 'unauthorized use of electricity'.
This assessment/proceedings would commence with the inspection
of the premises by an assessing officer and recording of a finding
that such consumer is indulging in an 'authorized use of electricity'.
Then the assessing officer shall provisionally assess, to the best of
his judgment, the electricity charges payable by such consumer, as
well as pass a provisional assessment order in terms of Section
126(2) of the 2003 Act. The officer is also under obligation to
serve a notice in terms of Section 126(3) of the 2003 Act upon any
such consumer requiring him to file his objections, if any, against
the provisional assessment before a final order of assessment is
RSA No.1952 of 2024 (O&M) 15
passed within thirty days from the date of service of such order of
provisional assessment. Thereafter, any person served with the
order of provisional assessment may accept such assessment and
deposit the amount with the licensee within seven days of service
of such provisional assessment order upon him or prefer an appeal
against the resultant final order under Section 127 of the 2003 Act.
The order of assessment under Section 126 and the period for
which such order would be passed has to be in terms of Sub-
sections (5) and (6) of Section 126 of the 2003 Act. The
Explanation to Section 126 is of some significance, which we shall
deal with shortly hereinafter. Section 126 of the 2003 Act falls
under Chapter XII and relates to investigation and enforcement and
empowers the assessing officer to pass an order of assessment.
16. Section 135 of the 2003 Act deals with an offence of theft
of electricity and the penalty that can be imposed for such theft.
This squarely falls within the dimensions of Criminal
Jurisprudence and mens rea is one of the relevant factors for
finding a case of theft. On the contrary, Section 126 of the 2003
Act does not speak of any criminal intendment and is primarily an
action and remedy available under the civil law. It does not have
features or elements which are traceable to the criminal concept of
mens rea.
17. Thus, it would be clear that the expression 'unauthorized
use of electricity' under Section 126 of the 2003 Act deals with
cases of unauthorized use, even in absence of intention. These
cases would certainly be different from cases where there is
dishonest abstraction of electricity by any of the methods enlisted
under Section 135 of the 2003 Act. A clear example would be,
where a consumer has used excessive load as against the installed
load simpliciter and there is violation of the terms and conditions
of supply, then, the case would fall under Section 126 of the 2003
Act. On the other hand, where a consumer, by any of the means
and methods as specified under Sections 135(a) to 135(e) of the
2003 Act, has abstracted energy with dishonest intention and
RSA No.1952 of 2024 (O&M) 16
without authorization, like providing for a direct connection
bypassing the installed meter. Therefore, there is a clear distinction
between the cases that would fall under Section 126 of the 2003
Act on the one hand and Section 135 of the 2003 Act on the other.
There is no commonality between them in law. They operate in
different and distinct fields. The assessing officer has been vested
with the powers to pass provisional and final order of assessment
in cases of unauthorized use of electricity and cases of
consumption of electricity beyond contracted load will squarely
fall under such power. The legislative intention is to cover the
cases of malpractices and unauthorized use of electricity and then
theft which is governed by the provisions of Section 135 of the
2003 Act.
18. Section 135 of the 2003 Act significantly uses the words
'whoever, dishonestly' does any of the listed actions so as to
abstract or consume electricity would be punished in accordance
with the provisions of the 2003 Act. 'Dishonesty' is a state of mind
which has to be shown to exist before a person can be punished
under the provisions of that Section.
19. The word 'dishonest' in normal parlance means 'wanting in
honesty'. A person can be said to have 'dishonest intention' if in
taking the property it is his intention to cause gain, by unlawful
means, of the property to which the person so gaining is not legally
entitled or to cause loss, by wrongful means, of property to which
the person so losing is legally entitled. 'Dishonestly' is an
expression which has been explained by the Courts in terms of
Section 24 of the Indian Penal Code, 1860 as 'whoever does
anything with the intention of causing wrongful gain to one person
or wrongful loss to another person is said to do that thing
dishonestly'. [The Law Lexicon (2nd Edn. 1997) by P. Ramanatha
Aiyar]
20. This Court in the case of Dr. S. Dutt v. State of U.P., [AIR
1966 Supreme Court 523] stated that a person who does anything
with the intention to cause wrongful gain to one person or
RSA No.1952 of 2024 (O&M) 17
wrongful loss to another is said to do that dishonestly.
21. Collins English Dictionary explains the word 'dishonest' as
'not honest or fair; deceiving or fraudulent'. Black's Law
Dictionary (Eighth Edition) explains the expression 'dishonest act'
as a fraudulent act, 'fraudulent act' being a conduct involving bad
faith, dishonesty, a lack of integrity or moral turpitude.
22. All these explanations clearly show that dishonesty is a
state of mind where a person does an act with an intent to deceive
the other, acts fraudulently and with a deceptive mind, to cause
wrongful loss to the other. The act has to be of the type stated
under Sub-sections (1)(a) to (1)(e) of Section 135 of the 2003 Act.
