Union of India and 2 Ors v. M/S Fuel Sources India Pvt Ltd and Anr

JUDGMENT AND ORDER (CAV) Heard Mrs. Uma Chakraborty, learned counsel representing the appellants as well as Ms. M. Sarma, learned counsel appearing for the respondents.

¶2This is an appeal under Section 23 of the Railway Claims Tribunal Act, 1987 against the judgment and order dated 01.09.2016 passed in by the learned Railway Claims Tribunal, Guwahati Bench in O.A.-III 245/2011.

¶3In this appeal, two questions are to be answered. They are –

(1) Whether the Railway authorities can recover punitive charges after delivery of goods? and

(2) Whether the Railways can levy terminal charges for loading of goods in all stations?

¶4The Tribunal answered these questions in negative.

¶5I have considered the submissions made by the learned counsel of both sides.

¶6Section 73 of the Railways Act of 1989 is relevant at this stage. It reads as under: "73. Punitive charge for overloading a wagon.— Where a person loads goods in a wagon beyond its permissible carrying capacity as exhibited under sub-section (2) or sub-section (3), or notified under sub-section (4), of section 72, a railway administration may, in addition to the freight and other charges, recover from the consignor, the consignee or the endorsee, as the case may be, charges by way of penalty at such rates, as may be prescribed, before the delivery of the goods:" Provided that it shall be lawful for the railway administration to unload the goods loaded beyond the capacity of the wagon, if detected at the forwarding station or at any place before the destination station and to recover the cost of such unloading and any charge for the detention of any wagon on this account."

¶7Therefore, the Railways can lawfully demand punitive charges for overloading, if it is detected at the forwarding station or at any place before destination station. Page No.# 3/3

¶8Here, the question arises that after unloading of the goods at the destination station, whether the Railways can claim punitive charges for overloading?

¶9According to Section 73 of the Railways Act, the Railways cannot charge punitive charges after unloading of the goods at the destination station. Therefore, I am of the considered opinion that the learned Tribunal has correctly held that Railways cannot charge punitive charges after delivery of goods.

¶10Regarding the second question, there is no doubt that there are 50 specific stations having all the infrastructures for loading and unloading of goods and if any of those 50 stations are used, then only the Railways can charge terminal charges. For other stations, Railways cannot levy terminal charges.

¶11I am of the considered opinion that the Railway Claims Tribunal has rightly answered this question in negative.

¶12Under the aforesaid circumstances, I find that there is no merit in this appeal and the appeal stands dismissed accordingly. Send back the LCR.

JUDGE Comparing Assistant

PageoNo.#o1/3 GAHC010021202017 ooooooo ooooooooooooooo ooooooooooooooooTHEoGAUHATIoHIGHoCOURTo (HIGHoCOURToOFoASSAM,oNAGALAND,oMIZORAMoANDoARUNACHALoPRADESH)o CaseoNo.o:oMFA/105/2017ooooooooo UNIONoOFoINDIAoando2oORSo REPRESENTEDoBYoTHEoGENERALoMANAGER,oN.F.oRAILWAY,oMALIGAON,o GUWAHATI-11oASSAM VERSUSo M/SoFUELoSOURCESoINDIAoPVToLTDoandoANRo RAMoKUMARoPLAZAoMARKET,o1SToFLOORoCHATRIBARIoROAD,o GUWAHATI-1,oASSAM. 2:SR.oMANAGERoDISPATCHoC oREPRESENTINGoM/SoOCLoINDIAoLTD.oOCLoSIDING oP.O.oRAJGANGPUR oDIST.oSUNDERGARH oPINo770017oORISSo AdvocateoforotheoPetitionerooooo:oMS.oNoRoRABHAo AdvocateoforotheoRespondento:oMR.oKoPoMAHESWARIoo ooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooo PRESENT THEkHON'BLEkMR.kJUSTICEkPARTHIVJYOTIkSAIKIA oo ooooooooooooooooo For the Appellants : Mrs. U. Chakraborty, oooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooo Advocate. ooooooooooooooooooo For the Respondents : Ms. M. Sarma, oooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooo Advocate. o ooooooooooooooooooo Date of Hearing :ooooooooooo 08.02.2024. ooooooooooooooooooo Date of Judgment : 09.04.2024. Page No.# 2/3