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Madhya Pradesh High Court · body

2007 DIGILAW 85 (MP)

UNION OF INDIA v. NATIONAL FERTILIZER LTD.

2007-01-19

A.K.MISHRA

body2007
ORDER Arun Mishra, J. These appeals have been preferred by Union of India through Central Railways/West Central Railway as against orders passed by Railway Claims Tribunal, Bhopal in OA III Nos. 38/03, 48/03, 37/03, 36/03, 35/03, 34/03, 20/03, 19/03, 21/03, 26/03, 27/03, 25/03, 24/03, 22/03, 23/03, 375/04, 382/04, 377/04, 371/04, 381/04, 376/04, 372/04, 373/04, 374/04, 380/04, 378/04 and OA III 379/04. The question involved is about chargeability of the distance between Vijaypur to Satna. It is not in dispute that Vijaypur is a station, and distance from NFL siding to Vijaypur station is 3 kms. Dispute is about 1 km. distance. In the case relating to transshipment of goods between Vijaypur to Satna the Railway has charged for the distance 511 kms. whereas stand of NFL is that Railway could have charged for 510 kms. In this segment dispute is about the effective distance to be charged between Ruthiyai to Katni Murwara is 402 kms. or 403 kms. National Fertilizer Ltd. (NFL) is a Public Sector Undertaking, it books Urea through its siding to various destinations. The Railway has charged the NFL for 511 kms. in the aforesaid segment as such by way of filing an application refund of 1 km. was claimed by NFL alleging that the distance for charge was wrongly determined. The loading station was earlier in the jurisdiction of Central Railway, with the formation of zones, it has come within the jurisdiction of West Central Railway. It was claimed by NFL that chargeable distance between NFLG siding at Vijaypur and Satna, both station of Central Railway is 510 kms, not 511 kms as charged for by the Central Railway. Before 1999 since inception of siding, the Urea traffic to Satna was charged on the basis of 510 kms. The said distance was in accordance with Coaching and Goods Local Distance Table 3 of Central Railway as both loading and destination stations lie in erstwhile Central Railway Territory. Thus, refund of excess freight was claimed, after serving notices u/s 106(3) of the Railways Act, 1989. The Railway controverted the claim contending that actual distance charged is 511 kms. not 510 kms. as per the Local Distance Table 3. The difference is with regard to the distance between Ruthiyai Katni which according to Respondent/Railway is 403 kms. not 402 kms. The distance of 403 kms. The Railway controverted the claim contending that actual distance charged is 511 kms. not 510 kms. as per the Local Distance Table 3. The difference is with regard to the distance between Ruthiyai Katni which according to Respondent/Railway is 403 kms. not 402 kms. The distance of 403 kms. is derived from page 17 of the Local Distance Table 3 whereas distance of 402 is based on page 17 Ruthiyai to Bina and page 52 Bina-Katni of the same table. Shri Prakash Upadhyay, learned Counsel appearing for Appellant has submitted that distance calculated by the Railways was from Ruthiyai Junction to Katni Junction of 403 kms in the above route. Thus, distance measured of 402 kms. Ruthiyai to Katni. Murwara by the NFL is incorrect, consequently error has been committed by the Railway Claims Tribunal while accepting the claim of NFL. Shri Sanjay Mishra, learned Counsel appearing on behalf of Respondent/NFL has submitted that no case for interference in these appeals is made out as it is clear from the Coaching and Goods Junction Distance Table No. 3 issued by-Central Railway Administration which contains distances for charge for Coaching and Goods Traffic between via different junctions and stations on the Central Railway and via. In the said table at page 207, for calculation, the distance between Ruthiyai via Katni Murwara Junction is shown as 402 kms. which had been corrected and reduced to 401 kms. by issuing correction notification Rate Advice No. 3/1996, thus, the distance comes to 510 kms., thus, charges levied for 511 kms. was in excess. He has also relied upon Local Distance Table Instruction 10, Section 11 of General Clauses Act, 1897 and Rule 125 of I.R.C.A. Coaching and Goods