If these acts are committed and that state of mind, mens rea, exists,
the person shall be liable to punishment and payment of penalty as
contemplated under the provisions of the 2003 Act. In
contradistinction to this, the intention is not the foundation for
invoking powers of the competent authority and passing of an
order of assessment under Section 126 of the 2003 Act.
xxxx xxxx xxxx”
12. In the present case, we are only concerned with theft of
electricity i.e., Part XIV of the 2003 Act.
13. From the perusal of Section 135(1A), it is evident that wherever
there is a case of theft of electricity detected by the authorities, they are
within their power to disconnect the supply line of the electricity provided
the concerned officer of the licensee or supplier, has lodged a complaint, in
writing, relating to commission of theft of energy in police station having
jurisdiction within twenty four hours from the time of disconnection of
supply line of electricity. However, in case, the consumer/person deposits
RSA No.1952 of 2024 (O&M) 18
amount assessed in terms of the Act of 2003, the supply shall be restored
within 48 hours of such deposit. However, the said restoration is
without prejudice to the obligation to lodge the complaint. In terms of
Section 145, no injunction can be granted against such disconnection where
the power has been exercised in accordance with law by competent
authority. Theft of energy is a cognizable offence. Statute prescribes
punishment, which may extend to imprisonment for a period of three years
or fine or both.
14. Section 151 provides for ‘cognizance of offences’. Court is
required to take cognizance of an offence punishable under the Act only on a
complaint, in writing, made by the appropriate Government or appropriate
Commission or any of their officer authorized by them or a Chief Electrical
Inspector or an Electrical Inspector or licensee or the generating company.
Court can also take cognizance on the report of a police officer, filed under
Section 173 of the Code of Criminal Procedure, 1973.
15. Section 152 provides for 'compounding of offences'. The
compounding fee has been prescribed in the provision. Section 152(2)
provides that any person, arrested for offence punishable under Section 135,
shall be set at liberty and no proceedings shall be instituted or continued
against such consumer in any criminal court, once he has paid the
compounding fee under Section 152(1). Section 152(3) provides that such
compounding of offence, on acceptance of compounding fee, shall be
RSA No.1952 of 2024 (O&M) 19
deemed to be an acquittal within the meaning of Section 300 of Cr.P.C.,
1973. However, compounding can be claimed only once by the consumer.
Section 153 provides for ‘constitution of Special Courts’. Both in State of
Punjab and State of Haryana, such Special Courts have been notified.
Section 154 provides for ‘procedure and power of Special Court’. The same
reads as under:
Section 154. (Procedure and power of Special Court): --- (1)
Notwithstanding anything contained in the Code of Criminal
Procedure, 1973, every offence punishable under [2sections 135 to
140 and section 150] shall be triable only by the Special Court
within whose jurisdiction such offence has been committed.
(2) Where it appears to any court in the course of any
inquiry or trial that an offence punishable under sections 135 to
139 in respect of any offence that the case is one which is triable
by a Special Court constituted under this Act for the area in which
such case has arisen, it shall transfer such case to such Special
Court, and thereupon such case shall be tried and disposed of by
such Special Court in accordance with the provisions of this Act :
Provided that it shall be lawful for such Special Court to act
on the evidence, if any, recorded by any court in the case of
presence of the accused before the transfer of the case to any
Special Court :
Provided further that if such Special Court is of opinion that
further examination, cross-examination and re-examination of any
of the witnesses whose evidence has already been recorded, is
required in the interest of justice, it may re-summon any such
witness and after such further examination, cross-examination or
re-examination, if any, as it may permit, the witness shall be
discharged.
RSA No.1952 of 2024 (O&M) 20
(3) The Special Court may, notwithstanding anything
contained in subsection (1) of section 260 or section 262 of the
Code of Criminal Procedure, 1973, try the offence referred to in
sections 135 to 139 in a summary way in accordance with the
procedure prescribed in the said Code and the provisions of
sections 263 to 265 of the said Code shall, so far as may be, apply
to such trial :
Provided that where in the course of a summary trial under
this subsection, it appears to the Special Court that the nature of
the case is such that it is undesirable to try such case in summary
way, the Special Court shall recall any witness who may have been
examined and proceed to re-hear the case in the manner provided
by the provisions of the said Code for the trial of such offence:
Provided further that in the case of any conviction in a
summary trial under this section, it shall be lawful for a Special
Court to pass a sentence of imprisonment for a term not exceeding
five years.
