Supreme Court of India · 2010-09-15
M/S Coal India Limited & Ors vs Coal Consumers Association & Ors
- Citation / case number
- AIRONLINE 2010 SC 333
- Court
- Supreme Court of India
- Petitioner
- M/S Coal India Limited & Ors
- Respondent
- Coal Consumers Association & Ors
- Author
- A. K. Patnaik
- Bench
- A. K. Patnaik, Altamas Kabir
Judgment text excerpt
The Supreme Court addressed the interim orders of the Allahabad High Court that stayed the suspension of coal supply by Bharat Coking Coal Limited (BCCL) to 45 industrial consumers. The Court emphasized the binding nature of the Fuel Supply Agreement (FSA), particularly Clause 4.4, which prohibits resale or diversion of coal, and noted that the suspension was based on credible allegations of misuse. The Court held that the High Court's interim order was not justified given the serious allegations and the terms of the FSA, thereby allowing BCCL to proceed with the suspension of coal supply.