Three Delhi discoms move larger high court bench against CAG audit

CAGThree private-sector power distribution companies (discoms) on Friday moved the Delhi High Court after a single judge bench refused to stay audit of their accounts by national auditor CAG.

On January 7, the Aam Aadmi Party (AAP)-led government had ordered CAG audit of Tata Power Delhi Distribution (TPDDL), Reliance Anil Dhirubhai Ambani Group firms BSES Rajdhani Power and BSES Yamuna Power. The discoms challenged the order in the high court. But, a single judge bench, on January 24, refused to stall the CAG audit of their accounts and asked them to co-operate with the auditor by furnishing the required details.

Arguing that CAG isn't empowered to inspect accounts of private-sector firms, the three discoms yesterday moved larger HC bench against the CAG audit. A bench of Chief Justice N V Ramana and Justice R S Endlaw fixed the intra-court appeal of the discoms for hearing on February 14.

Delhi Chief Minister Arvind Kejriwal yesterday retreated that the discoms would be thrown out of Delhi in case they fail to improve their services. At the same time, he praised Tata Power Delhi Distribution Ltd's performance, saying the discom was doing a "good job" in the national capital.

Speaking on the topic, he said, "The TPDDL is doing a good job. But Anil Ambani group discoms have not paid dues to NTPC. If they fail to ensure better service, they would be thrown out of Delhi."

Separately, the Supreme Court directed state-run power producer National Thermal Power Corporation (NTPC) not to discontinue supply of power to BSES Rajdhand and BSES Yamuna discoms in Delhi until next hearing on March 26, 2014. A bench consisting of Justice S S Nijjar and Justice A K Sikri said Delhi shouldn't be made to suffer because of payment dispute between NTPC and the two discoms. The three private-sector discoms had come into existence in 2002 when the then government of Delhi privatized power distribution.