S.C.Lahiri, J. - (1.) The two points which arise for consideration in this appeal are (1) whether the contract for the sale of jute entered into by the appellant with the respondent is hit by the Forward Contracts (Regulation) Act of 1952 and (2) whether the Forward Contract (Regulation) Act is a valid legislative enactment. The first point has been raised by the appellant whose application for setting aside the award made by the Bengal Chamber of Commerce and Industry has been dismissed by P. B. Mukharji J., by an order dated 20-5-1957 and the second point has been raised by the respondent which has obtained the award.
(2.) The facts which are relevant for the purposes of this appeal are these: On September 9, 1955 the appellant entered into a contract for the sale of 2250 bales of jute cuttings of Pakistan (Raw Jute) with the respondent in the standard form of the Indian Jute Mills Association which contains a clause for arbitration by the Bengal Chamber of Commerce and Industry. Under the contract delivery was to be given in the following manner (a) 750 Bales by October, 1955; (b) 750 bales by November, 1955 and (c) 750 bales by December, 1955. The appellant delivered 2000 bales on divers dates but failed to deliver the balance of 250 bales on account of alleged interference by the Government of Eastern Pakistan. Disputes having thus arisen the respondent referred them to the arbitration of the Bengal Chamber of Commerce and Industry which made an award for a sum of Rs. 10,525/- with interest and costs in favour of the respondent on August 10, 1956. The appellant filed an application for setting aside the award which has been dismissed with costs by an order dated 20-5-1957 by P. B. Mukharji J.
(3.) The learned trial Judge has not delivered any judgment; but from the application filed by the appellant it is clear that the award was challenged on the ground that the Tribunal of Arbitration of the Bengal Chamber of Commerce and Industry had no jurisdiction to make the award because the contract dated 7-9-1955 was illegal as offending against the Forward Contract (Regulation) Act of 1952.;