M/S.PURBANCHAL CABLES & CONDUCTORS P.LTD vs ASSAM STATE ELECTRICITY BOARD

The Supreme Court held that under the Interest on Delayed Payments to Small Scale and Ancillary Industrial Undertakings Act, 1993, a supplier can claim interest on delayed payments even if the principal amount was received without demur. The Court overruled the High Court's decision which dismissed the suit on the grounds that no amount was due at the time of institution, establishing that the Act allows for claims of interest irrespective of prior settlements. The Court reinstated the decree in favor of the supplier, affirming the right to claim interest on delayed payments.