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Rajasthan High Court - Jaipur

U O I vs M/S Indian Oil Corp on 6 February, 2014

Author: Alok Sharma

Bench: Alok Sharma

    

 
 
 

 IN THE HIGH COURT OF JUDICATURE FOR RAJASTHAN AT JAIPUR BENCH JAIPUR

O R D E R

S.B. CIVIL MISC. APPEAL NO.1197/2002
(Union of India Vs. M/s. Indian Oil Corporation)

Date of Order : 					              06.02.2014

HON'BLE MR. JUSTICE ALOK SHARMA

Mr. Shailesh P. Sharma, for the appellantRailways.
Mr. K. Verma, for the respondentIOC.
BY THE COURT

This civil misc. appeal has been filed against the order dated 11.04.2002, passed by the Railway Claims Tribunal, Jaipur (hereinafter 'the Tribunal') whereby the learned Tribunal found that there was short delivery in the consignment carried by the appellant-Railways for the respondentIOC making the appellant-Railways for payment of damages.

I have heard the counsel for the appellant-Railways (hereinafter 'the Railways') and the respondentIOC (hereinafter 'the IOC').

From the impugned order dated 11.04.2002, it transpires that Motor Spirit in three containers bearing No.SC-3501, WR-24626 and WR-886047, containing 41180, 32740 and 41180 litres respectively were consigned to the IOC vide railway receipt No.C-360666 dated 21.03.1994, ex Sabarmati to Hanumangarh where they reached on 31.03.1994. Thereupon at the time of taking delivery by the IOC, it was found that the top and bottom seals of the containers were missing indicative of the goods consigned being siphoned off during the transit. The IOC in these circumstances required an open delivery to which the Railways agreed. Consequently, a joint dip of the three containers was taken. Thereupon it was found that there was shortage of 1473, 794 and 1562 litres of Motor Spirit in the aforesaid three wagons quite apparently owing to the negligence of the railway administration and its failure to ensure that the goods in transit were kept safe during the period of transit. In these circumstances, the IOC served a claim notice dated 07.07.1994 upon the Chief Claims Officer, Northern Railway. The claim was however rejected. This entailed a claim before the Railway Claims Tribunal, Jaipur. On service of the claim, written statement of denial was filed by the Railways. Without anything more, it was stated that the Railways could not be held liable for the missing top and bottom seals and there was no negligence on the part of the Railways. The shortage claimed by the IOC was denied and it was prayed that the claim be dismissed.

On the basis of the pleadings of the parties, the learned Tribunal framed four issues, which are as under :

(1) Whether the shortage of 3829 litres of Motor Spirit in the consignment was due to negligence and misconduct on the part of the railway administration and its employees ? (2) Whether the railway administration is not liable to pay any compensation to the applicant ? (3) To what amount of compensation, if any, the applicant is entitled ? (4) Relief.

Heard counsel. Considered.

It is an admitted fact that the IOC demanded an open delivery of the consignment in view of the fact of top and bottom seals of the three containers being found missing at the time of arrival of the goods at the destination. It is also an admitted fact that the open delivery was agreed to and a joint dip taken in the presence of the two representatives of the Railways where shortage was found as detailed hereinabove. It is fundamental that the Railways is responsible to the extent of quantity detailed in the consignment note and under contractual obligation to deliver the same to the consignee. Shortage in the quantity consigned without anything more is clearly attributable to the negligence of the Railways. Even though it has been argued that the Railways was not responsible for the short quantity of goods consigned even as per its own receipt, no provision of law has been shown in support of the contention.

Consequently, I find no force in this appeal. The same is dismissed. Stay application needs no address in view of the appeal itself being dismissed.

(ALOK SHARMA), J MS/-

All corrections made in the judgment/order have been incorporated in the judgment/order being emailed.- Manoj Solanki, Jr. P.A.