UPPER DOAB SUGAR MILLS LTD Vs. SHAHADARA (DELHI), SAHARANPUR LIGHT RLY. CO. LTD
LAWS(SC)-1969-2-73
SUPREME COURT OF INDIA
Decided on February 18,1969

The Upper Doab Sugar Mills Ltd. Appellant
VERSUS
The Shahadara (Delhi), Saharanpur Light Rly. Co. Ltd., Calcutta Respondents

JUDGEMENT

Grover, J. - (1.) This is an appeal by special leave from an order dated December 31, 1963 of the Railway Rates Tribunal functioning at Madras in Complain: No. 1 of 1960 instituted by the appellant under Section 14(1)(b) and (c) of the Indian Railways Act 1890, hereinafter called the "Act".
(2.) The appellant manufactures sugar at its mills and the principal raw material used is sugarcane which is carried to the mill premises at Shamli by rail from stations on the respondents Light Railway running between Shahadara-Delhi and Saharanpur. The milling process is stated to be practically continuous from the month of November of one year to the month of May in the following year during which period the Railway carries to Shamli in full train loads an average of approximately 150 wagons per day. The mill also imports through the Railway large quantities of coal, oil, gunny bags mill stores, molasses and machinery and exports considerable quantity of sugar and spirits. The mill is stated to have a number of private sidings, wharves and warehouses. It is claimed by the appellant that all major terminal facilities at Shamli are provided for by it and all major terminal services are rendered at its own cost.
(3.) Between January 15, 1944 and September 30, 1953, the rates for carriage of sugarcane to Shamli were as follows, (vide Table AJ: "To Shamli from Ailum Rs. 3-8-0 per 4 wheeler OR:L ....." By Local Rates Advice No. 8 of 1953 the rates were enhanced as set out in Table B. It is necessary to refer only to the rates relating to one station namely Ailum for the sake of illustration. "To Shamli from Ailum Rate Rs. 2-6-0+Rs. 9-6-0 term Rs. 11-12-0 ....." The appellant instituted a complaint on January 8, 1954 before the Railway Rates Tribunal at Madras under Section 41(1) of the Act. This complaint was directed against the rates fixed by the Local Rates Advice No. 8 of 1953. The Tribunal by a majority (the President dissenting) held that it had jurisdiction to go into the reasonableness of the terminal charges and that as the terminal services were being rendered only at the loading station and not at Shamli the charge of Rs. 9-6-0 per 4-wheeled wagon should be reduced to one half of that amount. The respondent Railway came up in appeal by special leave to this Court against the majority decision of the Tribunal. Pending disposal of the appeal the respondent gave effect to the Tribunals decision; the rates being those given in Table C. It may be mentioned that from or about August 1, 1956 the respondent levied a supplementary charge of one anna in the rupee (i.e. 6 3/1%) on the charges given in Table C but from or about July 1, 1957 this supplementary charge was enhanced to two annas in a rupee. On February 9, 1960 this court disposed of the appeal holding that the levy challenged by the appellant was one of standardised terminal charges and the same was excluded from the jurisdiction of the Tribunal under Section 41(1) of the Act as it then stood.;


Click here to view full judgement.
Copyright © Regent Computronics Pvt.Ltd.