The single-judge bench dismissed an appeal against a Railway Claims Tribunal order awarding compensation for short-delivered fertilizer bags. The court held the Tribunal correctly imposed liability under Section 73 of the Railways Act regarding goods certified as 'said to contain'.
Civil Miscellaneous Appeal dismissed. No order as to costs.
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HONOURABLE SRI JUSTICE C.V.RAMULU
Civil Miscellaneous Appeal No.1105 of 2003
JUDGMENT:
This Civil Miscellaneous appeal under Section 23 of Railway Claims Tribunal Act is directed against the order and decree dated 12/03/1993 in O.A.No.505 of 1990 on the file of the Railway Claims Tribunal, Secunderabad Bench at Secunderabad, whereunder the application filed by the respondent herein was ordered, directing the appellant herein to pay an amount of Rs.3,783/- with interest pendente lite and future at the rate of 12% p.a.
The appellant is the South Eastern Railways and the respondent is the Coromandal Fertilizers Limited company. It appears, the respondent-company made a claim before the Railway Claims Tribunal, Secunderabad Bench, Secunderabad, claiming that a consignment of 2253 bags of Urea Ammonium Phosphate booked by it at CPVS Siding, Visakhapatnam for Khargpur under R.R.No.816162 dated 23/11/1987 suffered a shortage of 18 bags in transit, therefore, the applicant initiated the proceedings for recovery from the South East Railway administration, within whose jurisdiction the forwarding and destination stations lie for a sum of Rs.3,783/- towards the value of the goods short delivered. The Tribunal, after detailed consideration of the entire material placed before it, came to the conclusion that the number of bags received in wagon No.CR-70424 were also short of those mentioned in the R.R. but an adjustment was made. There was, however, no mention about the shortages as found in the three wagons with reference to the numbers mentioned in the “said to contain” R.R. and how they were accounted for. However, the fact remains proved that there was short delivery of 18 bags from those three wagons and the consignment having been booked at Railway Risk Rate, the respondent should be held liable for the same in terms of Section 73 of the Railways Act. Thus, ordered for payment of Rs.3,783/- with interest pendente lite and future on the said amount at the rate of 12% p.a. to the respondent herein. Aggrieved thereby, the present appeal is filed.
Learned counsel for the appellant strenuously contended that “said to contain” will not obligate or make the railways liable for any loss caused to the consignment during transit. Therefore, the Tribunal erred in holding that there was a loss of 18 bags of fertilizers and the Railways is liable to pay the compensation for the same. The facts as noticed above would indicate that it was certified by the Railways as “said to contain” and if there is any loss during the transit under Section 73 of the Railways Act, the Railways are supposed to make good of the same. In this regard, the Site Engineer of the fertilizers company was also examined and since the contents were certified “said to contain” by the Railways, the Railways cannot shirk its liability of the loss caused to the consignment of the respondent-company. I am of the opinion that the Tribunal has not committed any error calling for interference of this Court. Therefore, the appeal is liable to be dismissed.
Accordingly, Civil Miscellaneous Appeal is dismissed. There shall be no order as to costs.
01st July, 2010 SKM
__________________ JUSTICE C.V. RAMULU
2 issues framed by the court
Whether the Tribunal erred in holding the Railways liable for shortage of goods certified as 'said to contain'.
Whether the Railways can shirk liability for loss during transit under Section 73 of the Railways Act when contents are certified 'said to contain'.
2 provisions across 2 enactments
South Eastern Railways
Coromandel Fertilizers Limited
C. V. Ramulu
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
