Aa. Haja Muniuddin v. Indian Railways
The Judgment of the· Court was delivered by
AHMADI, J. Special leave granted.
The short question which arises for determination in this appeal is
whether an indig~nt person who is not possessed of sufficient means to
enable .him to pay the fee prescribed by Sub-section (2) of Section 16 of
) the Railway Claims Tribunal Act, 1987 (hereinafter called 'the Act') can
be permitted to prefer his claim as an indigent· person on the principle
embodied in order XXXIII of· the Code of Civil Procedure, 1908
(hereinafter called 'the Code'). The brief facts giving rise to this appeal are
as under.
The appellant despatched marble slabs from Makrana Railway Sta
tion for carriage by rail under railway risk to Ramanathapuram. The wagon
carrying the marble slabs met with an accident. The marble slabs reached
the station of destination in broken pieces. Treating the damage as a total
loss, the appellant preferred a claim for Rs. 1,05,000 before the Railway
Claims Tribunal established under Section 3 of the Act. The appellant was
required to pay a fee of Rs. 2,055 on the said claim- application under
Sub-section (2) of Section 16 of the Act read with Rule 6 of the Railway
Claims Tribunal (Procedure) Rules,.1989 {hereinafter called 'the Rules').
However, since the appellant did not have the mearis to pay the requisite
..., fee, he lodged the claim-application on a fee of Rs.' 150 only and prayed
3 that he may be permitted to prosecute the claim 'as an indigent ·person. The
Tribunal however, came to the conclusion that since Order XXXIII of the
Code had no application to claims preferred under the provisions of the
Act, the appellant cannot be permitted to prosecute the application as
such. The Tribunal, therefore, spurned the appellant's request. It is against
1 the said order of the Tribunal that· the present appeal by special leave has
A.A.HAJAMUNIUDDIN. v. INDIAN RAILWAYS [AHMADI,J.] 75
been brought to this Court. A
In order to appreciate the contention urged before us it would be
advantageous to bear in mind the scheme of the Act. The Act was enacted
to inter alia provide for the establishment of a Railway Claims Tribunal for
enquiring into and determining claims against the railway administration
for loss, destruction, damage, deterioration or non-delivery of goods B
entrusted to it to be carried by railways and for matters connected there
with or incidental thereto. Section 3 provides for the establishment of a
Railway Claims Tribunal. Section 13 which confers jurisdiction reads as
under:
"13. Jurisdiction, powers and authority of Claims Tribunal.
- (1) The Claims Tribunal shall exercise, on and from the
appointed day, all such jurisdiCtion, powers and· authority
as were execisable immediately before that day by any civil
court or a Claims Commissioner appointed under th~
provisions of the Railways Act, -
(a) relating to the responsibility of the railway administra
tion as carriers under Chapter VII of the Railways Act
in respect of claims for -
(i) compensation for loss, destruction, damage, deteriora
tion or non-delivery of animals or goods entrusted to
a railway administration for carriage by railway;
(ii) compensation payable under Section 82-A of the Rail
ways Act or the rules made thereunder;. and
(b) in respect of the claims for refund of fares or part
thereof or for refund of any freight paid in respect of
animals or goods entrusted to a railway administration
to be carried by railway.
(2) The provisions of the Railways Act and the rules made
thereunder shall, so far as may be, be applicable to the
inquiring into or determining, any claims by the Claims
Tribunal under this Act."
Section 15 provides that on or from the appointed day, no court or other H
76 SUPREME COURT REPORTS {1992] SUP}>. 3 S.C.R.
A authority shall have, or be entitled to, exercise any jurisdiction, powers or
authority in relation to the matter~ referred to in Sub-section {1} of Section
13. We now come to Section 16 which reads as under:
"16. Application to Clai~s Tribunal. - (1) A person seek
ing any relief in respect of the matters referred to in sub
section (1) of Sectio.n 13 may make an application to the.
Claims Tribunal.
;·
(2) Every application under sub-section (1) shall be in
such form and be accompanied by such documents or
other e~dence and by such fee in respect of the filing of
such application and by such other fees for the service or
execution of processes as may be prescribed. ·
Provided that ~o such fee shall be payable in respect of
an application under sub-clause (ii) of clause {a) or'sub-
section (l) ofSection 13." ·
Section 18(1) provides that the Claims Tribunal shall not be bound by the
procedure laid down by the Code, but shall be guided by the principles of
natural justice and, subject to the other provisions of the Act and of any
rules, the Claims Tribunal shall have powers to regulate .its own procedure.