(4) A Special Court may, with a view to obtaining the
evidence of any person supposed to have been directly or indirectly
concerned in or privy to, any offence tender pardon to such person
on condition of his making a full and true disclosure of the
circumstances within his knowledge relating to the offence and to
every other person concerned whether as principal or abettor in the
commission thereof, and any pardon so tendered shall, for the
purposes of section 308 of the Code of Criminal Procedure,1973,
be deemed to have been tendered under section 307 thereof.
(5) The [Special Court shall] determine the civil
liability against a consumer or a person in terms of money for theft
of energy which shall not be less than an amount equivalent to two
times of the tariff rate applicable for a period of twelve months
preceding the date of detection of theft of energy or the exact
period of theft if determined whichever is less and the amount of
civil liability so determined shall be recovered as if it were a
decree of civil court.
RSA No.1952 of 2024 (O&M) 21
(6) In case the civil liability so determined finally by the
Special Court is less than the amount deposited by the consumer or
the person, the excess amount so deposited by the consumer or the
person, to the Board or licensee or the concerned person, as the
case may be, shall be refunded by the Board or licensee or the
concerned person, as the case may be, within a fortnight from the
date of communication of the order of the Special Court together
with interest at the prevailing Reserve Bank of India prime lending
rate for the period from the date of such deposit till the date of
payment.
Explanation. - For the purposes of this section, “civil
liability” means loss or damage incurred by the Board or licensee
or the concerned person, as the case may be, due to the
commission of an offence referred to in sections 135 to 139.
16. Section 183 of 2003 Act, provides power with the Central
Government to publish orders to make such provisions which appear to be
necessary for removing difficulty in giving effect to the provisions of 2003
Act, provided they are not inconsistent with the provisions of the Act.
Exercising the said powers, Central Government vide S.O.790(E), dated 8
th
of June, 2005, published the Electricity (Removal of Difficulties) Order,
2005, amending Section 50 of the Electricity Supply Code providing method
of assessment of the electricity charges payable in case of theft of electricity
pending adjudication by the appropriate Government. The removal of
difficulties’ order, reads as under:
THE ELECTRICITY (REMOVAL OF DIFFICULTIES)
ORDER, 2005
RSA No.1952 of 2024 (O&M) 22
Whereas the Electricity Act, 2003 (36 of 2003) (hereinafter referred to
as the Act) came into force on the 10th June, 2003;
And whereas section 50 of the Act provides that the State Commission
shall specify an Electricity Supply Code to provide for recovery of electricity
charges, intervals for billing of electricity charges, disconnection of supply of
electricity for non-payment thereof, restoration of supply of electricity,
tampering, distress or damage to electrical plant, electric lines or meter, entry of
distribution licensee or any person acting on his behalf for disconnecting supply
and removing the meter, entry for replacing, altering or maintaining electric
lines or electrical plant or meter; And whereas the distribution licensees have
expressed difficulties in controlling theft of electricity and in taking appropriate
action in this regard;
And whereas enabling the distribution licensees for taking timely and
appropriate action in cases of theft or diversion of electricity has become
necessary for the development of electricity industry and ensuring supply of
electricity to all areas;
And whereas taking measures conducive to development of electricity
industry and supply of electricity to all areas are objectives, amongst others, of
the Act, as stated in its preamble; And whereas the difficulties have arisen in
giving effect to the provisions of the Act in controlling theft of electricity by the
distribution licensees;
Now, therefore, the Central Government, in exercise of its powers
conferred by section 183 of the Act hereby makes the following order in respect
of electricity supply code in terms of section 50 of the Act, not inconsistent with
the provisions of the Act, to remove the difficulties, namely. –
1. Short title and commencement.- (1) This order may be
called the Electricity (Removal of Difficulties) order, 2005.
(2) It shall come into force on the date of publication in the
Official Gazette.
2. Inclusions of measures to control theft in Electricity
Supply Code. - (1) The Electricity Supply Code as specified by
the State Commission under section 50 of the Act shall also
include the following, namely:-
(i) method of assessment of the electricity charges
payable in case of theft of electricity pending
adjudication by the appropriate court;
RSA No.1952 of 2024 (O&M) 23
(ii) disconnection of supply of electricity and removing
the meter, electric line, electric plant and other
apparatus in case of theft or unauthorized use of
electricity; and
(iii) measures to prevent diversion of electricity, theft or
unauthorized use of electricity or tampering,
distress or damage to electrical plant, electric lines
or meter.
(2) The above provisions in the Electricity Supply Code shall
be without prejudice to other rights of the licensee under the Act or
any other applicable laws to recover the sum due and to protect the
assets and interests of the licensee.
17. Needless to add here that the Electricity Supply Code has a
statutory backing, Section 50 of the 2003 Act, reads as under:
Section 50. (The Electricity Supply Code): The State
Commission shall specify an electricity supply code to provide for
recovery of electricity charges, intervals for billing of electricity
charges, disconnection of supply of electricity for non-payment
thereof, restoration of supply of electricity; measures for
preventing tampering, distress or damage to electrical plant, or
electrical line or meter, entry of distribution licensee or any person
acting on his behalf for disconnecting supply and removing the
meter; entry for replacing, altering or maintaining electric lines or
electrical plants or meter and such other matters.]
