High Court Karnataka High Court

Upkar Mining Private Limited vs State Trading Corporation on 28 July, 2009

Karnataka High Court
Upkar Mining Private Limited vs State Trading Corporation on 28 July, 2009
Author: Ajit J Gunjal
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IN THE HIGH CQURT 05' KMNATAM AT BANGAE~..(§R .E;'2.vv

DATED @313 THE.' 2831 DAY OF JULY ;'5;::€s§ :   

BEFORE   

THE HONBLE MR, JUSTEC§;':.AJ}fi'A~§.GLEN; 

WRIT PETITION NO.18_$~1,7/§%3§9{QM¥§§€:»s.} 
BETWEEN :  % 

Upkar Mining Private Li:1iij;ed',L~..   h
A Gomgany regigtmfcad 1md€:'r.thr:  " 
Companies A<:t,4-},9'E5_6,  _,   "
Having its Reggl.  at 
No.28/40Q,i'R.'af.---Rbaigi,'       _  
931 Cross, 25¢-.VB'i6%;:I:, Ja},<ai'1gar_;' 
Banga1r):*é?~"5;€}{) {f}1'I];'f, V'  
Represévnted 1}¢:+1'r::?1},4'by'it_s"'vV--. __ - '
Managing Ditmztoi'.     .. .PE'F1'I'IC9NER

;{B§z_  Afiv. for
 . I __ 'M/S.Jt:'st__L_aw,
  "Sz_'i;;$.SriraI1ga, Aév.)

_ Stat7<%:--Tr:aidfir1'g Corperation,
   Goverfzitnent Company having
 Kr: .£)fi'1c::éat 960.166:/2,
 "'-13$ §i§".ai:1$ V&S8fl{§13I1ag8f§
.   Biaxigfalmre --~ 568 £352?
   Rsipreserzsécd. by 311:3
" "I'vE"aI';.ag5:':g Bimctaz". ...EESP@§'€§L3E1"€'E'



T1113 writ petition is filed under Articie 226 cf the
Ccmstitutiom of india with 3. praysr to declare: the afiztion
of respondent in not parfamnhag the TEITIIS Moi the

Aglficment dated 15,0′?*2008 vide AI1I1exum”€?{“‘~._as
Whuliy arbitrary’ and violative of Articie 14. L’ . »

This writ yetition coming on for-.

hearing, this day, the Court madgi~;ti”‘1(:- .fo11{‘_:wi,r1g:.,

OIZDER ‘ T

An ag1’&eme::1t was $1″-iztéred i:1:(3’VV.t:§:2txié=§<é:'13 tha V

petitioner and the r€S1bQrzdenf§"U;fé§':3.§;Q2.2(3Ci8*. Ffiirszzant
to a COII}.1"X111i3.iC8IiCiI1 ci'é:t.éici' '?;}I"1€. petitioner

conflrmeé its» .:..*£io OE'€ through

Nave {he respondent entsred
i};'1E.{} ..E)evi "£'1'a say that according tet) the

. V’ “-Apetiti:i0:1i:::’, ‘as pef””‘tjij’3.é d.i3:’e<::':;:i0r1 of {ha §'€':Sf3*Ofid€R{, {ha

s§';§§;p Ei€d 4G,8{}G MTS of iron are fines to €516

dés~§_Vgna,£er:'§L '.és §0t at Mangalare Port. $22': hewezver, the

"sgfasa €§f.t}1@ petitioner ifs that he recaivaci iiziimaiiian that

-$13 gkfifiener was :0 gtzpgijx Qnly 15,038 B/ITS sf firm”: are

againat 433808 MTS, which had Egan tra1″:$p@r£:e’€.i.

V This wrii: patzition is filed far the foilawing refiefs: /J

,/ff”

fa) declare the actwkm af Respondent fin not
peijforming the terms of the Agreement
dated 1 5.0712098 —- Anrzexure ‘C’ as
whoiiy arbitrary and vioiative of Article?
(2:2) ciirect the Respondent to take
40989 MT sf materéal th.e_
of the Agreerrsenz dated t2QG;f3′., a.n…c:i«. ” A
pay the sarrze {Z3} }?ns§§””§,V_35Gi;’~: per
the petitizmer; V» ”

(6) direct the Ré%$ponciér;t–VA viii bf

Rs. 22 Iakhs . %.33 é:;{Lur?age

charges ..;’ncr;fréie:i” ‘=t. i:e Pegfifioner for

“”” ‘wétcfifig fifivate yard up to
d}é:2{fi”.}’ii?ffLe? sum from this
uL§.;:}z£e_uV5p fielivery cf materiai to

