UNION OF INDIA Vs. BINANI CONSULTANTS P LTD
LAWS(CAL)-1994-9-33
HIGH COURT OF CALCUTTA
Decided on September 27,1994

UNION OF INDIA Appellant
VERSUS
BINANI CONSULTANTS (P) LTD. Respondents

JUDGEMENT

B.P.Banerjee, J. - (1.) This is an appeal against the judgment dated 19th of August, 1993, allowing the writ application and directing the appellant to reconnect the telephone lines of the respondent which were disconnected for non-payment of Pay Phone bills, and to accept the call charges on the basis of original agreement. The appellants were also restrained from reducing the rate of commission of the writ petitioner/opposite parties. Further, the appellants have been restrained from reducing the billing period from monthly to fortnightly and from charging any additional security deposit except in accordance with the terms and conditions of the agreement in question.
(2.) The writ petitioner/opposite parties entered into an agreement with the Calcutta Telephone authorities for the purpose of acting as Operating Agency in respect of pay phones in the city of Calcutta. The relevant provision of the said agreement is as follows : "The Operating Agency will be permitted to charge Re. l/- per unit from the public for the calls made from the Pay-Phones. The Operating Agency will pay to the Department @ 80 paise per metered call unit in case of pay-phone with STD facility and @ 60 paise per metered call unit in case of pay-phone with only local call facility (on the basis of the calls recorded in the exchange). The Operating Agency can retain 20 poise for each metered call unit for payphone with STD facility and 40 paise for pay-phone with only local facility. However, it is made clear that the aforesaid charges of Re. 1/- per unit are subject to variation from time to time by the Government and in case the Government changes the charges per unit the share of Operating Agency will also be decided by the CTD at the time of revision."
(3.) Several pay-phones have been allotted to the writ petitioner/opposite parties under the agreement. The licence was also granted for this purpose by the appellants allegedly in exercise of the powers conferred under Sub-section 2 of Section 4 of the Indian Telegraph Act, 1885. The terms and conditions of the licence are given in Annexure 11A to this licence. The said licence, inter alia, provides as follows : "The Telegraph Authority reserves the right to modify at any time the terms and conditions of the licence by giving notice of three months to the licence if the Telegraph Authority is satisfied that it is necessary or expedient to do so in the interest of the general public or for the proper operation of pay-phones.";


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