18. Evidently, the assessment in case of theft of energy is not
relatable to Section 126 of 2003 Act, but has to be governed by the
Electricity Supply Code. The State Electricity Commissions are required to
to specify such assessments.
RSA No.1952 of 2024 (O&M) 24
19. In exercise of the powers conferred under Section 50 and
Section 181 of the Act of 2003, necessary regulations have been
incorporated by the Haryana Electricity Regulatory Commission as well as
Punjab Electricity Regulatory Commission. Both the Regulatory
Commissions are alive to the obligation casted upon them by Removal of
Difficulties Order, 2005, dated 08.06.2005. Since, we are concerned with the
State of Haryana, the relevant regulations framed by State Regulatory
Commission i.e., the Haryana Electricity Regulatory Commission, 2014,
read as under :
THEFT OF ELECTRICITY AND UNAUTHORIZED USE OF
ELECTRICITY UNDER SECTION 135 AND SECTION 126
OF THE ELECTRICITY ACT, 2003
7 THEFT OF ELECTRICITY UNDER SECTION 135 OF
THE ELECTRICITY ACT, 2003
7.1 Theft of Electricity
7.1.1 A person shall be guilty of an act of theft of electricity if he
dishonestly does an act as defined under Section 135 (1) (a
to e) of the Act.
7.1.2 Theft shall not be limited to physical interference with the
meter found during physical inspection. It shall also include
theft committed by resorting to external methods which in
any way interfere with the accurate registration of energy
consumed.
7.1.3 Provision of Section 135 of the Act has to be used where
the alleged act has been done with dishonest intention. In
such cases recourse shall not be taken to Section 126 of the
Act. It is only in cases where sufficient evidence of
RSA No.1952 of 2024 (O&M) 25
dishonest intention is not available that recourse can be
taken to Section 126. Benefit of doubt can be given only
while applying Section 135 and not while applying Section
126. In a case where the dishonest intention is doubtful, the
matter shall not be closed merely by giving benefit of doubt
but the proceedings shall be converted to Section 126 of the
Act.
7.2 Procedure for booking a case of theft of electricity
7.2.1 The State Govt. shall issue the list of authorized officers of
the licensee or supplier as the case may be, for inspection
of any place or premises, as per Section 135 (2) of the Act.
7.2.2 The licensee or supplier shall display the list of such
authorized officers prominently in all its offices and put on
its website. The photo identity cards shall be issued to such
officers.
7.2.3 The authorized officer, suo-motu or on receipt of reliable
information regarding theft of electricity in a premises shall
promptly conduct inspection of such premises after
obtaining permission from SDO or XEN concerned if he
happens to be below the level of SDO. Provided that no
inspection, search and seizure of any residential premises
shall be carried out between sunset and sunrise except in
the presence of an adult male member occupying such
premises.
7.2.4 The inspection team of the licensee or supplier, headed by
such authorized officer shall carry along with them their
photo identity cards. Photo identity cards should be shown
to the occupant of the place of inspection before entering
the premises. Photo identity card of the authorized officer
shall clearly indicate that he has been nominated as
authorized officer as per provision of Section 135 of the
Act.
RSA No.1952 of 2024 (O&M) 26
7.2.5 While conducting inspection, the authorized officer and his
team shall follow the provisions of sub-sections 2, 3 & 4 of
Section-135 of the Act.
7.2.6 As far as possible, the events of inspection shall be
photographed / video graphed. In cases, where significant
law and order problem is anticipated, the authorized officer
inspecting the premises shall immediately seek assistance
from his senior officer(s) and also call for police help. In
such cases all events shall be recorded through video
camera.
7.2.7 If such entry or inspection reveals nothing to indicate the
commission of or engagement in any act of theft of
electricity by the person / consumer, the authorized officer,
the employees accompanying him and the licensee shall not
be liable for any alleged loss or inconvenience caused to
the person/consumer on account of such entry, inspection
and search.
7.2.8 The inspection of the meter made by the person authorized
for reading the meter or meter reader as the case may be,
including any other employee of the licensee for the
purpose of recording of meter reading for consumption,
shall not be deemed to be the inspection of the installation
of the consumer for the purpose of Section 135 of the Act.
The meter reader, however, shall be responsible for
immediately reporting any suspicion of theft of electricity
to the SDO concerned.
