PUNJAB STATE ELECTRICITY BOARD vs HARVINDER SINGH

The Supreme Court upheld the Punjab and Haryana High Court's decision that the demand of Rs. 2,17,000/- by the Punjab State Electricity Board was impermissible. The Court found that the Board's Circular CC No. 41/95 did not require large supply consumers who applied for connections before 1.4.1995 to pay a one-time demand charge. The Court clarified that subsequent circulars could not retroactively impose such charges on consumers who had already completed their application formalities before the specified date, thus quashing the demand notice dated 12.2.1999.