JUDGMENT :- The first defendant (the State Trading Corporation of India, represented by Regional Manager of its Madras branch) is the appellant before me.

2. The appeal arises out of O. S. No. 6065 of 1968 on the file of the Second Assistant Judge, City Civil Court, Madras. The first respondent filed the suit for a mandatory injunction against the defendants for directing the appellant to pay the second defendant (Collector of Customs, Madras) the sum of Rupees 9854.91, being the penalty in respect of the alleged shortage of imported sulphur at Madras on 25-1-1966 or, in the alternative, for reimbursement in the event of the plaintiff being obliged to pay the amount.

3. The first defendant chartered a vessel for the import of sulphur in bulk from Vancover to Calcutta and Madras and appointed the plaintiff as its agent to clear the goods under Ex. A-26. The vessel arrived at Madras Port on 25-1-1966 and the cargo was discharged. The plaintiff represented the first defendant in the observance of the Port and Customs formalities for the purpose of clearing the cargo. Later it was found that there was a shortage of imported sulphur to the tune of 404-754 Megatonnes and the secon