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1996 Supreme(Mad) 746

High Court of Judicature at Madras
THE HONOURABLE MR. JUSTICE K.A. SWAMI AND THE HONOURABLE MR. JUSTICE AR. LAKSHMANAN
A. S. K. Rathnaswamy Nadar and Co., Madras - Appellant
Versus
Trustees of the Port Trust, Madras - Respondents
W.A. No. 676 of 1996
Decided On : 24 July 1996

Appearing Advocates:K. C. Rajappa, Advocate.

The Board has the power to authorize any person to perform any of the services mentioned in Section 42(1) of the Major Port Trusts Act, 1963.

Headnote:

MAJOR PORT TRUSTS ACT, 1963 - SECTION 42 - POWER OF BOARD TO UNDERTAKE SERVICES - BOARD MAY AUTHORISE ANY PERSON TO PERFORM ANY OF THE SERVICES MENTIONED IN SUB-SECTION (1) ON SUCH TERMS AND CONDITIONS AS MAY BE AGREED UPON - BOARD HAS POWER TO FIX CHARGES TO BE COLLECTED BY SUCH AGENCIES.

Fact of the Case:

The appellant challenged the validity of Circular No. 9/85, dated 6-2-1985, issued by the respondent, which fixed a date for clearing the goods in different stages. The appellant contended that the Board had not undertaken to perform the services mentioned in Section 42 of the Major Port Trusts Act, 1963, and therefore, it was not justified in issuing the Circular.

Finding of the Court:

The court held that Section 42 of the Act gives power to the Board to undertake the services mentioned in Clause (a) to (e) of sub-section (I), but that does not mean that the Board alone must undertake to perform those services. It has power to have those services performed by other agency also.

Issues: Whether the Board has the power to authorize any person to perform any of the services mentioned in Section 42(1) of the Major Port Trusts Act, 1963.

Ratio Decidendi: Sub-section (3) of Section 42 of the Act specifically says that notwithstanding anything contained in the Section, the Board may, with the previous sanction of the Central Government, authorise any person to perform any of the services mentioned in sub-section (1) on such terms and conditions as may be agreed upon.

Final Decision: The court dismissed the appeal, holding that the Circular, which enables a provision for fixing a date for clearing the goods, is not in any way contrary to the provisions contained in Section 42 of the Act.

Judgment :-

K. A. SWAMI, C.J.

This appeal is preferred against the order dated 24-12-1993 passed by the learned single Judge, dismissing W.P. No. 2397 of 1995 (sic) in which the validity of Circular No. 9/85, dated 6-2-1985 (sic) issued by respondent was challenged.

2. Learned single Judge has held that as the respondent had not undertaken to run the services to clear the goods, it was not responsible to take over the charge or agreed to handle the goods. Learned single Judge has stated in categorical term, thus :--

"No material was produced to show that the Port Trust, in the cases before me, have undertaken to take over the charge or agreed to handle the goods and provide services of this nature for delivery on landing for the discharge of the cargo." *

3. Circular No. 9/85, dated 6-12-1985 (sic) is as follows:-

Sub: Cargo - Imports - Landing of Logs Ex. Andaman Vessols - Declaration of free days - Amendment - regarding -

Further to this Office Circular Letters of even No. dated 31-7-1984 and 24-9-1984 it is informed that free days in respect of vessels bringing in logs of Timber will be declared in three stages as under :-

1. First general landing date will be fixed on landing about 33-1 / 3 (One third) of the manifested quantity.

2. Second general landing date will be fixed on landing subsequent to 33-1 / 3 (i.e., on landing of 2/ 3) of the manifested quantity.

3. Third general landing date will be fixed on completion of remaining 33-1 / 3 (i.e. on completion of landing) of the manifested quantity.

The Board has approved the implementation of the above procedure with effect from 29-1-1985.

Traffic Manager,

Madras Port Trust."

The aforestated Circular is issued in furtherance of the earlier Circulars dated 31-7-1984 and 24-9-1984 and the concerned persons are informed that the vessels bringing in logs of timbers will be declared in three stages. First General landing date will be fixed on landing about 33-1 / 3 (one third) of the manifested quantity. Second general landing date will be fixed on landing subsequent to 33-1 / 3 (on landing of 2/ 3) of the manifested quantity. Third general landing date will be fixed on completion of remaining 33-1 / 3 (i.e., on completion of landing) of the manifested quantity. As per the circular the cargos are to be cleared according to the dates fixed by the Port Trust. In the event, it is not cleared, the provisions of Section 42 of the Major Port Trusts Act, 1963 (hereinafter refered to as 'the Act') will come into play and the Board will be entitled to deal with the person and cargo as per the provisions contained in the said section.

4. However, it is contended before us that under Section 42 of the Act, it is the duty of the Board to undertake the following services

"(1) A Board shall have power to undertake the following services:-

(a)landing, shipping or transhipping passengers and goods between vessels in the port and the wharves, piers, quays or docks belonging to or in the possession of the Board : (b) receiving, removing, shifting, transporting, storing or delivering goods brought within the Board's premises

(c) carrying passengers by rail or by other means within the limits of the port or port approaches, subject to such restrictions and conditions as the Central Government may think fit to impose.

(d) receiving and delivering, transporting and booking and dispatching goods originating in the vessels in the port and intended for carriage by the neighboring railways, or vice versa, as a railway administration under the Indian Railways Act, 1890, and

(e) piloting, hauling, mooring, remooring, hooking, of measuring of vessels or any other service in respect of vessels."

As the Board has not undertaken to perform the aforesaid services, it is not justified in issuing the Circular for fixing a date for clearing the goods in different stages.

5. It is not possible to read Section 42 of the Act, as contended by the learned counsel for the appellant. No doubt Section 42 of the Act gives power to the Board


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