STATE OF ORISSA Vs. GOENKA INVESTMENT AND MINING INDUSTRIES PVT LTD
LAWS(CAL)-1983-3-15
HIGH COURT OF CALCUTTA
Decided on March 17,1983

STATE OF ORISSA Appellant
VERSUS
GOENKA INVESTMENT AND MINING INDUSTRIES PVT.LTD. Respondents

JUDGEMENT

Anil K.Sen, J. - (1.) This is a revi-sional application at the instance of the defendant, the State of Orissa (hereinafter referred to as the defendant) and is directed against an order dated June 10, 1982, passed by the learned Subordinate Judge, 1st Court, Alipore, in Money Suit No. 18 of 1978. By the order impugned, the learned Subordinate Judge has decided a preliminary issue on the point of court's jurisdiction to try the suit.
(2.) Goenka Investment and Mining Industries Private Limited, a Company incorporated, under the provisions of the Companies Act, 1956 (hereinafter referred to as the plaintiff) instituted the aforesaid suit claiming a decree for a sum of Rs. 2,82,97,355.62 by way of damages and alternatively claiming an enquiry into the damages suffered by them and for a decree for such sum as may be found due on such enquiry. The plaintiff's case shortly is that by an agreement dated July 15, 1971, the defendant appointed the plaintiff an agent for mining, getting and raising coal from a colliery known as Handidhua Colliery situate within the District of Dhenkanal in the State of Orissa and for sale and despatch of coal for a period of 25 years with effect from the date of the agreement on terms and conditions set out in the agreement. Pursuant to the said agreement it is claimed by the plaintiff that they not only purchased certain plants, machineries and other colliery accessories of the value of Rs. 3,75,000/-from the defendant but purchased still other machineries, tools and equipments for the purpose of operating the mine. The plaintiffs further pleaded that they incurred various other expenses for retrieving the colliery and making it free from water and setting up an elaborate establishment for the mining operation to be carried on by them in terms of the agreement. It is claimed that all this was done by them on the defendant's representation and warranty that the agreement would continue and subsist for 25 years but the defendant wrongfully and illegally terminated the said agreement by a notice dated April 15, 1975, served upon the plaintiff on April 18, 1975, and took possession of the colliery on June 11, 1976. As a result the plaintiff suffered enormous loss, the particulars whereof being set out in the plaint. They claimed a decree for damages in the manner set out hereinbefore.
(3.) This suit was filed in the 1st Court of the learned Subordinate Judge at Alipore and the plaintiff pleaded jurisdiction in such court on the ground that the plaintiff suffered loss and damages within the jurisdiction of the said court as also on the ground that the cause of action arose at No. 6, Alipore Park Road, Calcutta, within the jurisdiction of the said court, when a notice of termination was served upon the plaintiff at that place.;


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