7.2.9 The authorized officer shall prepare a report giving details
such as connected load, condition of meter seals, working
of meter and mention any irregularity noticed (such as
tampered meter, current reversing transformer, loop
connection or any other device or method which interferes
RSA No.1952 of 2024 (O&M) 27
with accurate or proper registration, calibration or metering
of electric current or otherwise results in a manner whereby
electricity is stolen or wasted) on the prescribed format.
The event would invariably be photographed or video-
graphed with cameras having facility for recording date and
time of event.
7.2.10 The report shall clearly indicate whether sufficient evidence
substantiating the theft of electricity was found or not. The
details of such evidence should be recorded in the report.
7.2.11 The report shall be signed by the authorized officer and
each member of the inspection team and the same must be
handed over to the consumer or his representative at site
immediately under proper receipt. In case of refusal by the
consumer or his authorized representative to either accept
or give a receipt, a copy of the inspection report must be
pasted at a conspicuous place outside the premises and
photographed. Simultaneously, the report shall be sent to
the consumer under registered post/ speed Post on the same
day or the next day of the inspection.
7.2.12 Upon detection of theft of electricity, the authorized officer
shall seize all material evidence including devices,
instruments, wires and any other facilitator or article which
has been or being used for unauthorized use of electricity,
from the premises. All such evidence shall be packed and
sealed with verification from the witness present during
such seizure.
Provided that if in the process of seizure of the material
evidence, supply to the consumer gets disconnected, it shall
not be construed as disconnection of supply under Section
135 (1 A) of the Act.
7.2.13 The occupant of the place of search or any person on his
behalf shall be allowed to remain present during the search
RSA No.1952 of 2024 (O&M) 28
and a list of all things seized in the course of such search
shall be prepared and delivered to such occupant or person
who shall sign the list. If he refuses to sign, the authorized
officer shall record such refusal on the list and paste a copy
of the list at a conspicuous place outside the premises.
7.2.14 It shall be the duty of the licensee to ensure that the meters,
terminal covers of the meters and protection boxes where
provided shall be duly secured with a seal of the licensee.
The existing licensee shall certify within a period of six
months from the notification of these Regulations in the
official gazette of Haryana that all such seals have been put
in place. Thereafter, in cases where the meter is installed
inside the consumer premises or at the entry point, within
in a period of next two months, any consumer may report
that his meter or terminal cover or protection box wherever
provided has not been sealed. On such report, the licensee
shall verify the claim and if found true will promptly take
steps to put the seals and will also initiate action against the
employee who failed to put the seals in the given period of
six months. After a period of eight months from the date of
notification of these Regulations, it shall be presumed that
all the meters, terminal covers of the meters and protection
boxes wherever provided have been sealed
Thereafter:
(1) Where the meters are installed inside the premises or at
the entry point:
(a) If any of the seals is found broken during any
inspection and the licensee finds on the basis of
abnormality in consumption pattern with reference
to the sanctioned load or otherwise that the seal
would have been broken with an intent to commit
RSA No.1952 of 2024 (O&M) 29
theft of electricity, it shall be presumed that the seal
was broken by or on behalf of the consumer.
(b) If the meter or any part of it including glass is found
tampered but not with the intent of opening it or
broken, the conclusion of theft shall not be drawn
unless it is corroborated by consumption pattern of
consumer and such other evidence as may be
available.
(2) Where the meters are installed outside the premises:
No case for dishonest abstraction or theft of electricity shall
be framed only on account of seal(s) on the meter and/or
meter cubicle found missing or tampered with or fake or
breakage of glass window or existence of hole in meter,
loose glass, cut in the incoming PVC Cable or any other act,
unless corroborated by consumption pattern of consumer,
reliable tamper information and such other evidence which
may establish that theft of energy was being actually
committed.
7.2.15 In case on inspection of the premises sufficient evidence is
found to establish that any artificial means or means not
authorized by the licensee or supplier, as the case may be,
exist for the abstraction, consumption or use of electricity
by the consumer, it shall be presumed, until the contrary is
proved, that abstraction, consumption or use of electricity
has been dishonestly caused by such consumer.
7.2.16 Whether the seizure under Regulation 7.2.12 results in
disconnection of supply to the consumer or not, the licensee
or supplier, as the case may be, upon detection of such theft
of electricity, immediately disconnect the supply from a
point further away from the connection point as per Section
135 sub-clause (1A) of the Act to ensure that the consumer
does not reconnect the supply and further theft does not
RSA No.1952 of 2024 (O&M) 30
take place. Provided that the supply shall be disconnected
under the order of an officer of the rank higher than the
rank of authorized officer who carried out the inspection
and such officer shall not be below the rank of SDO.
7.2.17 Such officer of the licensee or supplier, as the case may be,
not below the rank of SDO, shall lodge a complaint in
writing relating to the commission of such offence in police
station having jurisdiction in the area within 24 hours from
the time of such disconnect.