Traffic. It is not in dispute that distance from NFL siding to Vijaypur is 3 kms. and from Vijaypur to Ruthiyai is 6 kms. It is also not in dispute that from Katni Junction to Satna distance is 99 kms., dispute is from Ruthiyai Junction to Katni Junction, distance has been taken as 403 kms. whereas as per NFL from Ruthiyai to Katni Murwara, distance is 402 kms. Dispute is whether the distance from Ruthiyai to Katni Murwara has to be applied or Ruthiyai to Katni Junction. Coaching and Goods Junction Distance Table No. 3 issued by Central Railway at page 207 from Ruthiyai to Katni Murwara Junction is 402 kms. whereas as per NFL from Ruthiyai to Katni Murwara, distance is 402 kms. Dispute is whether the distance from Ruthiyai to Katni Murwara has to be applied or Ruthiyai to Katni Junction. Coaching and Goods Junction Distance Table No. 3 issued by Central Railway at page 207 from Ruthiyai to Katni Murwara Junction is 402 kms. as apparent from Table No. 3 which contains distance for charge for Coaching and Goods Traffic between stations on the Central Railway and via the different Junctions to be used in through booking with other Railways. This distance has also been corrected and reduced to 401 kms. by issuing correction notification Rate Advice No. 3/96. However, distance of 402 kms. has been taken and on that basis the NFL has claimed the distance to be 510 kms. Instruction 10 of the Instructions for ascertaining Distance between any two Stations over Central Railway reads as under: 10. The calculation of distance is subject to the rules regarding routing of traffic notified in I.R.C.A. Coaching and Goods Traffic. Rule 125 of I.R.C.A. Coaching and Goods Traffic provides thus: (1)(a) The term "shortest route" wherever appearing in this rule, is the shortest route between the forwarding and receiving stations as determined upon the basis of the distance notified by Railways as being the distance for charge. For purposes of determining the shortest route in cases in which break-of-gauge transshipment is involved, each break-of-gauges transshipment is to be reckoned as equivalent to 200 kms. (b) In the absence of specific instructions in writing from the sender of his authorized agent to the contrary, goods will be dispatched by the shortest route at the charges by the cheapest route, i.e. the route by which the freight charges are at the lowest. It is necessary to dispatch the goods by shortest route at the charges by cheapest route i.e. the route by which the freight charges are at the lowest as provided in Rule 125(1)(b) of I.R.C.A. Coaching and Goods Traffic, thus, shortest route is Ruthiyai-Katni-Murwara and for that distance is 402 kms. as claimed by NFL not 403 kms. as claimed by Railway from Ruthiyai to Katni Junction. The shortest route is via Katni Murwara, thus, the charging of fare of 1 km. more is in violation of Rule 125 of IRCA Rules. as claimed by NFL not 403 kms. as claimed by Railway from Ruthiyai to Katni Junction. The shortest route is via Katni Murwara, thus, the charging of fare of 1 km. more is in violation of Rule 125 of IRCA Rules. Coaching and Goods Junction Distance Table No. 3 which contains the distance at page 207 to be 402 kms. Section 11 of General Clauses Act also provides that the measurement of any distance has to be in a straight line on a horizontal place unless a different intention appears. As the levy of charge ability depends upon shortest route as provided in said Rule 125 of I.R.C.A., I agree with the decision of Railway Claims Tribunal in directing refund of the amount of 1 km. Shri Prakash Upadhyay, learned Counsel appearing for Appellant has submitted that Local Distance Table is applicable not Junction Distance Table. Question is of levy of charges as per shortest route as provided in I.R.C.A. and the shortest route is found to be 1 km. less and that also finds support from Instruction 10 which makes applicable I.R.C.A. Rules for ascertaining the distance between two stations of Central Railway. Consequently, I find that there is no error committed by the Tribunal in the impugned orders so as to call for an interference. Appeals are hereby dismissed. No costs. Final Result : Dismissed