Technical Branch
144, Anna Salai,
Chennai-600 002.

Sub: Electricity – Settlement of pending theft of energy cases in the Adalat – Guidelines issued to be strictly followed – Reg. Ref: 1.Per. B.P. (F.B) No.29, (Tech.Br.) dt. 5.4.2002. 2.Per. B.P. (F.B) No.30, (Tech.Br.) dt. 10.4.2002. 3.Per. B.P. (F.B) No.118, (Tech.Br.) dt. 3.8.2002. 4.Per. B.P. (F.B) No.151, (Tech.Br.) dt.28.10.2002. 5.Memo.No.02655/CE/Comml./EE1/AEE1/F.Adalat/ 6.Per. B.P. (F.B) No.111, (Tech.Br.) dt. 25.9.2004. 7.Per. B.P. (F.B) No.241, (Tech.Br.) dt. 14.11.2005. 8.Per. B.P. (F.B) No.216, (Tech.Br.) dt. 4.10.2006. *** It has come to the notice of this office that in a case of theft of energy detected during 3/2003, settlement in the Adalat was made erroneously without collecting the balance amount. The Adalat was informed inadvertently that the entire amount in the case was collected when in reality a sizeable balance amount was to be collected. Based on the information provided, an award was passed in the Adalat that the entire amount covered in the writ petition has been paid by the petitioner to the Board and the writ petition was closed. In this regard, it is informed that as per the provision of Section 21(2) of the Legal Services Authorities Act, 1987, every award made by a Lok Adalat shall be final and binding on all the parties to the dispute, and no appeal shall lie to any Court against the award. Therefore, once the matter has been settled in Lok Adalat, that too based on the submission made by the parties, it will be binding on all the parties to the dispute and therefore, there is no chance to go for filing any appeal against the Lok Adalat award in any Court for collecting the balance
arrear amount due to TANGEDCO.


At this juncture, a reference is drawn to the instructions issued in Per B.P(F.B) No.216 (Technical Branch) dt.4.10.2006, wherein it has been stated, the Chief Engineers/Distribution in the case of HT Services and the Superintending Engineers/Distribution in the case of LT services are to accept settlements in the Adalat for pending cases of theft of energy and violation detected before 10.6.2003. The waiver of BPSC and reduction in assessed amount at 3% are permitted only for cases detected before 10.6.2003. The said reduction in amount at 3% of assessed amount shall apply only when the Hon’ble Judge of the Adalat deliberates for a negotiation, to reduce the amount further. Herein, it is emphasized that the said reduction within the limit of 3% is to be exercised only when reasonable justification exists for reduction of the amount and not as a granted norm in all cases. It may be noted that only a base amount below which a settlement should not be made is indicated in the B.Ps cited, meaning a settlement can be
made at a much higher amount than the base amount through negotiation.


Whenever a summon is issued for settlement of a case in Adalat, the date of detection of the case should be checked first and if the case is eligible for settlement, the amount to be collected should be worked out as per the Adalat guidelines issued and furnished to the concerned Superintending Engineers/EDCs in the case of LT services and to the Chief Engineers/Distribution/Regions in the case of HT services for verification. The CEs/Distribution and the SEs/EDC should personally appear before the Adalat for negotiation and sign the settlements whenever the cases are settled.
It should be ensured that the case is settled only as per the guidelines/ instructions issued in the references cited, without any deviation, and if the case is not eligible for settlement in the Adalat or any request made in the Adalat for further concessions other than that prescribed in the B.Ps. cited, the inability to settle the case may be informed to the Judge, as the Adalat settlement is only a settlement as mutually agreed by and between the parties and there is no compulsion or coercion for such settlement. Any deviation from the guidelines issued for settlement of cases in Adalat will entail in initiating D.P. on the serving Officials and action as deemed fit taken besides recovery of shortfall amount. (V.R. GEETHANANTHAN), CHIEF ENGINEER/COMMERCIAL(I/c), For DIRECTOR (DISTRIBUTION). To All Chief Engineers/Distribution/Regions. All Superintending Engineers/Electricity Distribution Circle.


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