BRIJ BHUSHAN LAL (DECEASED) Vs. SARJOO PRASAD SAHU

JUDGEMENT

(1.) This is a defendant's appeal directed against the judgment and decree, dated 10-7-1972 of Sri Zaheer Hasan, learned District Judge, Basti who allowed Civil Appeal No. 75-B of 1971 and decreed the suit of respondent for recovery of Rs. 12,952 with costs. Judgment and decree of the trial Court, dated 20-10-1962 in Original Suit No. 3 of 1956 were reversed. Respondent Sarju Prasad Sahu was Treasurer in District Treasury, Basti and in that connection executed an indemnity bond on 20-5-1952 by furnishing security in the sum of Rs. 40,000 to indemnify state for any embezzlement, etc. in the stamps which were to be sold by Brij Bhushan Lal an ex-officio stamp vendor in District Treasury, Basti. Brij Bhushan Lal was working in that capacity even prior to the appointment of plaintiff as Treasurer. That appointment was adopted by the respondent also when he stood surety. Appellant was a salaried assistant and servant of the U.P. Government whose surety was plaintiff. The duty of the defendant was to receive a particular quota of stamps given to him by the treasurer of his approved agent etc. to sell them to the purchasers and to make over the sale proceeds to the plaintiff's approved agent for being deposited in the treasury or bank and to keep the stamps left over from sale in the almirah in the single lock and to maintain an accurate account, about all these transactions. These obligations were legally imposed on the appellant under para Nos. 82, 84, 85, 86, 87, 87-A and 88 of Chapter III of the Stamp Manual under the Indian Stamps Act (Act No. 11 of 1899) which need not be extracted here.

(2.) Due to the negligence and illegal encouragement by the Treasury Officer and lack of adequate and efficient supervision district Magistrate, Basti appellant used to be present at the counting of the stamps in the double lock and used to bring himself stamps from the double lock and put his signature on the register, although this practice was not in consonance with the mandatory provisions of the Stamp Manual.

(3.) Thus the appellant got an opportunity to falsify accounts and misappropriate the stamps from time to time. It was in Aug., 1955 when Treasury Officer found stamps worth Rs. 13,108 short and the sale proceeds of the same were embezzled by the defendant who could not account for the stamps or the sale proceeds.