In Brief
A purchaser of commercial property at a SARFAESI bank auction is liable for unpaid electricity dues of the previous owner when the auction notice explicitly mentions such liabilities and the property is sold on an 'as is where is' basis. The Supreme Court held that electricity dues are statutory charges under the Electricity Act, not mere contractual debts, and cannot be waived. When the auction documents and supply terms specifically inform bidders of outstanding dues and place the burden on the purchaser to settle them before obtaining a connection, the purchaser cannot escape liability by claiming to be a new consumer or requesting a fresh connection rather than transferring the existing one."]
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