7.3 Assessment of energy consumption
7.3.1 Notwithstanding the criminal action taken under Section
135 of the Act for theft of electricity, the assessing officer
of the licensee or supplier, as the case may be, as defined
under Section 126 of the Act, but not below the rank of
SDO, shall assess the energy consumption as per the
assessment formula given in Annexure – II to these
Regulations.
7.3.2 In case of a regular metered connection, where a case of
theft of electricity is detected, units recorded in the meter
for the period for which the assessment is made and for
which bills have been raised by the licensee, shall be
accounted for while working out the net assessment of theft
of electricity.
7.3.3 After assessing the energy consumption as per the
assessment formula given in Annexure – II to these
Regulations, the licensee shall prepare a final assessment
bill on two times of the tariff applicable and serve upon the
consumer notices containing the following information.
(a) The details relating to the inspection carried out by
the authorized officer including the dates and
RSA No.1952 of 2024 (O&M) 31
timings, list of material seized and any other
relevant fact
(b) Detail of the energy consumption assessed on
account of theft of electricity, the period for which
assessment has been made and the amount to be
deposited by the consumer / person (amount
calculated as per the assessment formula given in
Annexure – II to these Regulations).
7.4 Reconnection
The licensee or supplier, as the case may be, on payment of
the assessed amount in accordance with the provisions of
the Act read with these Regulations, shall without prejudice
to the obligation to lodge the complaint as referred to under
Regulation 7.2.17 above, restore the supply of electricity
within forty-eight hours of such payment. Provided that the
supply to a person who is not a consumer of the licensee
shall not be restored and the payment of amount of
assessment made by him shall not entitle such person to be
a consumer of the licensee on such payment.
7.5 Default in payment of assessed amount
In case of default in payment of the assessed amount, the
licensee shall, after giving a 15 day’s notice in writing, file
a case against the consumer in the designated Special Court
as per the provisions of Section 135 of the Act. If, however,
the consumer comes forward to pay the assessed amount
along with interest, which shall be at the rate of 16% per
annum compounded every six months, he shall be allowed
to deposit the amount and interest without prejudice to other
actions taken under Section 135 of the Act.
7.6 Compounding of offence
RSA No.1952 of 2024 (O&M) 32
7.6.1 In case it is a first offence under Section 135 of the Act,
then the person may request the officer authorized by the
State Government under Section 152 of the Act, for
compounding of offence in the prescribed format. The
authorized officer shall hear the person and the assessing
officer or his authorized representative and thereafter, after
orders from such authorized officer, the amount for
compounding of offence shall be deposited by the person
with the State in the same manner as prescribed for
depositing the fines imposed by the courts. The charges for
compounding of the offence shall be as mentioned under
Section 152 of the Act or as specified by the State
Government.
7.6.2 A person can also deposit the amount of compounding even
after an FIR/complaint has been lodged against him for the
first offence, after getting approval from the authorized
officer under Section 152 of the Act. In such eventuality, the
authorized officer (under section 152) should accept the
amount of compounding and intimate the same to the
concerned police station and court regarding compounding
of offence under Section-152 of the Act.
7.6.3 On payment of the sum of money in accordance with
Regulations 7.6.1 & 7.6.2, any person in custody in
connection with that offence shall be set at liberty and no
proceedings shall be instituted or continued against such
consumer or person in any criminal court.
7.6.4 The acceptance of the sum of money for compounding of
offence in accordance with Regulations 7.6.1 & 7.6.2 by the
Appropriate Government or an officer empowered in this
behalf shall be deemed an acquittal within the meaning of
section 300 of the Code of Criminal Procedure, 1973 (2 of
1974).
RSA No.1952 of 2024 (O&M) 33
7.7 Special Court
Procedure and power of Special Court – The Special Court
setup under Section 153 of the Act, shall have the powers as
specified under Sections 154 and 155 of the Act.
7.8 Suspected Theft
7.8.1 On inspection of a premises, in case theft of electricity is
not clearly established and it seems to be a case of
suspected theft only, in that case the authorized officer shall
remove the old meter under a seizure memo and seal it in
the presence of the consumer or his authorized
representative. The authorized officer and the consumer
shall sign on the seals borne on the meter and meter box.
The licensee or supplier shall continue the supply to the
consumer simultaneously with a new meter. The old meter
shall be tested in the presence of the consumer and the
authorized officer at the licensee’s testing lab which shall
give a test report in writing, which along with photographs /
video graphs shall constitute evidence thereof. Based upon
this test report, the authorized officer shall prepare a report
and record therein the reasons of suspected theft, if any.
Provided that if consumer insists, the testing of the meter
shall be carried out at a third party facility approved by the
licensee / Commission.
