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HIGH COURT OF CALCUTTA
SINHA, J.
Sudhir Chandra Neogy
Versus
Calcutta Tramways Co.
Civil Revn. No. 30 of 1959
Decided On : 17-12-1959
CALCUTTA TRAMWAYS - FARE REVISION - LEGAL TENDER - COINAGE ACT - WRIT OF MANDAMUS - PUBLIC UTILITY CONCERN - DUTY TO PROVIDE REASONABLE SERVICE AT REASONABLE RATES - JURISDICTION TO ISSUE WRIT.
Fact of the Case:
Petitioner, a Reader at the University College of Science and Technology, challenged the Calcutta Tramways Company's revised fare structure, alleging that charging fares in naye paise violated the Indian Coinage (Amendment) Act 1955 and the Indian Coinage Act 1906. The Company argued that the fares were fixed in accordance with the law and that it was giving credit for old coins at a higher rate than required by the Coinage Acts.
Finding of the Court:
The Court held that the Company's revised fare structure was not in violation of the Coinage Acts. The schedule of fares was published in the official gazette in naye paise only, and the Company was prepared to carry passengers upon payment thereof. Passengers were free to tender any legal tender, including old coins, and were entitled to credit for such coins at the conversion rates specified in the Coinage Acts. The Court also rejected the petitioner's argument that the fixing of fares was a legislative act that could not be delegated to a private body, holding that the power to fix fares was based on legislative sanction and that the Legislature could delegate the details to a non-legislative body.
Issues: 1. Whether the Company's revised fare structure violated the Indian Coinage (Amendment) Act 1955 and the Indian Coinage Act 1906? 2. Whether the fixing of fares was a legislative act that could not be delegated to a private body? 3. Whether a Writ of Mandamus could be issued against the Company?
Ratio Decidendi: 1. The Court held that the Company's revised fare structure was not in violation of the Coinage Acts because: - The schedule of fares was published in the official gazette in naye paise only, and the Company was prepared to carry passengers upon payment thereof. - Passengers were free to tender any legal tender, including old coins, and were entitled to credit for such coins at the conversion rates specified in the Coinage Acts. - The Company was actually giving credit for old coins at a higher rate than required by the Coinage Acts. 2. The Court held that the fixing of fares was not a legislative act that could not be delegated to a private body because: - The power to fix fares was based on legislative sanction. - The Legislature could delegate the details to a non-legislative body. 3. The Court held that a Writ of Mandamus could not be issued against the Company because: - Normally, a Writ of Mandamus is not issued against a private individual or company. - In the present case, the Company was not violating any provisions of the law for which there was no adequate remedy provided.
Final Decision: The Court dismissed the petition, holding that the Company's revised fare structure was not in violation of the law and that there was no basis for issuing a Writ of Mandamus.
2. The facts in this case are as follows :
3. The Calcutta Tramways Company Limited is a company incorporated with liability limited by shares, under the English Companies Act, having its registered office and carrying on business, in London, England. The respondent No. 2 is the Agent of the said Company and the respondent No. 3 is the Traffic Manager of the Company, having their offices at Calcutta. In order to discover how this Company came to be in charge of the Tramways in the city of Calcutta, we have to look at the Calcutta Tramways Act 1880 (Bengal Act I of 1880). In the preamble of the said Act, we find that in 1879 the Corporation of the town of Calcutta, by an agreement dated 2-10-1879 granted to the persons named therein, called "grantees", the right to construct and maintain and use a tramway or tramways, in Calcutta, upon terms and conditions mentioned in the said agreement. It is further mentioned that inasmuch as the grantees were desirous of being empowered to construct the several street tramways etc., it was necessary to obtain the authority of the Legislature, and that is why the Statute came to be enacted. It is conceded that the powers in relation to tramways in the city of Calcutta are governed by this Act, read with the later Act which I shall mention presently, and it is not necessary for me to trace the devolution as to how the present grantees came to be the grantees under the said Acts.
4. Under the Calcutta Tramways Act, 1880 a provision was made for the grantees to fix the rate of fares for carrying passengers and goods, and the relevant section is S. 9 which runs as follows :
"The grantees shall have power from time to time to fix the rates of fares for carrying passengers and goods in the said cars or carriages, and may demand and take the same for every passenger travelling upon any of their tramways, or for the carriage of goods by their tramways :
Provided that the rate of fare for each person or parcel shall, for any distance not exceeding three miles, not exceed three annas, and for any greater distance shall not exceed the same proportion".
5. In pursuance of this power, the grantees have from time to time fixed the rates of fares for carrying passengers and goods, and that has been done in terms of the provisions of the section abovementioned.
6. The next Statute which is necessary to be considered, although it requires only a passing mention, is the Calcutta Tramways Act 1951 (West Bengal Act XXV of 1951). This is a post-Independence Act and the necessity for it arose because it was intended that the S
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