UNION OF INDIA Vs. DWARKADAS RADHAKRISHNA

JUDGEMENT

(1.) This is an appeal by the defendant against the judgment and decree, dated 17-1-1950, passed by the Additional Subordinate Judge of Dumka at Camp Sahebganj in Money Suit No. 11/30 of 1947/48, brought by the plaintiff-respondent, a registered partnership firm having its principal place of business at Sahebganj in the district of Santhal Parganas.

(2.) The defendant in the action, the Dominion of India (now the Union of India) was the owner of the East Indian Railway, whose Divisional Superintendent, Dinapore, required 12,000 maunds of mustard oil. The Government of Bihar allotted the said quantity to be supplied to the defendant from the mill of the plaintiff at Sahebganj. It appears that by a subsequent arrangement between the parties the said quantity was agreed to be supplied on a monthly quota basis of 1000 maunds. The plaintiff's case in the plaint was that the main terms of agreement on which the plaintiff had to supply mustard oil to the defendant was: (a) the sale of mustard oil would be at the rate of Rs. 46/8/- per maund, the then controlled rate, (b) the cost of tin containers would be at the rate of Rs. 2/- each (made of black sheet with a capacity of 17 1/2 see(s) and (c) the Divisional Superintendent, Dinapore, would take the supply of mustard oil on the basis of monthly quota of 1000 maunds.

(3.) It appears that the allotment was made in August. 1944. and the terms were agreed upon between the plaintiff on the one hand and the defendant acting through the Divisional Superintendent, Dinapore, on the other, in September, 1944. The payment was to be made through the Regional Grain Supply Officer, Region No. 4, Monghyr. The monthly quotas for September and October were supplied and paid for at the agreed rate. But, before the 2000 maunds of November and December quota were actually taken delivery of by the defendant, the Government of Bihar by a notification No. 28319-Oil-51/44 PC in Bihar Gazette extraordinary bearing the date 11-12-1944, fixed the price of mustard oil at Rs. 40 per maund and that of tin container at Re. 1/- each. The plaintiff submitted his bill for the 2000 maunds at the old controlled rate of Rs. 46/8/- per maund for the oil and Rs. 2/- each for the tin container, but, in view of the said notification of the Bihar Government, the Regional Grain Supply Officer refused to counter-sign the bill for payment and the plaintiff was obliged to accept payment at the new controlled rate. According to the case of the plaintiff the 2000 maunds of mustard oil had been appropriated to the contract of sale of the defendant before the coming into force of the said Government Notification and the properties in the goods stood transferred to the buyer, namely the defendant, before the new controlled rate became effective. The plaintiff accordingly made a claim for Rs. 13,000, the balance of price of 2000 maunds of mustard oil at the rate ot Rs. 6/8/- per maund being the difference between the old controlled rate and the new controlled rate as also a sum of Rs. 4574 being the balance of price of 4574 tin containers at the rate of Re. 1/- each being the difference in price of the old and the new rates fixed by the Government of Bihar. The plaintiff also claimed interest at the rate of Re. 1 per cent per month on the said amount of Rs. 17,574 from January, 1945 to the 5-7-1947, on the basis of the claim made in the notice under Section 80, Civil Procedure Code. The amount of interest claimed in the plaint was Rs. 5301/7/9. Thus, the total claim of the plaintiff in the suit under the three heads amounted to Rs. 22,875/7/9.