Punjab and Haryana HC Bars Sale of PSPCL Properties Till Feb 24 in Rs 2,582 Crore Dues Case

Observing that the matter had been advanced for hearing on February 24, the bench said any transfer of land should wait until the case is considered on that date. File Photo.

The Punjab and Haryana High Court on Friday directed that no property belonging to Punjab State Power Corporation Limited (PSPCL) be transferred or sold until further orders. The direction will remain effective at least until February 24, the next date of hearing.

The order follows a public interest litigation (PIL) claiming that large unpaid electricity dues by state government departments have pushed PSPCL into serious financial strain, leading to proposals to dispose of valuable assets to manage the shortfall.

An application was moved before a bench of Justice Ashwani Kumar Mishra and Justice Rohit Kapoor seeking a stay on the proposed sale of 50 acres of land at Badungar village in Patiala district. The court noted that the plea alleged plans to alienate PSPCL-owned property while the writ petition was pending.

Observing that the matter had been advanced for hearing on February 24, the bench said any transfer of land should wait until the case is considered on that date. It therefore ordered that no PSPCL property be alienated in the meantime.

During earlier proceedings, the court had sought a response to claims that government departments owed PSPCL Rs 2,582.24 crore in electricity dues as of August 2025, apart from power subsidy arrears exceeding Rs 10,000 crore. The petition also stated that PSPCL had taken loans to meet routine expenses due to the unpaid amounts.

Source: The Tribune