SHREE MEENAKSHI MILLS LIMITED Vs. PROVINCIAL TEXTILE COMMISSIONER

JUDGEMENT

(1.) THIS is an appeal by special leave from a judgment and order of the High Court of Judicature at Madras in its civil appellate jurisdiction, dated April 23, 1946, which affirmed a judgment and order of the said High Court in its original civil jurisdiction, dated March 29, 1946.

(2.) THE appeal arises out of an application to the High Court of Madras made by the appellant, the Sree Meenakshi Mills, Limited, under Section 45 of the Specific Relief Act, 1877, against the respondent, the Provincial Textile Commissioner, Madras. It concerns the validity of certain seizures made by the respondent of yarn belonging to the appellant.

(3.) THE appellant is a limited liability company and carries on cotton-spinning and weaving business in Madura. It spins yarn and weaves it into cloth with about 80 handlooms installed in the mill premises. THEse not being sufficient to weave all the yarn produced by the mill, the services of handloom weavers outside the mill are engaged by the appellant. Of these outside weavers, some carry on business in the neighbourhood of Madura, and others in the neighbourhood of Rajapalayam, about 60 miles distant from Madura. THE appellant hands over to these weavers extra yarn produced at the mills in order that it may be woven into cloth by the said weavers for the appellant and be brought back to the mills as finished cloth. THE outside weavers are paid piece rates, i. e. according to the quantity of cloth which they produce. THE transaction between the appellant and the outside weavers is not a transaction of sale or a transaction in which the property in the yarn passes to the persons to whom it is entrusted. Both the yarn and the cloth made out of it belong to the appellant. It is common case that the transaction is one of bailment of the yarn made under a contract by which outside weavers undertake to do certain work in relation to the yarn so bailed. THE business lias been carried on by the appellant in this manner since 1944.