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KARNATAKA ELECTRICITY BOARD (RECOVERY OF DUES) ACT, 1976
KARNATAKA ELECTRICITY BOARD (RECOVERY OF DUES) ACT, 1976
51 of 1976
STATEMENT OF OBJECTS AND REASONS [KARNATAKA ACT No. 51 OF 1976] Karnataka Gazette, Extraordinary, dated 14-8-1974 Under the existing law relating to the recovery of dues due to the Karnataka Electricity Board, Civil suits have to be filed by the Board within 3 years from the date of accrual of such dues. This procedure entails delay and also involves sizeable cost of litigation. There are at present no provisions for recovery of dues of more than 3 years. The Public Accounts Committee in its Report for the year 1966, suggested that the provisions of law relating to the conduct of affairs of the Board be examined and action taken for recovery of arrears due to the Board, as arrears of Land Revenue. It is, therefore, proposed to undertake legislation to enable the Electricity Board to recover the dues due to it from consumers as arrears of Land Revenue, which will help it to improve its finances. Hence the Bill.
An Act to provide for the expeditious recovery of certain sums due to the Karnataka Electricity Board. Whereas, it is expedient to provide for the expeditious recovery of certain sums due to the Karnataka Electricity Board; Be it enacted by the Karnataka State Legislature in the Twenty-seventh Year of the Republic of India as follows:
Section1 Short title, extent and commencement
(1) This Act may be called the Karnataka Electricity Board (Recovery of Dues) Act, 1976.
(2) It extends to the whole of the State of Karnataka.
(3) it shall come into force on such date as the State Government may, by notification appoint.
Section2 Definitions
In this Act unless the context otherwise requires.
(1) "Board" means the Karnataka Electricity Board constituted under Section 5 of the Electricity (Supply) Act, 1948 (Central Act 54 of 1948);
(2) "Dues" means any sum payable to the Board on account of.
(i) consumption of electrical energy supplied; or
(ii) any remuneration, rent or other charges for hire, inspection, test, installation, connection, repairs, maintenance or removal of any electric meter, electric machinery, control gear, fittings, wires, or apparatus for lighting, heating, cooling or motive power or for any other purpose for which electricity can or may be used, or any industrial or agricultural machinery operated by electricity; or
(iii) price of any such goods as aforesaid taken on loan but not returned;
(3) "Debtor" means a person by whom any dues are payable;
(4) "Prescribed Authority" means any person authorised, whether by virtue of Office or otherwise by the State Government, by notification to perform the functions of the prescribed authority under this Act in and for such area, as may be specified in the notification.
Section3 Bills to state the date by which payments are to be made and consequences of non-payment
(1) Every bill for dues payable to the Board by a debtor shall be in the prescribed form and shall specify conspicuously the date by which such dues are to be paid.
(2) If the dues are not paid by such date, the debtor shall be liable to pay in addition thereto such penalty, as may be prescribed, and such dues and penalty shall be recoverable along with the costs incurred in making such recovery, in the manner hereinafter laid down in this Act.
Section4 Notice of demand for dues and penalty not paid
Where the dues are not paid by a debtor by the date specified in the bill therefor, the prescribed authority may at any time serve or cause to be served upon him a notice of demand in the prescribed form, stating the name of the debtor, the amount payable by him on account of the various dues, penalty and the costs of recovery.
Explanation. The sending of the notice by registered post shall be deemed to be sufficient service on the person concerned.
Section5 Suit to challenge liability to payment
Where a notice of demand has been served on, the debtor or his authorised agent under Section 4, he may, if the denies his liability to pay the dues, penalty or costs or any part of any of them, institute a suit within six months from the date of service of notice of demand, after depositing with the prescribed authority the aggregate amount specified in the notice of demand under protest in writing that he is not liable to pay the same. Subject to the result of such suit, the notice of demand shall be conclusive proof of the various dues, penalty and costs mentioned therein.
Section6 Recovery of dues etc., if not paid
(1) If the aggregate amount of the various dues, penalty and costs mentioned in the notice of demand served under Section 4 is not deposited with the prescribed authority within three months of the date of such service of such extended period as the prescribed authority may from time to time allow, the debtor shall be deemed to be in default in respect of such amount and the same shall be recoverable as an arrear of land revenue notwithstanding anything to the contrary contained in any other law or instrument or agreement.
(2) For the purpose of such recovery, the prescribed authority may forward to the Deputy Commissioner having jurisdiction a certificate under his signature in the prescribed form stating the amount and details of the demand and the name and description of the debtor in default and the Deputy Commissioner shall on receipt of such certificate, proceed to recover from the debtor the amount of the demand as if it were an arrear of land revenue.
Section7 Power to make rules
(1) The State Government may, by notification and subject to the condition of previous publication make rules for carrying into effect the purposes of this Act.
(2) Every rule made under this Act, shall be laid as soon as may be after it is made before each House of the State Legislature while it is in session for a total period of thirty days which may be comprised in one session or in two or more successive sessions, and if before the expiry of the session in which it is so laid or the sessions immediately following, both Houses agree in making any modification in the rule or both Houses agree that the rule should not be made. The rule shall thereafter have effect only in such modified form or be of no effect, as the case may be; so however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under such rule.
