M. Thanikachalam, J.

The unsuccessful defendant before the trial Court is the appellant.

2. The respondent/plaintiff's case in brief:

(a) The plaintiff/respondent had called for sealed tenders, for the disposal of bran, for the quarter ending 1.10.1980 to 31.12.1980, in which the appellant/defendant had participated, by offering their estimate. The offer made by the defendant being the highest, for cone polished raw rice bran as well as for cone polished boiled rice bran at Rs.1186.70 and Rs.1567.40 per metric ton, respectively, was accepted by the plaintiff Corporation, as per the proceedings dated 28.1.1981. Thereafter, the acceptance was intimated to the defendant, requesting them to execute an agreement, as well as to furnish security deposit of Rs.10,000/-. Despite the fact the defendant had participated in the tender, had made offer, which was accepted by the plaintiff, they failed to act as per the terms of the tender, resulting re-tender on 2.1.1981. Due to fluctuation in prices, M/s. Foods, Fats and Fertilisers, Madras, had offered the rate of Rs.950/- per metric ton, for cone polished raw rice bran and Rs.600/- per metric ton, for boiled raw rice bran, which was