NAGARMAL MAHAVIR PROSAD Vs. MANAGER U B I

JUDGEMENT

(1.) This appeal is at the instance of the writ petitioner against the rejection of the writ application moved against the act of the respondent No. 1 in not selling the demand drafts to the writ petitioner No. 1 at the alleged agreed concessional rate of 6 paise per cent.

(2.) The facts alleged in the writ petition inter alia are that the writ petitioner No. 1 is a distributor of Rationed Commodities in modified rationing area viz. Lalgola and Bhagabangola in the district of Murshidabad under the Food and Supplies Department, Government of West Bengal. The writ petitioner No. 1 takes delivery of the rationed commodities from the godowns of the Food Corporation of India, payment of such commodities are accepted by the District Manager, Food Corporation of India through demand drafts. Since the inception of the Lalgola Branch of the United Bank of India, the writ petitioner No. 1 had all along been making payment of the said rationed articles to the Food Corporation of India through the said bank by demand drafts. Concessional rate for sale of demand drafts had all along been allowed to the writ petitioner No. 1 by the Bank and the Lalgola Branch of the United Bank of India used to charge 6 paise per cent with minimum of Rs. 2/- for such demand drafts, since the opening of the said Branch. The Bank, however, towards the end of the year 1979 enhanced the said rate. The writ petitioner No. 1 made several negotiations with the Bank and it was agreed by and between the parties that if the writ petitioner No. I had made Rs. 20,000/- as a term deposit with the Bank within the agreed period, it would be allowed the rate of 6 paise per cent for the demand drafts.

(3.) The writ petitioner No. 1 thereafter initially made the term deposit of RS.10,000/with the Bank within 8.1.80. The second deposit of Rs. 10,000/- was ultimately made to the bank on 30-4-1980. In spite of such term deposits the bank used to charge enhanced rates for the sale of demand drafts to the writ petitioner No. 1 and ultimately raised the said rate to 20 paise per cent. Against the said increased rate charged by the Bank the writ petitioner No. 1 moved this Court and obtained Civil Order No. 8280(W) of 1983.