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SC: There Cannot be Recovery of Cess Solely on Basis of CAG Report Without Statutory Adjudication - (14 Jun 2021)


Supreme Court has held that there cannot be a recovery of cess solely on the basis of the report of the Comptroller and Auditor General (CAG) without any statutory adjudication process. The Court has upheld a judgment of Allahabad High Court which had quashed the orders issued by the Uttar Pradesh Power Transmission Corporation Ltd (UPPTCL) directing a contractor to remit Labour Cess amounting to Rs.2,60,68,814/-.


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