Section 19 in The M.P. Vidyut Sudhar Adhiniyam, 2000
19. Provisions where licence is revoked.
(1)Notwithstanding anything contained in Sections 6 and 7 of the Indian Electricity Act, 1910 (No. 9 of 1910), where the Commission revokes a licence, under sub-section (2) of Section 18 the following provisions shall apply :-(a)the Commission shall serve a notice of revocation upon the licensee and shall fix a date on which the revocation shall take effect on and with effect from that date, or on and with effect from the date, if earlier on which the undertaking of the licensee is sold to a purchaser in pursuance of any of the provisions of this Act, all the rights, duties, obligations and liabilities of the licensee under this Act shall absolutely cease and stand determined except for any obligation or liabilities that had accrued to that date;(b)the Commission shall invite applications for acquiring the undertaking of the licensee whose licence has been revoked and determine the price payable and other terms and conditions of the sale of the undertaking;(c)the Commission may by notice in writing require the licensee to sell at the price on terms and conditions determined under clause (b) and thereupon the licensee shall sell the undertaking to the person (hereinafter in this section referred to as "purchaser") and whose application has been accepted by the Commission; and(d)the Commission may make such interim arrangement in regard to the undertaking of the licensee for maintaining the electricity transmission and supply as may be considered appropriate including the appointment of administrators and special directors for the undertaking of the licensee.(2)Where an undertaking is sold under sub-section (1), the purchase-shall deposit the purchase price of the undertaking determined in accordance with the application submitted by the purchaser as per the directions of the Commission and the Commission shall have the powers to direct that the outstanding amount of any fine, charge or compensation levied on the licensee in terms of Section 31 of the Act or any other amount due or outstanding from the licensee to the Commission or to any other person as per the orders passed by the Commission be first adjusted out of the amount deposited before releasing the amount to the licensee concerned.(3)Where the Commission issues any notice under sub-section (1) requiring the licensee to sell the undertaking, it may by such notice require the licensee to deliver the undertaking and thereupon the licensee shall deliver on a date specified in the notice, to the designated purchaser pending the payment of the purchase price of the undertaking :Provided that in any such case, the purchaser shall pay to the licensee interest at such rate not exceeding the Reserve Bank leading rate ruling at the time of delivery of the undertaking as the Commission may decide, on the purchase price of the undertaking for the period from the date of delivery of the undertaking to the date of payment of the purchase price.(4)The licensee shall duly implement the orders of the Commission under this section, notwithstanding that the licensee may be aggrieved by the order and intends to challenge the orders of the Commission.
