Accepting the arguments of Mr P. Wilson, Acting Chief Justice Mahadevan and Justice Mohammed Shaffiq directed Infosys payment of Rs 2.5 crores within two weeks as an interim order and posted the matter for further hearing.
[14/06, 21:57] sekarreporter1: Hon’ble Acting Chief Justice Bench directed Infosys to pay Rs 2.5 crores to TANGEDCO in the appeal filed after hearing heated arguments between Mr Vijay Narayan, appearing for Infosys, and Mr P. Wilson for TANGEDCO.
The single judge, while rejecting the writ petition filed by Infosys, directed payment of Tariff III charges for its BPO activities from 2009 to 2010 as well commercial tariff for all its activities as it had food court under the trade name, banks, clubs, etc. in its campus without any physical segregation for its permitted industrial Tariff.
Mr P. Wilson submitted that in so far as BPO activities are concerned, Infosys has admitted about the same, and hence, Tariff III, a rate fixed by TNERC, has to be paid for BPO activities up to 2010. TNERC fixes commercial tariff rates for BPO activities up to 2010; hence, the same has to be applied here.
In so far as commercial activities like food courts, banks, and clubs established under trade names within Infosys premises are concerned, which Infosys has permitted through various agreements, no industrial Tariff rate can be applied given Tariff rates fixed by TNERC in the year 2017.
Mr Vijay Narayan submitted that the dues of TANGEDCO are barred under section 56(2) of the Electricity Act, and hence, no amount could be recovered for BPO usage. He also submitted that all amenities mentioned in the trade name are meant for employees’ welfare. Therefore, a concessional industrial tariff has to be applied for this commercial activity inside the premises.
Mr Wilson submitted that TNERC is the regulatory body which fixes tariffs under the Electricity Act, and hence, the rates have statutory backing, which is non-negotiable. In so far as arguments that the dues are barred by limitation, he relied upon the judgment of the Supreme Court to submit that limitation is subject to 2 years from the inclusion of the arrears in the white meter card and also when it is shown as amount recoverable continuously which in the present case is adhered to. Therefore, the 15 crores due by Infosys are not hit by section 56(2).
Accepting the arguments of Mr P. Wilson, Acting Chief Justice Mahadevan and Justice Mohammed Shaffiq directed Infosys payment of Rs 2.5 crores within two weeks as an interim order and posted the matter for further hearing.
[14/06, 21:57] sekarreporter1: 👍
