High Court directs GITAM University to clear Rs 54 crore power dues or face disconnection

Hyderabad: The Telangana High Court has issued a stern directive to GITAM University’s Hyderabad campus, mandating the payment of Rs 54 crore in outstanding electricity dues to the South Central Power Distribution Company Limited (SPDCL) within a three-week window.

The court warned that failure to comply with this order could result in the disconnection of the university's power supply. This directive was issued on Thursday by a division bench comprising Justice Moushumi Bhattacharya and Justice M.G. Priyadarsini, who were hearing an appeal filed by the SPDCL against an earlier interim order from a single judge.

The legal dispute arose after the SPDCL issued a notice demanding the clearance of arrears totaling Rs 118 crore, threatening to cut off the power supply if the dues remained unpaid. In response, the university administration approached the High Court seeking relief. While a single judge initially ruled in favor of the university and ordered the restoration of electricity, the distribution company challenged the decision, arguing that the massive outstanding amount was causing significant revenue losses.

Upon reviewing the case, the division bench noted that the total dues stood at approximately Rs 108 crore. Consequently, the bench modified the earlier relief by ordering the university to deposit 50 percent of the outstanding amount immediately. While the court allowed for the continued supply of electricity for the time being, it made it clear that the interim protection is contingent upon the payment being made within the stipulated three weeks.

Following the ruling, officials from the SPDCL confirmed that they would monitor compliance closely to ensure the court's deadlines are met. As of now, representatives from GITAM University have not issued a public comment regarding the High Court’s latest order or their plan of action to arrange the funds.

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