STATE OF J&K Vs. BIR SEN ANAND

JUDGEMENT

(1.) THIS is a defendants appeal against a decree passed by a single Judge of this Court (AH J.) dated 18th Oct. 1963 whereby the learned Judge has passed a decree for Rs. 23653/15/9 with future interest and costs against tha d fendant in favour of the plaintiff -respondent. The defendant, State of Jammu & Kashmir, has come up in appeal The facts that have given rise to the present appeal are as follows - The Government of Jammu and Kashmir had a scheme for the improvement of water supply for the city of Srinagar and other places. For this purpose they required CI pipes of particular dimensions. The Indian Iron and Steel Company Ltd (hereinafter to be referred to as the company) manufactured such pipes. The plaintiff was asked by the Chief Engineer Irrigation, Jammu and Kashmir Government, to arrange supply of these CI pipes on the rates quoted by the company. The plaintiff was to get his commission on these supplies. The Chief Engineer Irrigation of the State by his order No 5740/2 -KI dated 20 -10 -49 and 3302 dated 12 -12 -52 placed orders for supply of CI pipes measuring 18", 14", 6 and 7", respectively. The plaintiff by order No. 2K -7488 dated 7 -12 -50 was appointed the For -warding and Clearing Agent of these pipes. The supplies of the pipes through the plaintiff began from 13 -1 -51 to the end of 1954. The sum payable to the plaintiff on account of all charges including cost of the pipes, insurance and incidental charges, railway frieght, customs and octroi duties and commission of the plaintiff at the rate of 38 on the total came to Rs. 8,90,142/3/6. Against this sum, the Stare of Jammu and Kashmir paid the plaintiff Rs. 8.66,578/9/9 leaving a balance of Rs. 22,554/15/9. This sum despite repeated demands and reminders was not paid to the plaintiff. Notice under S. 80 of the Civil P C. was served upon the State but with no results. The plaintiff, therefore, brought a suit against the State on 15 -7 -60 for a sucn of Rs. 34,000.

(2.) THE defence of the defendant State was i that the contract was not entered into by a competent authority on behalf of the State as required by the Constitution The alleged agreement was invalid and did not impose any legal liability upon the State and was unenforceable at law. The appointment of the plaintiff as forwarding and clearing agent was also without the sanction of the Council of Ministers As no legal contract had been entered into between the parties, the suit was not maintainable. Order No. 2K -7488 dated 7 -12 -50 was not of the Government of Jammu and Kashmir. The delivery of the goods was not made within the times specified. The plaintiff had got much more than what was really due to him. No balance was payable by the State. The receipt of notice was admitted and it further was stated that the suit of the plaintiff was time -barred.

(3.) THE following issues were struck by the trial court: