{"id":111084,"date":"2009-12-16T00:00:00","date_gmt":"2009-12-15T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/first-appeal-no-280-of-1997-vs-unknown-on-16-december-2009"},"modified":"2018-09-17T08:42:30","modified_gmt":"2018-09-17T03:12:30","slug":"first-appeal-no-280-of-1997-vs-unknown-on-16-december-2009","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/first-appeal-no-280-of-1997-vs-unknown-on-16-december-2009","title":{"rendered":"First Appeal No. 280 Of 1997 vs Unknown on 16 December, 2009"},"content":{"rendered":"
Bombay High Court<\/div>\n
First Appeal No. 280 Of 1997 vs Unknown on 16 December, 2009<\/div>\n
Bench: A.P. Bhangale<\/div>\n
                                      1\n\n          IN THE HIGH COURT OF JUDICATURE AT BOMBAY,\n\n                     NAGPUR BENCH : NAGPUR\n\n\n\n\n                                                                          \n                                                  \n    First Appeal No. 280 of 1997\n\n    Appellant        :   Union of India, owning South Central\n\n\n\n\n                                                 \n                         Railway, represented by General\n\n                         Manager, South Central Railway,\n\n                         Secunderabad, AP\n\n\n\n\n                                   \n                      ig versus\n\n    Respondent       :   M\/s Larsen & Toubro Limited,<\/pre>\n
                         Awarpur Cement Works, Awarpur,<\/p>\n
                         District Chandrapur<\/p>\n
    Mr P.S. Lambat, Advocate for appellant<\/p>\n
    None appears for respondent.\n<\/p>\n
                                  Coram :    A.P. Bhangale, J\n\n                                  Dated :    16th December 2009\n\n    Judgment\n\n\n\n\n\n<\/pre>\n
    1.          By this appeal appellant Union of India prays<\/p>\n
    for   quashing   and   setting        aside    of      the      order        dated<\/p>\n
    31.1.1997 passed by the Railway Claims Tribunal, Nagpur<\/p>\n
                                                  ::: Downloaded on – 09\/06\/2013 15:25:42 :::<\/span>
\n                                           2<\/span><\/p>\n
    Bench,        Nagpur     in   Claim        Application             No.        13\/OA-\n<\/p>\n
    III\/RCT\/NGP\/96          whereby the Tribunal ordered refund of<\/p>\n
    excess amount charged from the applicant in the sum of Rs.\n<\/p>\n
    1,81,245\/- along with interest at the rate of 9% per annum<\/p>\n
    from the date of claim application till the date of order<\/p>\n
    and future interest at the rate of 6% per annum from the<\/p>\n
    date     of     order     till      realisation          of       amount         with<\/p>\n
    proportionate costs.\n<\/p>\n
    2.            The Union of India has challenged the order on<\/p>\n
    the ground that the Tribunal committed error of law in not<\/p>\n
    taking into consideration the              Rationalization Scheme in<\/p>\n
    force.        It is further contended that the Tribunal has<\/p>\n
    committed an error in interpreting rule 125 (i) (h) of the<\/p>\n
    Goods Tariff Part-I, Volume-I which is applicable in case<\/p>\n
    of Rationalization Scheme.\n<\/p>\n
    3.            In support of the appeal, it is contended that<\/p>\n
    once the consignments are booked and charged, according to<\/p>\n
    the Rationalization Scheme laid down by the Government of<\/p>\n
    India,    it    is     immaterial    how   the      rakes       were      actually<\/p>\n
    transported and there is no case for refund of any amount<\/p>\n
    as no excess freight had been collected. It is contended<\/p>\n
    that the only responsibility of the appellant is to send<\/p>\n
                                                     ::: Downloaded on – 09\/06\/2013 15:25:42 :::<\/span>
\n                                      3<\/span><\/p>\n
    goods at the destination and the applicant-consignor had<\/p>\n
    no right to ask how the goods are sent when at the time of<\/p>\n
    booking it was a contract that goods will be booked as per<\/p>\n
    rationalization scheme and the freight will be charged<\/p>\n
    accordingly.       According    to     learned     counsel         for      the<\/p>\n
    appellant, whether the freights given in rationalization<\/p>\n
    scheme are correct or not, is the only question which the<\/p>\n
    Tribunal    had   to   decide   and,    therefore,        according           to<\/p>\n
    learned counsel for the appellant, the Tribunal committed<\/p>\n
    error to question as to whether the goods were sent by<\/p>\n
    longer route or shorter route.           Learned counsel for the<\/p>\n
    appellant further submitted that the Tribunal should have<\/p>\n
    observed as to whether appellant has charged the rates as<\/p>\n
    per the Rationalization Scheme in force at that time and<\/p>\n
    there was no question as to how the goods were sent.                          In<\/p>\n
    substance, it is the contention of learned counsel for<\/p>\n
    appellant that the Railway Administration was entitled to<\/p>\n
    charge as per the Scheme although, in fact, the Railway<\/p>\n
    had sent the good or transported the goods by shorter<\/p>\n
    route.     It is contended that in view of Section 71 of the<\/p>\n
    Indian Railways Act, it is for the Central Government, if<\/p>\n
    it is necessary in public interest, to direct any railway<\/p>\n
                                              ::: Downloaded on – 09\/06\/2013 15:25:42 :::<\/span>
\n                                              4<\/span><\/p>\n
    administration to carry any goods or                            class of goods by<\/p>\n
    such route or routes and at such rates and, therefore, the<\/p>\n
    claimant\/consignor was bound to pay the freight as per<\/p>\n
    rationalization scheme as he has agreed to pay the freight<\/p>\n
    accordingly as per the forwarding note filled in by the<\/p>\n
    claimant\/applicant.             Thus,        it    is       contended           that      the<\/p>\n
    Tribunal exceeded its jurisdiction to order refund.\n<\/p>\n
    4.             I have perused the impugned order. It appears<\/p>\n
    that    the     learned Tribunal
\n                            ig                   did    consider the                statutory<\/p>\n
    provisions       of     Sections    71   and       87     of     the     Railways         Act<\/p>\n
    before arriving at the conclusion                       and recording impugned<\/p>\n
    finding.       The     conclusion drawn           by the         Tribunal that              it<\/p>\n
    would not be fair, just or proper to charge freight on<\/p>\n
    account of the operational convenience via longer route<\/p>\n
    and    then     carry     the   traffic      via        shorter        route.           This<\/p>\n
    conclusion           is consistent with rule of equity which we<\/p>\n
    find in Section 72 of the Indian Contract Act, known as<\/p>\n
    doctrine against unjust enrichment.                            Section 72 of the<\/p>\n
    Contract Act reads thus –\n<\/p>\n
           “72.     Liability of person to whom money is paid,<\/p>\n
           or thing delivered by mistake or under coercion.\n<\/p><\/blockquote>\n
           A      person    to   whom    money        has       been       paid,       or<\/p>\n
                                                            ::: Downloaded on – 09\/06\/2013 15:25:42 :::<\/span>
\n                                             5<\/span><\/p>\n
          anything        delivered,        by     mistake          or       under<\/p>\n
          coercion, must repay or return it.”\n<\/p><\/blockquote>\n
    Thus, bearing in mind the rule of equity underlying the<\/p>\n
    above statutory provision of Section 72 of the Contract<\/p>\n
    Act, the contentions raised on behalf of the appellant<\/p>\n
    cannot be accepted as it would not be just and proper to<\/p>\n
    reverse the findings recorded by the Tribunal which are<\/p>\n
    based     on    proper     appreciation       of     legal        and      equitable<\/p>\n
    principles.          Railway
\n                          ig       Administration           cannot        be     made      an<\/p>\n
    exception to the principle of equity. It cannot charge<\/p>\n
    more than what was just and reasonable and unduly enrich<\/p>\n
    itself.    I    do   not   find   any       perversity       in      the    impugned<\/p>\n
    order.\n<\/p>\n
    13.            In the result, appeal is dismissed.\n<\/p>\n
                                                    A.P. BHANGALE, J<\/p>\n
    hsj<\/p>\n
                                                       ::: Downloaded on – 09\/06\/2013 15:25:42 :::<\/span>\n <\/p>\n","protected":false},"excerpt":{"rendered":"
Bombay High Court First Appeal No. 280 Of 1997 vs Unknown on 16 December, 2009 Bench: A.P. Bhangale 1 IN THE HIGH COURT OF JUDICATURE AT BOMBAY, NAGPUR BENCH : NAGPUR First Appeal No. 280 of 1997 Appellant : Union of India, owning South Central Railway, represented by General Manager, South Central Railway, Secunderabad, AP […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[11,8],"tags":[],"class_list":["post-111084","post","type-post","status-publish","format-standard","hentry","category-bombay-high-court","category-high-court"],"yoast_head":"\nFirst Appeal No. 280 Of 1997 vs Unknown on 16 December, 2009 - Free Judgements of Supreme Court & High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/first-appeal-no-280-of-1997-vs-unknown-on-16-december-2009\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"First Appeal No. 280 Of 1997 vs Unknown on 16 December, 2009 - 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