MAKKAH WOOD BASED PANELS vs G.M. SUI GAS PIPELINE LTD. and others
This petition for leave to appeal arises out of a temporary injunction matter in a suit for declaration filed by the petitioner against a notice for payment of outstanding sui gas arrears, penalties, and pilferage amounts. The impugned order had directed the petitioner to deposit 50 percent of the outstanding amount and penalty. During the hearing, the parties arrived at a consensus based on a fair offer made by the respondents. The Supreme Court converted the petition into an appeal and allowed it, setting aside the impugned order and directing the petitioner to deposit specified amounts and furnish a bank guarantee by a given date, subject to final determination by the competent forum, while restraining the respondent company from disconnecting the sui gas connection in the interim. The key principle laid down is that interim arrangements in utility billing disputes can be regulated through consent of parties pending adjudication by a competent forum.
- Can the Supreme Court convert a petition for leave to appeal into an appeal and dispose of it on agreed terms?
- Whether interim relief regarding utility reconnections or disconnections can be made conditional upon the deposit of a portion of the disputed dues and furnishing of a bank guarantee?
- What is the effect of a consent statement given by counsel regarding the payment of disputed utility bills and penalties?
ORDER
' TASSADUQ HUSSAIN JILLANI, J.---Through this petition leave is sought against the order dated 5-11- 2012 vide which petitioner's First Appeal bearing No,477 of 2012 was partly allowed and it was directed that petitioner shall deposit 50% of the outstanding amount of arrears of sui gas bill as also the penalty/pilferage amount worked out by the respondent Sui Gas Pipeline Limited against the petitioner concern.
2. This petition arises out of a temporary injunction matter in a suit for declaration filed by the petitioner against the respondents impugning the notice for payment of the outstanding amount and seeking a restraint order that respondents/defendants be directed not to recover the amount of Rs,7,72,90,784 along with security deposit of Rs,42,72,000 regarding Sui Gas Meter No,IM 02077276 Consumer No,30245900003.
3. Having heard learned counsel for the petitioner at some length, we directed learned Deputy Attorney-General Ms. Yasmeen Sehgal to get in touch with the respondent authorities and find out the factual position. Having established contact she submits that the current actual bill which the petitioner concern has to pay amounts to Rs,1,39,89,860 and the amount payable by the petitioner due to pilferage/theft and penalty is Rs,9,32,69,480. Adds that the last date for payment of the amount was 20-10-2012 and since petitioner had failed to deposit, the officials of the respondent Department visited the petitioner's factory to disconnect the sui gas connection but they were assaulted by about 500 people which occurrence is subject matter of F.I.R. No,339 dated 16-6-2012 at Police Station Thikri Wala, Faisalabad.
4. Learned counsel for the respondents on court query submits that if the petitioner deposits 50% of the afore-referred penal amount and total current bill within a week and for the remaining amount furnish a bank guarantee, the respondent authorities shall not disconnect the sui gas connection.
Learned counsel for the petitioner concern readily agrees to the afore-referred offer.
5. In view of the fair stand taken by learned counsel for the parties, this petition is converted into appeal and allowed, the impugned order is set aside and it is directed that subject to the determination of the amount by the competent forum they shall deposit the amount in terms of the statement made by learned counsel for the respondent sui gas company by or before 12-12- 2012. They shall also furnish bank guarantee for the remaining amount within this period. Till the afore-referred date, the sui gas connection shall not be disconnected.