1 CGHC010212942021 2026:CGHC:42727 NAFR HIGH COURT OF CHHATTISGARH AT BILASPUR WPC No. 3420 of 2021 1 - M/s Rashmi Sponge Iron And Power Industries Pvt Ltd. Having Registered Office At 90 Industrial Growth Center Siltara Phase -Ii Raipur, Through Its Director Kailash Agrawal, Aged About 59 Years, S/o Shri Satyanarayan Agrawal, Residing At 68, Aishwarya Residency, Near Minocha Petrol Pump, Telibandha, Raipur Chhattisgarh. ... Petitioner(s) versus 1 - State of Chhattisgarh Through Its Secretary, Department Of Industries, Naya Mantralaya, Naya Raipur, Raipur Chhattisgarh., District : Raipur, Chhattisgarh 2 - The Chief General Manager District Industries And Trade Centre, Raipur, Chhattisgarh., District : Raipur, Chhattisgarh 3 - The Chief Electrical Inspector State Of Chhattisgarh, B - Block, 204 Floor, Indrawati Bhawan, Naya Raipur, Raipur Chhattisgarh., District : Raipur, Chhattisgarh 4 - The Secretary Department Of Power Mahanadi Bhawan, Mantralaya, Raipur Chhattisgarh., District : Raipur, Chhattisgarh ... Respondent(s) RUCHI YADAV Digitally signed by RUCHI YADAV 2 ( Cause title taken from CIS Periphery) For Petitioner(s) : Mr. Harshmander Rastogi along with Mr. Ajay Pal Singh, Advocate For Respondent/State : Mr. Shobhit Mishra, Deputy Government Advocate SB: Hon’ble Mr. Justice Amitendra Kishore Prasad Order on Board 01/10/2026 1. By way of this petition, the petitioner has prayed for following reliefs:- “I. That, this Hon'ble Court may kindly be pleased to issue a writ of mandamus or any other appropriate writ holding, directing and declaring that the demand notice dated 23.6.2021 is illegal and contrary to section 3(1)(c) of the Chhattisgarh Electricity Duty Act, 1949, as amended in year 2013 and is also illegal and contrary to the Entry 53-List II of the Constitution, as the demand notice dated 23.6.2021 levies electricity duty on the generation of electricity and not on consumption for the period of September 2014 to March 2021; AND II. That, this Hon'ble Court may kindly be pleased to issue a writ of mandamus or any other appropriate writ holding, directing and declaring that the demand notice dated 23.6.2021 by the Respondent no.3 is illegal and contrary to the provisions of section 3(1)(c) of the Electricity Duty, ACT, 1949 as amended in year 2013; AND III. That, this Hon'ble Court may kindly be pleased to issue a writ of mandamus or any other appropriate writ quashing and 3 setting-aside the demand notice dated 23.6.2021 issued by the Respondent no.3; AND IV. Any other relief as deemed fit and proper by this Hon'ble Court.” 2. Learned counsel for the petitioner submits that during the pendency of the present petition, the petitioner has sold the industrial unit to M/s Hindustan Iron and Sponge Private Limited, having its registered office at 505, Progressive Point, Dhamtari Road, Raipur (C.G.) – 492001, through its Director, Arvind Agrawal. He further submits that, pursuant to the purchase of the said unit on 19.01.2026, the unit is presently being operated by the said purchaser. It is, therefore, submitted that, in view of the subsequent event, the liability fastened upon the petitioner- company, M/s Rashmi Sponge Iron and Power Industries Pvt. Ltd., requires reconsideration, particularly in the light of the subsequent transfer of the unit to the purchaser. 3. Learned State counsel submits that, in view of the aforesaid subsequent development, the concerned party is required to approach the competent authority by filing an appropriate application along with the relevant documents, including the terms and conditions of the sale/purchase so as to enable the authority to determine as to whether the liability in question is to be borne by the erstwhile owner or by the present purchaser. 4. Having heard learned counsel for the parties and having perused the record, particularly the subsequent event of transfer of the industrial unit to M/s Hindustan Iron and Sponge Private Limited on 19.01.2026, this Court is of the view that the subsequent development requires 4 consideration by the competent authority. Accordingly, the present purchaser is directed to file an appropriate application before respondent No.3 along with all relevant documents, including the documents relating to the purchase of the industrial unit, for determination of the liability in question. In the event such an application is filed, the concerned authority shall consider and decide the same in accordance with law, after affording due opportunity of hearing to the concerned parties. 5. The petitioner/present purchaser is directed to file such appropriate application before respondent No.3 within a period of 30 days from today. In turn, respondent No.3 shall consider and decide the said application within a period of 45 days from the date of receipt of the application, in accordance with law. 6. Till the aforesaid period of 45 days, the interim order passed by this Court on 24.08.2021 shall continue to operate. 7. With the aforesaid directions, the petition stands disposed of. Sd/- (Amitendra Kishore Prasad) Judge Ruchi