7.8.2 The authorized officer shall handover his report to the
consumer or his representative immediately under proper
receipt. In case of refusal by the consumer or his authorized
representative to either accept or give a receipt, a copy of
the inspection report shall be pasted at a conspicuous place
outside the premises and photographed. Simultaneously, the
report shall be sent to the consumer under registered
post/speed post on the same day or the next day of the issue
RSA No.1952 of 2024 (O&M) 34
of report. Provided that in case of suspected theft, the meter
is found to be accurate within the prescribed limits and in
proper working order after testing, no further proceedings
shall be taken and the decision shall be communicated to
the consumer under proper receipt within three days and the
original meter shall be restored.
7.8.3 After detailed examination of the evidence and the
consumption pattern of the consumer, if the licensee or
supplier is convinced that a prima-facie case is made out
against the consumer for dishonest abstraction,
consumption or use of electricity, then the licensee or
supplier shall proceed against the consumer as per provision
under Regulations 7.2.16 to 7.6.4.
7.9 Voluntary declaration of tampered meters / seals
In case a consumer comes forward and voluntarily declares
that his meter and / or seals are tampered: (1) If the licensee
finds with reference to the abnormality in consumption
pattern and the sanctioned load or otherwise that the meter
and/or seals were tampered with malafide intent, then the
licensee shall raise the assessment bill at two times the
normal tariff for the period of last two months in case of
domestic supply and for the period of last six months in
case of other categories, reckoned from the date of
declaration.
In case of AP connections, the assessment bill shall be
raised at two times the AP tariff determined by the
Commission without subtracting the subsidy component for
the period of last two months, reckoned from the date of
declaration.
The tampered meter/seals shall be replaced with new
meter/seals at the consumer’s cost immediately.
RSA No.1952 of 2024 (O&M) 35
Thereafter the licensee shall not raise any other issue
including action under Sections 126 & 135 of the Act.
(2) The energy bill, for the period the meter is not replaced,
shall be sent as per the procedure for defective meters.
20. Likewise Chapter VIII has been incorporated in the Punjab
Supply Code, 2014. Chapter VIII in the Supply Code, 2014 deals with
unauthorized use of electricity and theft of electricity in State of Punjab.
21. In view of the discussion held hereinabove and the scheme of
the Act of 2003, it is held as under:
(i) Once theft of electricity is discovered by the authorities,
they are empowered to disconnect the supply of
electricity. Under Section 145 of 2003 Act, no Civil
Court shall have jurisdiction to entertain an application
seeking injunction on such act by an officer/authority
empowered under 2003 Act to disconnect the electricity.
(ii) Within 24 hours of such disconnection, competent officer
is obligated to lodge complaint, in writing, relating to
commission of theft of electricity in police station having
jurisdiction.
(iii) In case, the consumer pays the assessed amount of
electricity charges, the electricity will be restored within
48 hours of such deposit. However, it needs to be
RSA No.1952 of 2024 (O&M) 36
noticed herein that such assessment and corresponding
deposit, is without prejudice to the obligation to lodge the
complaint in writing.
(iv) The Court can take cognizance of an offence under
Section 135 of the Act upon a complaint, in writing,
made by competent officer/authority or upon report of a
police officer filed under Section 173 of Cr.P.C.
(v) Offences prescribed under Sections 135 to 140 or Section
150, are cognizable and non-bailable offences.
(vi) Once the police takes cognizance of the offence
punishable under Sections 135 to 140 and Section 150,
the first time offender can claim compounding of
offence, as prescribed under Section 152. If the payment
is made, a person in custody in connection with the
offence, has to be set at liberty and no proceedings be
instituted or continued against him in any criminal Court.
(vii) Acceptance of such payment, shall amount to acquittal
within the meaning of Section 300 of Cr.P.C., 1973.
(viii) States may notify in the official gazette Special Courts to
try offences punishable under Sections 135 to 140 and
Section 150 with the object of providing speedy trial. In
terms of Section 153 Constitution of Special Courts
RSA No.1952 of 2024 (O&M) 37
under the 2003 Act, is for purpose of trying offence
referred to in Sections 135 to 140 and Section 150.
Determination of civil liability being incidental and
dependant upon criminal liability of offender, Special
Court has no power to grant injunction on disconnection
of supply of electricity under Section 135 of the Act or
jurisdiction to enterain such plea.
(ix) Any offence punishable under Sections 135 to 140 and
Section 150, is triable only by the Special Court having
jurisdiction over the area where the offence has been
committed.
(x) The offence has to be tried by Special Court as a
summary trial in accordance with the procedure
prescribed under Code of Criminal Procedure, 1973.
(xi) The Special Court has to determine the Civil liability
against the consumer or a person in terms of money qua
theft of energy. The same shall not be less than an
amount equivalent to two times of the tariff rate,
applicable for a period of twelve months preceding the
date of detection of theft or the exact period of theft, if
determined, whichever is less.
