K.S.E. LTD. Vs. SOUTHERN RAILWAYS

JUDGEMENT

(1.) The petitioner availed the service of Railway for transporting de-oiled rice bran from Coimbatore to Kottayam. The tariff applicable to such transport is based on the nature of the goods being transported. The Railway classified the trainload under 110 instead of 120. After delivery, the Railway found out a mistake in the classification and demanded the petitioner to pay differential rate. Challenging the demand, the petitioner approached this Court.

(2.) Learned counsel for the petitioner challenged the demand mainly relying upon Section 78 of the Railways Act which reads as follows:

(3.) On going through the above provision, it can be concluded that the above provision gives only an enabling power for the Railway to measure the consignment before the delivery being effected and to recalculate the tariff. The present demand essentially arises out of the mistake committed by the Railway while applying classification of the goods/commodity concerned.