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Union Of India Thr.G.M. Central ... vs Hindustan Petroleum Corpn. Ltd
2016 Latest Caselaw 1700 Bom

Citation : 2016 Latest Caselaw 1700 Bom
Judgement Date : 21 April, 2016

Bombay High Court
Union Of India Thr.G.M. Central ... vs Hindustan Petroleum Corpn. Ltd on 21 April, 2016
Bench: A.S. Chandurkar
                  fa379.07.odt                                                                                       1/6

                               IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                         NAGPUR BENCH : NAGPUR.




                                                                                                                
                                                      FIRST APPEAL NO.379 OF 2007




                                                                                        
                   APPELLANT:                                              Union   of   India   Through   the   General
                                                                           Manager,   Central   Railway,   Mumbai
                   Original  
                                                                           CST.
                   Respondent on 
                   R.A.




                                                                                       
                                                                                                                   
                                                               -VERSUS-




                                                                      
                   RESPONDENTS:                                            Hindustan   Petroleum   Corporation   Ltd.
                                     ig                                    Government of India Enterprise, having
                   Original 
                                                                           its   registered   office   at   17,   Jamshedji
                   Applicant on R.A.
                                                                           Tata Road, Bombay - 400020. Through
                                                                           its   Senior   Regional   Manager,   LPG
                                   
                                                                           Bottling Plant, Khapri, Nagpur.
                   
                                                                                                                           
      

                  Shri N. P. Lambat, Advocate for the appellant.
                  Shri P. D. Meghe, Advocate with Ms. A. Singh Advocate for the
   



                  respondent.



                                                      CORAM: A.S. CHANDURKAR, J.

DATED: 21 st APRIL, 2016.

ORAL JUDGMENT :

1. The present appeal filed under Section 23 of the

Railway Claims Tribunal Act, 1987 takes exception to the

judgment of the Railway Claims Tribunal, Nagpur dated

20-12-2002. By this judgment the appellant has been held liable

fa379.07.odt 2/6

to pay damages of Rs.75,660/- with 6% interest.

2. It is the case of the respondent - Corporation that it

had booked a consignment of Liquid Petroleum Gas (LPG) to the

extent of 13.220 MT as per railway receipt dated 19-12-1986. The

same was to be transported from Trombay to Khapri. On arrival of

the consignment at Khapri siding on 24-12-1986, the respondent

found that there was a short delivery. Hence, a joint inspection

was held on 24-12-1986. The appellant by communication dated

28-4-1987 disputed the claim of the respondent. Thereafter, the

present claim came to be filed.

3. In the reply filed, the claim was opposed on the

ground that the consignment was unloaded at the private siding of

the respondent. It was denied that there was any short delivery.

It was pleaded that in absence of any leakage being found, the

claim was not liable to be granted.

4. On behalf of the respondent, one Shri S. P. Donadkar,

Senor Regional Manager was examined. He deposed that Khapri

Siding was provided exclusively by the railways to the respondent.

He admitted that he was not present at the time of loading of the

wagon. No evidence was led on behalf of the appellant. Thereafter

by the impugned judgment the claim made by the respondent

came to be allowed.

fa379.07.odt 3/6

5. Shri N. P. Lambat, the learned Counsel for the

appellant submitted that the Tribunal erred in holding the

appellant liable for the short delivery. According to him, the place

where the consignment was loaded and unloaded belonged to the

respondent and it was a private siding. Relying upon the

provisions of Section 76C of the Railways Act, 1890, it was

submitted that merely on the basis of the shortage certificate, the

claim could not have been allowed. There was no other evidence

led by the respondent and on the contrary, it had been found that

the seals of the wagon in question were intact. The learned

Counsel placed reliance on the following judgments:

(1) Union of India v. Industrial Development Corporation of Orissa Limited AIR 1995 Orissa 298.

(2) Union of India Versus I.B.P. Co. Ltd. III (2005) ACC

(3) Judgment of High Court of Judicature at Bombay Bench at Nagpur in First Appeal no.347 of 1993 (The

Maharashtra State Electricity Board vs. Union of India).

6. Shri P. D. Meghe, learned Counsel for the respondent

supported the impugned judgment. It was submitted that the

appellant was not prevented from remaining present when the

wagon was loaded and unloaded. As the freight for the entire

consignment had been accepted, it was not open for the appellant

fa379.07.odt 4/6

to dispute its liability. It was, therefore, submitted that there was

no reason to interfere with the impugned judgment.

7. The following point arises for consideration:

Whether the Claims Tribunal was justified in holding

the appellant liable for the short delivery?

8. In support of the claim for compensation, the

respondent filed on record affidavit of Shri S. P. Donadkar, Senior

Regional Manager at Exhibit-A-42. This witness has stated that the

consignment in question was booked on 19-12-1986 and after its

arrival at Khapri, it was noticed that only 600 MM dead stock was

received. He referred to the shortage certificate dated 19-12-1986

as well as the joint shortage certificate dated 24-12-1986. In his

cross-examination, this witness admitted that Khapri Siding where

the consignment was unloaded was a private siding. He stated that

he was not present either at the time of loading or unloading of

the wagon.

The documents placed on record are the shortage

certificate dated 19-12-1986 and the joint dip inspection dated

24-12-1986. In this joint inspection, it has been noted that the top

seals of the wagon were intact and the packet labels were also

intact. It was further noticed that no leakage was found.

9. The Claims Tribunal in the impugned judgment has

fa379.07.odt 5/6

proceeded on the basis that in the written statement, a case of

mere denial had been pleaded. It was then observed that the

railway staff had not been prevented from either supervising or

checking the wagon in question. On the ground that the freight

had been charged, it was held that the appellant was negligent

and, therefore, the responsible for the loss of 13.220 MT of LPG.

10. In the First Appeal No.347/1993 (Maharashtra State

Electricity Board Vs. Union of India) decided on 8-12-2011, a some

what identical situation was considered. The loading and

unloading therein was done at a private siding. The seals of the

wagon in question were found to be intact. Similarly, no leakage

was found. On that basis, it was held that as the seals were found

intact and there was no evidence of any leakage, the liability on

the railways could not be fastened. Reference was also made to the

provisions of Section 76C of the Railways Act, 1890. In Union of

India Vs. Industrial Development Corporation of Orissa Limited AIR

1995 Orissa 298, it was held that merely on the basis of a shortage

certificate issued by the railways, the claim for damages cannot be

allowed. These certificates cannot be treated as admission of actual

shortage and the loss of the consignment has to be proved. In

2005(III) ACC 181, the Union of India Vs. I.B.P. Company Limited,

similar view has been reiterated with regard to loading and

fa379.07.odt 6/6

unloading at a private siding.

11. Considering the aforesaid position, if the evidence on

record is perused, it is clear that loading and unloading was done

at a private siding. The claim for compensation is based on the

shortage certificate dated 19-12-1986. However, the joint dip

inspection dated 24-12-1986 indicates the seals to be intact and

absence of any leakage. In the absence of any other evidence to

indicate short delivery of the consignment, the liability on the

railways cannot be fixed merely on the basis of the shortage

certificate. The reasons assigned by the Claims Tribunal while

allowing the claim are not tenable in law. The impugned judgment

is, therefore, liable to be set aside.

12. Hence, for aforesaid reasons, the judgment of the

Railway Claims Tribunal, Nagpur dated 20-12-2002 in the claim

application filed by the respondent is set aside. The first appeal is

allowed with no order as to costs. The appellant would be entitled

to receive the amount deposited along with accrued interest.

JUDGE

//MULEY//

 
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