Haldia Development Authority Vs Haldia Water Services Private Limited (Calcutta High Court)
The Calcutta High Court partly allowed an appeal filed against an ex parte ad interim injunction passed by the Commercial Court at Alipore in a dispute arising from a Concession Agreement dated August 16, 2019 relating to the operation and maintenance of a water supply project. The respondent had been granted the exclusive right and licence to operate the project and was responsible for managing, maintaining, and ensuring uninterrupted water supply to industrial, commercial, domestic, and municipal consumers. Under the agreement, the respondent was required to pay a fixed annual licence fee of ₹24 crore in monthly instalments and also share 65.5% of incremental revenue earned from water sales exceeding the specified threshold.
The dispute arose when the respondent alleged that the appellant had wrongfully withheld amounts payable from the Revenue Collection Account through appropriation advice issued on January 29, 2026. According to the respondent, the appellant had claimed notional incremental revenue and adjusted the same against the balance amounts payable to the respondent for the period from October 2025 to February 2026, resulting in the withholding of approximately ₹11.87 crore. The respondent filed a suit seeking recovery of money and perpetual injunction, along with an application seeking urgent interim relief. The Commercial Court restrained the appellant from deducting, appropriating, or adjusting any amount towards alleged incremental revenue and/or licence fee from the Revenue Collection Account until the next date of hearing.
