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1981 Supreme(MP) 656

High Court Of Madhya Pradesh
G. P. Singh, C. J. and K. K. Dube, J.
K P SONS KATNI
Versus
UNION OF INDIA
Decided On : Nov 30,1981

Advocates Appeared:
S.AWASTHI, S.P.SINHA,

Headnote:(1) Railways Act, 1890 - S. 28 and Goods Tariff (No. 36) Rules - R. 201 (10)-release of wagons out of turn - is in contravention of the provisions.

       The question is whether the respondents released ten covered wagons on 6th May 1981 for time loading to the petitioner out of turn in contravention of rule 201.

       Sub - rule (10) of this rule which provides that the allotment orders are issued in accordance with the priority of registrant on and also having regard to preferential schedules prescribed by the Railway Board, quotas and restrictions in force and other operating considerations. It has already been noticed that indents for two wagons for loading charcoal and fourteen wagons for loading timber were registered prior to the registration of the petitioner's indents for lime. Charcoal, timber and lime all fall under item No, (1) in Priority 'g' of the schedule to General Order No. 66 being covered by Special No. l - C fixing quotas for these and other commodities In the normal course, therefore, wagons should have been released for charcoal and timber before being released on indents registered by the petitioner for lime. The release of wagons out of turn to the petitioner was in contravention of sub - rule (10) of Rule 201. [Para 10

       (2) Railways Act, 1890 and Goods Tariff (No. 36) Rules - R, 20l - variations in rules by Railway Administration - when permissible - prior notice to persons likely to be affected is necessary.

       It is true that the opening words of rule 201 law down that the Railway Administration can make such temporary local variations in any of the rules as it considers fit to meet any exceptional circumstance or to prevent misuse. But the necessary requirement for implementation of such a local variation is that it should be cone after due notice "The policy decision referred to in the return for release of wagons for lime could not be given effect to as an operating consideration without prior notice to the persons to be affected by it. Even otherwise it would be just and proper to insist upon prior notice of such a policy decision so that the persons concerned may not suffer loss. [Para 7

       

JUDGMENT :

( 1. ) THE grievance in this petition under Article 226 of the Constitution is that a show of preference was made in favour of the petitioner by the Railway authorities in allotment of wagons for transporting lime from Jabalpur railway station but in truth the petitioner was subjected to a great disadvantage with a view to harm him.

( 2. ) THE petitioner is a partnership firm and carries on business of manufacture of lime at Katni. The petitioner also indents wagons for trans portation of lime from Jabalpur. The petitioner transports lime from Katni to jabalpur by trucks and then loads it in the wagons allotted by the railway for transportation to different places in India. Between 7th April 1981 to 28th April 1981 on various dates the petitioner indented for thirteen wagons as mentioned in Annexure- A. On 7th May 1981 the petitioner received information of release of ten covered wagons for loading lime. This order (Annexure- B) was issued on 6th May 1981 at 5. 50 p. m. The petitioner could not load the wagons, for, according to him, the wagons were supplied much out of turn and the petitioner could not be ready with goods for loading in the wagons. The petitioner complained on 7th May 1981 itself that the out of turn supply of wagons was with a view to harm the petitioner and such an action would encourage bribery and other illegal practices in the matter of supply of wa ons. The complaint made by the petitioner had no effect. The petitioner then filed the present petition for quashing the order allotting the wagons and for directing the respondents to keep the petitioners indent alive and for restraining the respondents from indulging in the malpractice of giving mala fide priority out of turn in violation of the rules.

( 3. ) NOTICE for admission of this petition was issued to the respondents. In answer to the notice, return has been filed and the petition has been heard on merits.

( 4. ) THE return justifies allotment of wagons under Rule 201 of Goods tariff No. 36 on operational considerations. It is stated that a policy decision was taken to clear off lime indents before the outbreak of Monsoon for the reason that transportation of lime during rains gives rise to number of claims entailing heavy cost in litigation. It is submitted that it was for this reason that Wagons for lime loading were released in preference to timber merchants.

( 5. ) SECTION 28 of the Railways Act prohibits a railway administration from making or giving any undue or unreasonable preference or advantage to, or in favour of, any person or any particular description of traffic in any respect whatsoever. The section further prohibits the railway administration to subject any particular person or any particular description of traffic to any undue or unreasonable prejudice or disadvantage in any respect whatsoever. Section 27-A empowers the Central Government, in case it is of opinion that it is necessary in the public interest so to do, to direct any railway administration by general or special order, to give special facilities for, or preference to, the transport of any such goods or class of goods consigned to the central Government or to the Government of any State or of such other goods or class of goods, as may be specified in the order. A direction under section 27-A by the Central Government is not deemed to be a contravention of section 28. The relevant provisions dealing with the registration of indents, allotment and supply of wagons are contained in sub-rules (1) to (20)of Rule 201. The procedure laid down in these sub-rules is to be followed subject to this that the Railway administration, after due notice, can make temporary local variations in any of the sub-rules as they think fit to meet any exceptional circumstances or to prevent misuse. All demands for despatch of goods in wagon loads are entered in the wagon Demands / Priority register maintained in the stations of goods sheds open for booking of goods in wagon loads. The pres











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