Justi ce J Nisha Banu and Justice M Jothiraman rejected Info sys’s contention that the food cour ATMs, gyms, hospital, and ourts, shopping outlets, other facilities on its campus were provided to employees as a welfare measure.
HC directs Infosys to pay as per tariff demanded by TNPDCL
: A 14.6 crore de mand notice for electricity consumption, slapped on In fosys Limited by Tamil Nadu power generation and distri bution corporation (Tanged co), for carrying out unper mitted commercial activiti es within its premises has be en upheld by Madras high court. The company utilized electricity provided at a sub sidized rate for industrial purposes at its Mahindra World City in Chengalpet,
near Chennai. Dismissing an appeal by
Infosys Limited on Thurs day a division bench of Justi ce J Nisha Banu and Justice M Jothiraman rejected Info sys’s contention that the food cour ATMs, gyms, hospital, and ourts, shopping outlets, other facilities on its campus were provided to employees as a welfare measure.
On May 23, 2024, a single judge refused to entertain the plea by Infosys and direc ted it to pay the demanded ta riff amount to Tangedco. Ag grieved, the company moved
the present appeal According to Infosys, the single judge, while rejecting the writ petition filed by it,
directed payment of Tariff III charges for its BPO activi ties from 2009 to 2010, as well its activities. This was be as a commercial tariff for all der the trade food coats cause it court un and clubs on its campus wit hout any physical segrega tion for its permitted indust rial tariff.
senior advocate P Wison Representing Tangedco, submitted that, in so far as BPO activities are concer ned, Infosys admitted to the same. Hence, Tariff III, arate fixed by TNERC, must be pa id for BPO activities activities up to 2010. TNKRC fixes commerci nust be pa
al tariff rates for BPO activi ties up to 2010; hence, the same must be applied here, he added.
activities like food courts, Regarding commercial like cou os established under trade names within In fosys premises, which Info-sys permitted through vario us agreements, no industrial ven the tariff rates fixed by tariff rate can be applied gi TNERC in 2017, he said.
Representing Infosys, se
nior advocate Vijay Narayan
submitted that the dues
Tangodco
Tangedco are barred under
section 56(2) of the Electrici
ty Act, and hence, no amount
tted that the dues of
could be recovered for BPO usage. He further added that all amenities mentioned in the trade name are meant for re, a concessional industrial employees’ welfarn. Therefo this commercial activity in tariff must be applied for
side the premises Opposing the same, Wil son submitted that TNERC is es tariffs under the Electrici the regulatory body that fix ty Act, and hence, the rates have statutory acking. which is no statutory back which is non-negotiahle.. cepting Wilson’s arguments. the bench directed Infosys to pay the demanded tariff and dismissed the appeal.
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