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Delta Ltd. & Anr vs Union Of India
2023 Latest Caselaw 2721 Cal

Citation : 2023 Latest Caselaw 2721 Cal
Judgement Date : 19 April, 2023

Calcutta High Court (Appellete Side)
Delta Ltd. & Anr vs Union Of India on 19 April, 2023
                    IN THE HIGH COURT AT CALCUTTA
                    CIVIL APPELLATE JURISDICTION
                            APPELLATE SIDE
Hon'ble Justice Chitta Ranjan Dash
AND
Hon'ble Justice Partha Sarathi Sen

                                 MAT 253 of 2022
                                     With
                                  CAN 1 of 2022

                                 Delta Ltd. & Anr.
                                       Vs.
                                  Union of India


For the Appellant        :               Mr. Abhrajit Mitra, Sr. Adv.
                                         Mr. Ghanshyam Pandey, Adv.

                                         Ms. Sneha Singh, Adv.



For the Respondent nos. 1 to 3 :         Mr. M.M Verma, Adv.

Mr. Ashok Prasad, Adv.

Last Heard on                :           23.03.2023

Judgment on.                 :           19.04.2023

PARTHA SARATHI SEN, J. : -

1. In this intra-court appeal, the order dated September 07, 2021

as passed in WPA. 3060 of 2020 by the Hon'ble Single Bench of this

Hon'ble High Court in a proceeding under the provisions of Article 226

of the Constitution of India has been assailed. By the impugned order,

Hon'ble Single Bench allowed the writ petition of the writ petitioner

who is the appellant herein and thereby directed the respondent Nos. 2

& 3 of the said writ petition to take steps for releasing the amount of

Rs. 2,57,87,692/- in favour of the writ petitioner but remained silent

with regard to prayer of the writ petitioner for payment of interest in

favour of the writ petitioner. The appellant/writ petitioner felt aggrieved

and thus preferred the instant appeal.

2. We have heard Learned Counsel for the parties at length.

3. Admittedly before the Hon'ble Single Bench, it was averred by the

writ petitioner/appellant herein that a sum of Rs. 2,57,87,692/- has

been unnecessarily withheld by the respondent authorities despite the

fact that the 2470 nos. of bales of jute bag have been consumed by the

respondent no.4 herein as have been supplied by the writ

petitioner/appellant herein.

4. It is evident from the impugned order that before the Hon'ble

Single Bench it was submitted on behalf of the respondent authorities

that is Ministry of Textiles have intimated their counsels that an

amount of Rs. 2,57,87,692/- has been withheld and the same was

directed to be credited in the head of accounts of the writ

petitioner/appellant herein.

5. At the time of hearing of this appeal, It has been submitted by

Mr. Mitra, Learned Advocate for the writ petitioner/appellant that

either before the Hon'ble Single Bench or in this appeal, the respondent

authorities failed to assign any cogent and justifiable reason for

withholding the said sum of Rs.2,57,87,692/- for a considerable length

of time especially when the 2470 nos. of bales of jute bag had been

consumed by respondent no.4 authorities long back. It is thus

submitted by Learned Advocate for the appellant/writ petitioner for

such unexplained delay, the writ petitioner is entitled to interest which

the Hon'ble Single Bench failed to consider.

6. In support of his contention, Mr. Mitra places his reliance upon the

following reported decisions :-

i) Union of India vs. Parmal Singh & Ors. reported in (2009) 1 SCC 618;

ii) Satinder Singh & Ors vs. Amrao Singh & Ors. reported in AIR 1961 SC 908;

iii) Dushyant N. Dalal & Anr. Vs. Securities and Exchange Board of India reported in (2017) 9 SCC

7. Per contra, Learned Advocate for the respondents authorities

submits that the present appellant has miserably failed to make out a

case for getting interest as wrongly claimed. It is submitted that there

was no intention on the part of respondents authorities to deprive the

writ petitioner from his entitlement which is why the sum of

Rs.2,57,87,692/- has been released in favour of the writ petitioner at

the earliest opportunity.

8. On perusal of the entire materials as placed before us, it reveals that

even after consumption of the goods by the respondent no.4 as

supplied by the writ petitioner/appellant herein, there occurred

inordinate delay in releasing the sum of Rs.2,57,87,692/- in favour of

the writ petitioner/appellant basically on account of red-teppism of the

respondent authorities for which the writ petitioner/appellant had to

suffer a lot and even he had to approach the Court of Law more than

once.

9. In our considered view since writ petitioner/appellant has been

deprived of his legitimate dues within a reasonable time for no fault of

his own, he is entitled to get simple interest @ 6% per annum with

effect from September19, 2014 till the date of payment on the

principles of equity.

10. Accordingly, the instant appeal is hereby allowed with a

direction upon the respondent Nos. 2 & 3 to pay simple interest @ 6%

per annum on Rs.2,57,87,692/ with effect from September19, 2014 till

the date of actual payment to the writ petitioner/appellant herein and

such interest is to be paid within a period of three months from the

date of communication of this order.

11. Consequently the order dated September 07, 2021 as passed in

WPA. 3060 of 2020 by the Hon'ble Single Bench is hereby modified to

the extent indicated above.

12. The instant appeal is thus disposed of. All interim applications are

also disposed of.

13. There shall be no order as to cost.

14. Urgent Photostat Certified copy of this judgment, if applied for, be

supplied to the parties expeditiously after complying with all necessary

legal formalities.

I agree.

(Chitta Ranjan Dash, J.) (Partha Sarathi Sen, J.)

 
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