Judgment

Dr. B.R.Sarangi, J. A judgment of the learned Single Judge of this Court dated 17.09.1996 passed in M.A. No. 172 of 1993 under Section 23(1) of the Railway Claims Tribunals Act, 1987 awarding Rs.1,32,87,749/- towards the claim made by the respondent is under challenge in this appeal.

2. The factual matrix is that the plaintiff-respondent used to get supply of imported coal for production of steel in its plant at Rourkela through Visakhpatnam Port. The coal was to be carried from Visakhpatnam to the Steel Authority of India Limited (SAIL), RSP change yard at Bandamunda. The shortest and cheapest route available on the railways from Visakhpatnam to Bandamunda is via Vijainagram-Titilagarh-Sambalpur-Jharsuguda-Rourkela the distance being 667 Kms. In the absence of any specific instructions of the sender, the goods are to be dispatched and charged in the shortest and cheapest route. But as per the provisions contained in Section 27-A of the Indian Railways Act, 1890, power is conferred on the Central Government directing the Railway Administration to carry any specific goods to a specific destination on a particular route known as “rationalized route”. Such power being exercis