KRISHNA TRADING COMPANY Vs. STATE OF HIMACHAL PRADESH

JUDGEMENT

(1.) The appellant, Messrs Krishna Trading Company a registered partnership firm, hereinafter referred to as the plaintiff, has directed the present appeal against the judgment and decree dated 29.4.1988 passed in Civil Suit No. 76 of 1984 by a learned Single Judge of this Court, whereby the suit of the plaintiff for declaration with consequential relief of injunction and for the recovery of Rs. 1, 63, 23171 p was dismissed. The brief facts of the case are these. The plaintiff is a forest lessee. The Forest Department of the Government of Himachal Pradesh in the month of October 1979 put to auction three different lots of dry, uprooted and fallen pine trees. The plaintiff gave the highest bids of Rs. 23, 98,000 for these three lots. The Forest Department accepted the bids of the plaintiff. Three lease deeds, Exs. D -35, D -36 and D -38, came to be executed. As per the terms, the plaintiff agreed to pay sales -tax, termed as "royalty", on the auction amount, and surcharge at the rate of 10% of the amount of such royalty. The total amount payable towards royalty and surcharge was Rs. 6, 59,400, which was payable, as per the terms of the lease deeds, in three instalments, on or before 15.1.1980, 15.2.1980, and 15.3.1980, respectively. The felling of the trees was required to be commenced on 16.11.1979 and was to be completed by 28.2.1980. The work of sawing and extraction of timber was required to be completed by 15.3.1980.

(2.) The possession of the lots was not delivered to the plaintiff in time. The possession of different lots was actually handed over to the plaintiff on different dates as under: - - S.No. Lot No. Date of delivery of possession

(1.) 1/79 -80 to the plaintiff 18.12.1979