SURAJ STEEL HAZARIBAGH Vs. R P SHARMA

JUDGEMENT

(1.) THIS is an appeal filed by M/s Suraj Steels, Hazarabagh which firm was the respondent in Case No. 21 of 1988 on the file of the State Commission, Bihar at Patna. The complaint in that case was in respect of the alleged failure on the part of the appellant firm to carry out its obligations under a contract for supply of certain quantity of iron rods at a stipulated rate to the complainant in pursuance of an agreement said to have been entered into between the two parties.

(2.) THE compensation claimed in the case was very much below rupees one lakh. The State Commission, however, proceeded to entertain the matter and it has passed orders directing the appellant herein to return to the respondent Rs. 12,500.00, being the advance found to have been paid by the respondent, with 16.5% interest and also to pay a further sum of Rs. 10,000.00 as compensation to the respondent for the alleged "mental, physical and economic torture."

(3.) ON the aforesaid two grounds, we set aside the order of the State Commission and direct the Case No. 21 of 1988 on the file of the State Commission, Bihar shall stand dismissed. In the circumstances, we direct the parties to bear their respective costs.