Section 96: Powers of entry and seizure

Electricity Act • Official Statutory Text & Practice Guide

Statutory Regulation
Legal Standard
Competent Court / Tribunal
Act 2003

Legal Commentary & Landmark Judgments: Section 96

Section 96 of the Electricity Act, 2003 empowers the Appropriate Commission or any officer authorized by it to enter any building or place, seize books of account, and inspect records where there is reason to believe that documents relevant to an inquiry are being suppressed or concealed.

  • Statutory Authority for Entry & Search: Authorizes designated officers of the Commission to enter commercial premises, generating stations, and corporate offices to seize evidentiary records.
  • Application of CrPC Search & Seizure Rules: Applies the provisions of the Code of Criminal Procedure, 1973 / BNSS, 2023 relating to searches and seizures to all operations conducted under this section.
  • Protection Against Arbitrary Fishing Inquiries: Requires reasonable grounds of belief recorded in writing prior to initiating coercive search and seizure proceedings.
Key Landmark Precedents:
  • PTC India Ltd. v. CERC (2010) 4 SCC 603: Supreme Court affirmed that powers of search and seizure under Section 96 are vital to enable Regulatory Commissions to investigate anti-competitive cartels and market manipulation.
  • State of Bihar v. Kirly Mines AIR 1961 SC 171: Supreme Court affirmed that statutory search powers under regulatory enactments must strictly adhere to procedural safeguards.
  • Tata Power Co. Ltd. v. Reliance Energy Ltd. (2009) 16 SCC 659: Affirmed that regulatory search powers are quasi-judicial and subject to judicial review against abuse.
Courtroom Practice & Strategic Litigation Guidance:

During a Section 96 search by Commission officials, demand production of the written authorization order signed by the Secretary under seal. Insist on a formal seizure memo (panchnama) with serial numbers for all seized hard drives and financial ledgers.