Section 149 in The U.P. Electricity Regulatory Commission (Conduct of Business) Regulations, 2004
149.
(1)The Commission may, on being satisfied that a licensee has failed to comply with any of the conditions of licence or a generating company or a licensee has failed to comply with any of the provisions of this applicable legal framework or rules or regulations made thereunder, at any time, by order in writing, direct any person to investigate the affairs of any generating company or licensee and report to the Commission on any investigation made by such Investigating Authority. Provided that the Investigating Authority may, wherever necessary, employ any auditor or any other person for the purpose of assisting him in any investigation under this section.(2)The licensee or generating company shall be under a duty to produce before the Investigating Authority all such books of account, registers and other documents in his custody or power and to furnish him with any statement and information relating to the affairs of the licensee or generating company, as the case may be, as the said Investigating Authority may require of him within such time as the said Investigating Authority may specify.(3)The Investigating Authority would be empowered to examine on oath any manager, managing director or other officer of the licensee or generating company, as the case may be, in relation to his business and may administer oaths accordingly. The Investigating Authority, shall, if directed by the Commission to cause an inspection to be made.(4)On receipt of any report and after giving such opportunity to the licensee or generating company, as the case may be, to make a representation in connection with the report as the Commission seems reasonable, it may by order in writing -(a)require the licensee or the generating company to take such action in respect of any matter arising out of the report as the Commission may think fit; or(b)cancel the licence; or(c)direct the generating company to cease to carry on the business of generation of electricity.(5)The Commission may, after giving reasonable notice to the licensee or the generating company, as the case may be, publish the report submitted by the Investigating Authority or such portion thereof as may appear to it to be necessary.(6)The Commission may specify the minimum information to be maintained by the licensee or the generating company in their books, the manner in which such information shall be maintained, the checks and other verifications to be adopted by licensee or the generating company in that connection and all other matters incidental thereto as are, in its opinion, necessary to enable the Investigating Authority to discharge satisfactorily its functions. For the purposes of this regulation, the expression, "licensee or the generating company" shall include in the case of a licensee incorporated in India -(a)all its subsidiaries formed for the purpose of carrying on the business of generation or transmission or distribution or trading of electricity exclusively outside India; and(b)all its branches whether situated in India or outside India;(c)All expenses of; and incidental to, any investigation made under this provision shall be defrayed by the licensee or generating company, as the case may be, and shall have priority over the debts due from the licensee or the generating company and shall be recoverable as an arrear of land revenue.(7)Where the Commission, on the basis of material in its possession, is satisfied that a licensee is contravening, or is likely to contravene, any of the conditions mentioned in his licence or conditions for grant of exemption or the licensee or the generating company has contravened or is likely to contravene any of the provisions of this applicable legal framework, it shall, by an order, give such directions as may be necessary for the purpose of securing compliance with that condition or provision. While giving such directions, the Commission shall have due regard to the extent to which any person is likely to sustain loss or damage due to such contravention.(8)The Commission, before issuing any direction for the purpose of securing compliance with that condition or provision, shall -(a)serve notice in the manner as may be specified to the concerned licensee or the generating company;(b)publish the notice in the manner as may be specified for the purpose of bringing the matters to the attention of persons, likely to be affected, or affected;(c)consider suggestions and objections from the concerned licensee or generating company and the persons, likely to be affected, or affected.
