Gulzar Houz fire: Victims allege harassment, extortion by electricity officials

Hyderabad Desk

Reported by Abhinand Prijith and Shambhavi Choudhary

Hyderabad: The victims of the fire near Gulzar Houz, just two weeks after losing 17 family members in a massive blaze, have alleged harassment and extortion by electricity department officials, who not only demanded a hefty sum of Rs 2.5 lakh in pending dues but also allegedly pressured them to record a video absolving the department of blame for the tragedy.

However, department officials have denied all allegations.

On May 18, a massive fire broke out in the apartments above Krishna Pearls near Gulzar Houz, killing 17 out of the 21 Modi family members, including several children. The blaze also gutted their showroom, the family’s primary source of income. Now, with their main business destroyed, they are struggling to survive on earnings from two remaining shops, Modi Pearls and Telangana Pearls.

No power, huge bills for shut shop

The Modi family has alleged that the electricity department officials have asked them to pay years’ worth of ungenerated electricity bills for the Telangana Pearls shop.

Following the fire, the electricity connection for the entire lane was disconnected. When reconnection was made a few days later, all shops except Telangana Pearls regained electricity.

“This shop has been shut for the last eight years since we functioned from the other premises, which have now burnt down. But after the fire accident, when we needed to access this shop, we realised that there was no power supply. When we reached out to the electricity officials, they informed us about the pending bills, which we haven’t been notified of in the last eight years,” said a member of the Modi family.

Initially, the electricity department reportedly demanded Rs 25,000 to be paid in an instalment of 10 months to restore the electricity at Telangana Pearls shop, which the family agreed to pay.

The officials assured that power would be restored in 2-3 days. When this failed to happen, the family approached the department officials. This was when they were allegedly asked to submit a video statement asserting that the fire was not the department’s fault. “When we denied this request, they began to demand more money,” alleged the family.

“The power had been fluctuating since 2:30 am that night, but the electricity department was asleep. Had they been alert, the tragedy could have been averted,” they added.

On June 3, 2025, assistant engineer (AE) of the Moghulpura division, Prasad, arrived at their residence and allegedly demanded that the family pay dues of Rs 2,50,000 in a single lump sum within a few days for electricity to be restored.

“We are ready to pay. We do not want to keep anybody’s money. But the officials must allow us some leeway and help us in such times. We are ready to pay up in EMIs if they allow us to. However, AE Prasad has been treating us like the enemy,” added the Modi family member.

Additionally, the family has accused AE Prasad of engaging in corrupt practices, alleging that he attempted to solicit a bribe under the pretext of restoring electricity. They claimed that instead of offering support in the time of distress, the official used their vulnerability to pressure them for personal gain.

Electricity officials explain charges in a post on X

After repeated appeals on social media and to local MLAs, the electricity department responded on X, stating that the bills for the two shop meters had not been generated since April 2017. When the consumer requested power restoration, the AE from the Moghalpura division inspected the premises and found unusually high meter readings.

Based on the inspection, the department raised a bill of Rs 1,85,631 for one meter (R1-74) and Rs 79,775 for the other (R1-2866), totalling Rs 2,65,406. The department clarified that the charges were calculated at the normal tariff and denied demanding any bribe from the consumer.

According to an official of the department, the monthly bill that was generated on the two commercial meters would mostly have been for past arrears. “If the owners of the shop do not inform the electricity department of the closure of a shop, a minimum bill will be generated monthly,” he added.

Acknowledging the hardship of the victims of the tragedy, the Goshamahal BJP MLA, Raja Singh, has also appealed to the chairman and managing director of the Telangana Southern Power Distribution Company Limited (TGSPDCL) for the immediate suspension of the concerned officer, followed by a thorough investigation into the allegations of the family.


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