RSA No.1952 of 2024 (O&M) 38
(xii) The amount of the civil liability, so determined, is to be
enforced like a Civil Court decree.
(xiii) The civil liability determined by the Special Court needs
to be adjusted/set off against the amount deposited by the
consumer subsequent to registration of case.
22. In view of above, this Court finds that the Division Bench
having relied upon powers conferred by Section 154 to hold that the
jurisdiction of Civil Court, is barred in the case of theft of energy, the ratio
can be relied upon by the supplier only in the cases wherein compliance has
been made to the provisions of Section 135. Which means that only when a
complaint has been lodged by the competent officer/authority regarding theft
of energy and the Special Court has taken cognizance of the offence
pursuant to filing of such complaint or filing of police report as per Section
151 of 2003 Act, the jurisdiction can be said to be barred invoking Section
154 of the Act of 2003.
23. In the absence of there being any complaint filed before the
Special Court or FIR registered by the police authorities, the allegations of
theft of energy, cannot assume the status of offence. In all those cases,
where there is no FIR registered by the police authorities and/or complaint
filed by the competent authorities before the Special Courts, the consumer is
well within his right to approach the Civil Court alleging violation of the law
RSA No.1952 of 2024 (O&M) 39
and procedure prescribed therein. Reliance can be placed upon ratio of law
laid down by Five Judges Bench of Supreme Court in the case of Dhulabhai
etc. vs. State of M.P. and anr, 1969 AIR (Supreme Court) 78 wherein the
Supreme Court observed as under:
“32. xxxxx. The result of this inquiry into the diverse views
expressed in this Court may be stated as follows :-
(1) Where the statute gives a finality to the orders of the
special tribunals the civil court's jurisdiction must be
held to be excluded if there is adequate remedy to do
what the civil courts would normally do in a suit. Such
provision, however, does not exclude those cases where
the provisions of the particular Act have not been
complied with or the statutory tribunal has not acted in
conformity with the fundamental principles of judicial
procedure.
(2) Where there is an express bar of the jurisdiction of
the court, an examination of the scheme of the
particular Act to find the adequacy or the sufficiency of
the remedies provided may be relevant but is not
decisive to sustain the jurisdiction of the civil court.
Where there is no express exclusion the examination of the
remedies and the scheme of the particular Act to find out
the intendment becomes necessary and the result of the
inquiry may be decisive. In the latter case it is necessary to
see if the statute creates a special right or a liability and
provides for the determination of the right or liability and
further lays down that all questions about the said right and
liability shall be determined by the tribunals so constituted,
RSA No.1952 of 2024 (O&M) 40
and whether remedies normally associated with actions in
civil courts are prescribed by the said statute or not.
(3) Challenge to the provisions of the particular Act as ultra
vires cannot be brought before Tribunals constituted under
that Act. Even the High Court cannot go into that question
on a revision or reference from the decision of the
Tribunals.
(4) When a provision is already declared unconstitutional or
the constitutionality of any provision is to be challenged, a
suit is open. A writ of certiorari may include a direction for
refund if the claim is clearly within the time prescribed by
the Limitation Act but it is not a compulsory remedy to
replace a suit.
(5) Where the particular Act contains no machinery for
refund of tax collected in excess of constitutional limits or
illegally collected a suit lies.
(6) Questions of the correctness of the assessment apart
from its constitutionality are for the decision of the
authorities and a civil suit does not lie if the orders of the
authorities are declared to be final or there is an express
prohibition in the particular Act. In either case the scheme
of the particular Act must be examined because it is a
relevant enquiry.
(7) An exclusion of the jurisdiction of the civil court is not
readily to be inferred unless the conditions above set down
apply.”
24. It also needs to be noticed herein that the ‘assessed amount’ as
contemplated under 3
rd
proviso appended to Section 135(1A) is not relatable
RSA No.1952 of 2024 (O&M) 41
to assessment provided under Section 126 of the 2003 Act. The same rather
refers to the amount assessed as per procedure prescribed by State
Commissions in the Electricity Supply Code under Section 50 of the 2003
Act pursuant to the Electricity (Removal of Difficulties) Order, 2005, dated
08.06.2005.
25. Applying the aforesaid parameters to the present case, this
Court finds that it is case where there is neither any FIR registered qua
offence punishable under Section 135 nor any complaint preferred before the
Special Court notified under Section 153, the jurisdiction of Civil Court,
cannot be held to be barred invoking Section 154 of 2003 Act.
26. No other point has been argued.
27. Finding no merits in the present appeal, the same is ordered to
be dismissed.
28. Pending application, if any, shall also stand disposed off.
October 27, 2025 (Pankaj Jain)
Dpr Judge
Whether speaking/reasoned : Yes
Whether reportable : Yes
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