GRASIM INDUSTRIES LTD Vs. UNION OF INDIA

JUDGEMENT

(1.) The short point involved in this appeal is as to "whether interest for the period before the filing of suit for amount of damages decreed could be awarded ?"

(2.) Brief facts of the case are that the appellants had booked one consignment of 35 boxes of steam coal containing 2121.5 MT from Ray Bachara Siding under RR 633260 dated 23-6-1986 for Bhiwani Junction from the Central Coal Fields. The consignment, however, was delivered short by 6 boxes and 27.8 MT was short in one other box. Thus, there was total shortage of 378.1 MT of steam coal. The Railway Administration issued the shortage certificate, yet it charged full freight for box No. NR 82681, weighed 57.8 MT, but delivered it short by 26.3 MT. The Railway Administration had charged 6910 as excess freight, whereas the value of short delivered steam coal was 1,46,555. The appellants had claimed ?82,359 on account of interest @ 18% per annum on the price of goods delivered short for the period from 13-9-1986 to 15-6-1989. The Railway Administration, despite several opportunities, did not lead any evidence. Ultimately, they were proceeded against ex parte. The Railway Claims Tribunal, Chandigarh Bench (for short "Tribunal"), after considering evidence produced by the appellants, held them entitled to a sum of 1.45,973.49 towards costs of steam coal along with 6,910 as compensation. A total amount of 1,52,883.49 along with 12% per annum as interest pendente lite upto the date of payment was awarded, but claim of the appellants for interest @ 18% per annum for the period 13-9-1986 to 15-6-1989 was declined on the ground that the appellants had waited three years to bring action for compensation in the Court, therefore, they themselves were to be blamed.

(3.) Aggrieved against the impugned order dated 7-12-1990 passed by the learned Tribunal, present appeal has been preferred, in which a total sum of ?2,36,283 with costs was prayed for which included the amount of interest calculated @ 18% for the period from 13-9-1986 to 15-6-1989.