‘ ” ?e3pc23§ &ént,’V’

“A’1;¥§:é'<5.e1fs:t;,t£§,:*, a perusa} Gf thfi prayers wauid

CZ:=: a]:'iy diéé{:;§\§{slé that '£1133 petitiamzr proposes to enfarce

fizeéufieréizishiiéf the agaéniant dated 15.0'?2Q<){}8 and alsg

A V~ "f:o;:f' ' ciirestien in the F€'Sp*0§1é€3}'"it is take daiivery of

@3689 MTS sf ::1:3.£eriai as per ffifii ififlfifi cf ag*€&I1:er:tT

anci fzgrthstr for 3 fiir'3z:t.§.c::1 is $133 res;p::}:1de:1§ :0 ya}; a

311113 of Rs? 152 1314113 iiowards sifafimrgriage cmarges; etc. AK;

%"

3. Apparently, the prayer is in the nat?%;fg .j_:§§£
€3i”1f’C}Z{‘C€;E3{1€I}I. of the ageenient and also far
€136 am.0un’:. I am of the View tha€A»wthiAs V
where the pe’ti1:ioner’s claim .’

petitior; Lmder Articie 226 of Cpriéfitutiofi of

4. Mr.Naga1i1anq’ Véézmsal éfifieming
for the petitiimer press¢s..ir.i_¥;Q of the
Apex Court Ltd. and
anather Corporation
cf reperted in (200433 800

558. Enééeé has abserveci that if 3:216

facts “a’_§jI:”€’: d.isputE;%.,VViixevértheless if they are borne: out by

-._ti’ze’ ‘.recr}f:;i. -s:>4f–..,ot§1emvise, the Court can exercise it

ji%ii”*E$V’€;1-icEit)1;; ‘.”_’»¥1r1%iié;t* Articie 3226 of the Constitution of

-}Vi3t1di3.’. ‘ héfievar, the Apex Court has agairi Qbserved

V’ ‘2§h.9;:’a._§a£rii peiitien irzvoiving serieus disputad q”:.1aSi:im:1s

– é:;f iifxcis, which requi_:’eS €Z€})Z};Sid€I’a’¥;i(}fl sf avidénca which

‘°*.i;s 310: an recsrd, wifi net }”i(}1″”}.’IEaH}=’ be entertaimaci unciczr

Kkrticlé 225 of ‘€316 COI1Sfi’i’;£Ii.iOfl of Erzdia. Having regard

K

//

$5,-

to this clecision of the Apex Court, I am cf the View that
the quesficn of en3:er1:ai11i1″:g this writ petition w0f£;;h:¥_ i::r9t

arms.

.3. Ansther decisizm which ;£SWS¢’1;;gh: tog «preVs$’ed”‘.

into service is, the case of AFoble;4R’éscurc§s_

State of Orissa and anothérfepcrted .’: :: SC V

I 19. The Apex Coxlrt ‘has iffms:

“A ciistinction mdispumgg made
betlueezjr, threshold
of cg a Efiréigzclg» cantmct;

££§hefeiTa:L$’V.’i31AVV_f§ze fifxfier the Court’s scrutiny
tzgagid. Vibe ‘i–.$}fi%1;$’ive} it: the latter the
_C1o2.z;V?:’-«.V % rnzag é1~r_}t”..–“‘n€:rdir3.ar£1g.,: exercise its
.«,1,§:;$’cretic§.f1:;r::g;__fi;€p¢r:1<séictiorz cf judicial review,
, isfourfi to be violatizze cf}-irricie 24

1' fjigfistitution.

6.:- mind, the presant case wauié £33} in ‘me

‘A V’ ” V:1z’:;;t?a;~::§:’ c ét9g0Iy inasmuéh as it is the s;::€<:ifi<:: Case of the

— fgagfiitienar that there is a breach of iterztract. Hence, I

” Sf ‘$316 View that bath ‘aha dflfiifiifififi wozfid certainly

be a pointer ‘:0 the fact: that if it imvoiveg a disputed

z
s

/7

question 0f fact and if there is a bréach of eGI:f:ra{:'{:, ;ft:i’:,e

Courts are ioath ‘£0 émtzrtain a *a?3i*it p€titio§~~-.I;;;£§é:* ”

Artie}-:-“3 226 of the Carzstitmtjorz of India.

Petiiion stands rejected.

Liberty is reserves} to; the ps:tif.i011€+r’ ‘7 .ha*§j’e

I’€CO’i,2FS€’: £0 any other remedy afiéélfiblg E0″ ‘:1: ‘

SPS