10 May 1996
Supreme Court
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UNION OF INDIA Vs SHARMA COAL CO.

Bench: K. RAMASWAMY,G.B. PATTANAIK
Case number: C.A. No.-009059-009059 / 1996
Diary number: 78459 / 1991


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PETITIONER: UNION OF INDIA & ORS.

       Vs.

RESPONDENT: M/S. SHARMA COAL CO.

DATE OF JUDGMENT:       10/05/1996

BENCH: K. RAMASWAMY, G.B. PATTANAIK

ACT:

HEADNOTE:

JUDGMENT:                  THE 10TH DAY OF MAY, 1996 Present:                Hon’ble Mr.Justice K.Ramaswamy                Hon’ble Mr.Justice G.B. Pattanaik C.B.Babu, B.Krishna Prasad and P.Parmeshwaran, Advs. for the appellants.                          O R D E R      The following Order of the Court was delivered:      Leave granted.      Though the  respondents have  been served, none appears either in  person or  through the  counsel.   We have  heard counsel for the appellant.      This appeal arises from the order of the Division Bench of the  Guwahati High  Court in  a batch  of writ  petitions being Civil  Rule No. 1153/89 and batch passed on dated July 30,  1990.    The  Railway  administration  had  prepared  a preferential traffic  scheme (PTS),  by general  order No.71 categorising the  priority articles for carriage by railways and  allotted   different  priorities   which  are  made  in alphabetic orders  A  to  E.  sponsored  coal  movement  was mentioned in  Category  C  priority  and  priority  E  would include non-sponsored  coal.   Subsequently  by  proceedings dated March 1, 1989 the Railways modified its earlier scheme and issued general PTS Order No.77 with effect from April 1, 1989 under  which priorities  were redetermined.   It  would appear that  subsequently non-priorities  coal  item  E  was deleted from  the priority scheme.  When the respondents and others challenged its validity on the anvil of Art. 19(1)(g) of the  Constitution, the  Division Bench  of the High Court without disturbing  the validity  of  the  order  had  given direction observing that after all the priorities enumerated in the  scheme are  exhausted  and  if  the  wagons  remains unutilised,  the  unutilised  wagons  may  be  kept  at  the disposal of  non-priority articles  for carriage.  Thus this appeal came to be filed by special leave.      It is  seen that  in order No.75 priorities A to E were made which included sponsored coal within the meaning of the order and non-sponsored coal within the meaning of the order and non-sponsored  coal provided in priority E for allotment of  wagon.     With   regard  to  non-priority  item  E,  it

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subsequently deleted  as mentioned  in paragraph  E  of  the special leave  petition which  reads  as  "the  Order  No.77 relates to PTS for allotment of wagons which came into force from 16.7.86, but non-sponsored coal referred to in priority E of  PTS No.75  was removed".   It  would thus be seen that non-priority coal  came to  be removed  from the  priorities mentioned in  Items A  to  E.    Therefore  the  High  Court obviously was  of the  intention to direct that if after the wagons allotted  for movement  to priority articles remained available,  the   same  may  be  allotted  for  non-priority articles for  carriage.   We do  not think that there is any impediment  in  the  way  of  administration  to  give  such allotment, instead  of keeping  them side.   It  would be in commercial interest of the Railway administration.      The appeal is accordingly disposed of.  No costs.