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Will first deal with issue of CAG audit of discoms' accounts:

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Press Trust of India New Delhi
The Delhi High Court today made it clear that it would first decide the plea seeking an audit of accounts of Delhi's three private discoms by Comptroller and Auditor General (CAG) of India before dealing with other aspects.

"We will go by the order dated August 24, 2011 and will deal with that limited issue (of CAG audit) first," a bench of justices Pradeep Nandrajog and Jayant Nath said and fixed the PIL filed in 2011 by NGO United RWAs Joint Action (URJA) for hearing on March 20.

Besides seeking a CAG audit into the accounts of BSES Rajdhani Power Ltd, BSES Yamuna Power Ltd of Reliance Anil Dhirubhai Ambani Group and Tata Power Delhi Distribution Ltd, the NGO had also sought a CBI or an independent probe into alleged irregularities committed by the discoms.
 

The PIL has said the then state government had given in to pressure from the companies which sought a hike in tariff by faking losses and failed to fix the tariff for 2010-11.

The High Court had, on August 24, 2011, said, "...The issue that requires to be dwelt upon and addressed to is the jurisdiction of the CAG in respect of the said companies. It is further canvassed by them the same has to be tested on the anvil of the Constitution of India and the CAG Act, 1971.

"That apart, it is urged by them (discoms) once there has been a privatization of the electricity companies, they are not covered by the aforesaid Act. Issue notice on the question of admission.

"Regard being had to the limited lis (litigation) that has emerged before us, we would like the respondents (discoms and others) to file their respective counter affidavits only in this regard...", the bench said.

During the hearing, Prashant Bhushan, appearing for the NGO, today said "this a very important public issue and this needs to be settled."

"Of course, we will settle it for you," the bench said and inquired about the status of the appeals filed by discoms against a single judge bench order refusing to stay Aam Aadmi Party-led government's decision asking CAG to audit their accounts.

The appeals were listed before another bench, Bhushan said.

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First Published: Feb 18 2014 | 6:04 PM IST

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