JUDGMENT

GUPTA, J. (On behalf of Tulzapurkar J. and himself):- This appeal by certificate is from a judgment of the Allahabad High Court, Lucknow Bench, dismissing the suit instituted by the appellant, State of Uttar Pradesh, for recovery of a sum of Rs. 20,100 from the respondent. The facts stated in the plaint on which the claim is based are these. The annual excise auctions; for the year 1951-52 for Faizabad district were held at Faizabad on February 22, 1951 under the Excise Rules. The respondent offered the highest bid of Rs. 73,000 and Rs. 48,000 respectively as fees for two groups of country liquor shops but as he did not deposit 1/6th of the aforesaid sum on conclusion of the sales as required under the Excise Rules, the two groups of shops had to be sold again on March 30, 1951. The resale fetched respectively Rs. 65,700 and Rs. 35,200 for these two groups of country liquor shops. According to the State of Uttar Pradesh it suffered a total loss of Rs. 20,100, which is the difference between what the respondent had offered and the sum for which the shops were later sold, and the respondent was liable to compensate the loss. The suit was decreed by the trial court. On appeal