LAWS(DLH)-2008-8-55

UNION OF INDIA Vs. SOUTHERN COMMERCIAL ENTERPRISES

Decided On August 07, 2008
UNION OF INDIA Appellant
V/S
ARIM METAL INDUSTRIES PVT LTD. Respondents

JUDGEMENT

(1.) WAY back in June, 1973 Indian Railways had transported the goods of the respondents no. 2 and 3 through the agent (respondentno. 1) from Hawrah to New delhi and a short delivery of 104 packages was detected and on account thereof, the suit for damages for rupees one lac was filed by the respondent no. 1 against the appellant and the same stood decreed by the Court below on 4th March 1985 with interest @ 9% per annum.

(2.) THE bare facts which needs to be noticed for disposal of this appeal are that vide the railway receipt dated 19th June 1973 the consignment containing 504 packets having total weight of 224 Quintals was booked by the appellant-Railway under the Freight Forwarding Scheme and out of which, 225 bags belonged to respondents no. 2 and 24 packs/cases belonged to respondent no. 3 and the Railway wagon containing the above said goods was duly padlocked and sealed by the railway officials and at the destination station, it was found that both side locks and bolts of that wagon were missing and the original seal and one third of the tape and one hook ring stood cut. Since open delivery was claimed by the respondents, a short delivery certificate with respect to 104 packages was issued by the Railways on 24th June, 1973. Damages of rupees one lac were claimed on account of the aforesaid short delivery as it was stated to be as a result of gross negligence and misconduct on the part of the railway officials.

(3.) DURING the trial, the suit of the respondents was contested by the appellant by taking a stand that the railway was not responsible for any short delivery as it had taken all possible care during the transit of the goods. The principle stand of the appellant before the trial Court was that the consignment of the respondents was booked at the risk of the owner and this was so mentioned on the railway receipt.