Supreme Court Orders GITAM To Deposit Rs 15 Crore
- Apex court directs GITAM University to deposit Rs 15 crore in electricity dues dispute
- Telangana High Court to examine link with VBC Ferro Alloys and SPDCL claims
The Supreme Court of India has directed GITAM University to deposit Rs 15 crore within four weeks in connection with a long pending electricity dues dispute. The apex court passed the order while hearing the university’s challenge against earlier directions issued by the Telangana High Court.
The case relates to electricity arrears linked to VBC Ferro Alloys Company. The Southern Power Distribution Company argued that VBC Ferro Alloys and GITAM University are connected. Therefore, it claimed that the university is responsible for clearing the pending dues. The dispute centers on large unpaid electricity charges.
However, GITAM University told the Supreme Court that it has no connection with the electricity dues of VBC Ferro Alloys. It argued that asking the university to pay those dues is not legally valid. Earlier, the university had challenged notices issued by the Southern Power Distribution Company in the Telangana High Court. Those notices warned that power supply would be stopped unless Rs 118 crore in pending dues was cleared.
Meanwhile, the Supreme Court issued interim directions. It directed that the Telangana High Court single bench should examine and decide the relationship between VBC Ferro Alloys and GITAM University. Until a final decision is made, the apex court ordered the university to deposit Rs 15 crore within four weeks as an interim measure. This amount is to be deposited pending further examination of the matter.
Earlier, the Telangana High Court division bench had directed GITAM University to pay Rs 54 crore. As a result, the university approached the Supreme Court seeking relief. Now, the matter will continue before the High Court. It will determine whether the university is legally responsible for the electricity dues linked to VBC Ferro Alloys.
The Supreme Court’s direction provides temporary relief while ensuring that part of the disputed amount is secured. Meanwhile, the legal question over the alleged connection between the company and the university remains to be decided by the High Court.
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