KARNATAKA ELECTRICITY BOARD (RECOVERY OF DUES) RULES, 1978
Whereas draft of the Karnataka Electricity Board (Recovery of Dues) Rules, 1978 was published as required by sub-section (1) of Section 7 of the Karnataka Electricity Board (Recovery of Dues) Act, 1976 (Karnataka Act No. 51 of 1976) in Notification PWD 158 LLB 76, dated 29th March, 1978 in Part IV, Section 2-C(ii) of the Karnataka Gazette, dated 6th April, 1978 inviting objections and suggestions from persons likely to be affected thereby on or before 8th May, 1978. And, whereas, the said Gazette was made available to the public on 6th April, 1978. And, whereas, objections and suggestions received have been considered. Now, therefore in exercise of the powers conferred by sub-section (1) of Section 7 of the Karnataka Electricity Board (Recovery of Dues) Act, 1976 (Karnataka Act 51 of 1976) the Government of Karnataka, hereby makes the following rules, namely:
Rule1 Title and commencement
(1) These rules may be called the Karnataka Electricity Board (Recovery of Dues) Rules, 1978.
(2) They shall come into force at once.
Rule2 Definitions
In these rules, unless the context otherwise requires.
(a) "Act" means, the Karnataka Electricity Board (Recovery of Dues) Act, 1976 (Karnataka Act No. 51 of 1976);
(b) " Form" means a form appended to these rules;
(c) "Section" means, a section of the Act.
Rule3 Bill for dues
(1) Every bill for dues payable to the Board by a debtor shall be in Form A.
(2) If the debtor fails to pay the dues on or before the date specified in the bill he shall be liable to pay, in addition to the amount specified therein, a penalty of [five] per cent of such dues,
Rule4 Notice of demand
(1) The notice of demand under sub-section (1) of Section 4 shall be in Form B.
(2) Every such notice of demand shall be served on the debtor either in person or by sending it by registered post and if the debtor cannot be found, the notice may be served on any adult male member of the family of the debtor.
Rule5 Certificate under Section 6
The certificate to be issued to the Deputy Commissioner under sub-section (2) of Section 6 shall be in Form C.
APPENDIX A FORM
FORM A
[See Rule 31
To
Name.............
Registered
Address................
(a) RR. No.................
(b) L.F. No.................
(c) Premises where the installation is situated................
(d) Nature of installation/Industry................
(e) Tariff applicable................
Bill (including Arrears)
Particulars.
Amount
Rs. Ps
Amount due towards power supply and miscellaneous charge as below:
1. Arrears of electricity and other charges outstanding to the end of......19 ....(details vide Annexure-I)
2. Arrears of Electricity tax outstanding to the end of.....19 .... (details vide Annexure-I)
3. Amount of:
(a) Electrical consumption bill of the latest month excluding tax
4. Others (items mentioned in clauses (ii) and (iii) of sub-section (2) of Section 2 to be specified)
(a).................
(b)................
(c)................
(d).................
Total (in words)................
The last date for payment of the above dues is................
Place: ..Executive Engineer (Elecl.,)
Date: ....Karnataka Electricity Board.
APPENDIX B Notice of Demand
FORM B
[See Rule 4]
Notice of Demand
To
Name................
Address..............
Registered Installation No................
.Whereas, the Bill No.................dated................has been issued to you for payment of a sum of Rs.................due to the Karnataka Electricity Board on or before................and whereas you have not paid the said dues within the prescribed time. Therefore you are liable to pay a penalty of................per cent on
the amount due under sub-section (2) of Section 3 of the Karnataka Electricity Board (Recovery of Dues) Act, 1976 read with sub-rule (2) of Rule 3 of the Karnataka Electricity Board (Recovery of Dues) Rules, 1978.
.Hence, you are hereby, called upon by this notice of demand to pay a sum of Rs.................as detailed below.
..Rs. Ps.
. (a) Bill amount.
. (b) Penalty at 1[5] per cent.. .
. (c) Costs of recovery .
....
.....Total amount..________________
.You are hereby, further informed that, in case you failed to deposit or pay the entire amount stated above i.e., Rs................within three months from the date of service of this notice you will be deemed to be a defaulter in respect of such amount and the same will be recovered as an arrear of land revenue.
Executive Engineer (Elecl.,)
APPENDIX C FORM
FORM C
[See Rule 5]
.Sri................Son of................residing at................ being a consumer of electrical energy supplied by the Karnataka Electricity Board, is due a total sum of Rs.................The said debtor has not paid the said sum inspite of a notice of demand issued to him (vide No.................dated................
.Therefore, I hereby certify that the above said Sri................is a defaulter in respect f the said amount and is recoverable as an arrear of land revenue under sub-section (2) of Section 6 of the Karnataka Electricity Board (Recovery of Dues) Act, 1976.
Executive Engineer (Elecl.,)