Sub-section (3) of Section 18 then provides as under :
"18(3). The Claims. Tribunal shall have, for the purposes
of discharging its .functions under this Act, · the same
· powers as are vested in a civil court under the Code of
Civil Procedure, 1908 (5 of 1908), while trying a suit, in
respect ofthe following matters, namely:-
·'
(a) summoning (ind enforcing the attendance of any per
. son and examining him on oath;
{b) requiring the discovery and production of documents;
(c) receiving evi<l~nce on affidavits;
( d) subject. to the provisions of Sections U3 and 124 of
. the Indian Evidence Act, 1872. (1 of 1872), requisi
tioni~g any public record or document or copy of such ·
AA. HAJAMUNIUDDIN. v. INDIAN RAILWAYS [AHMADJ,J.]
record or docurrient from atty office; .
(e) issuing commissions for the examination of witnesses
or documents;
(f) reviewing its decisions:
(g) dismissing an application for default or deciding it ex
pa rte;·
(h) setting aside any order or dismissal of any application
for default or any order passed by it ex parte;
(i) any other matter which may be prescribed."
77
:section 24 provides for the transfer of every suit, claim or other legal
.proceeding (other than an appeal) pending before any Court, Claims D
Co?lmissioner or other authority immediately before the appointed day,
being a suit, claim or proceeding, the cause of action whereon it is based
is such that it would have been, if it had arisen after the appointed day,
within the jurisdiction of the Claims Tribunal, shall stand transferred on
that day to the Claims Tribunal. It is, therefore, obvious that every suit
pending before any court before the appointed day would stand transferred E
to the Claims Tribunal if the cause of action thereof is one that would have
been, if it had arisen after the appointed day, within the jurisdiction of the
Claims Tribunal. Section 28 lays down that the provisions of the Act shall
have effect notwithstand:,1g anything inconsistent therewith contained in
any other law for the time being in force. Section 30 empowers the Central F
Government to make rules. In exercise of this power the Central Govern
ment made the rules referred to above and brought them into force from
the appointed day i.e. the date with effect from which the Claims Tribunal
came to be established under Section 3 of the Act. Rule 6 which is relevant
for our purpose provides that every application made under Sub-section
(1) of Section 16 for seeking relief in respect of matters, other than claim G
of compensation for death or injuries to passengers, shall be accompanied
by a fee as specified in Schedule II. Rule 44 lays down that nothing in the
Rules shall be deemed to limit or otherwise affect the inherent power of
the Tribunal to make such orders as may be necessary for the ends of
justice or to prevent abuse of the process of the Tribunal. H
78 SUPREME COURT REPORTS [1992) SUPP. 3 S.C.R.
A It will be seen from the scheme of the Act that on its coming into
force from the appointed day, all suits pending in the civil court would
stand transferred to the Claims Tribunal if the cause of action of the suit
would have fallen within the jurisdiction of the Tribunal after the appointed
day. Therefore, even a suit filed under the· provisions of Order XXXIII
B would stand transferred to the Claims Tribunal and the Claims Tribunal
would be required to dispose it of as such. That is because Section. 13
specifically provides that the Claims Tribunal shall exercise, on or from the
appointed day all such jurisdiction, powers and authority as were exer
cisable immediately befote that day by any civil court providep the same
c relates to the recovery of compensation for loss, destruction, damage,
deterioration or non-delivery of goods entrusted to the railways for carriage
by railway. Section 15 bars the jurisdiction of the civil court to entertain
and try such suits on and from the appointed day. In other words after the
appointed day the Claims Tribunal alone would have jurisdiction to enter-
D tain and try claims referred to in clauses (a) & (b) of Sub-section (i) 'of
Section 13 of the Act. Section 18 then sets out the procedure to be followed
by the Clainis Tribunal. Sub-section (1) of Section 18 states that the Claims
Tribunal shall not be bound ?Y the procedure laid down by the Code but
shall be guided by the principles of natural justice. and shall have powers
to regulate its own procedure. It is true that Sub-section (1) of Section 18
E in term states that the Claims Tribunal shall not be bound by the procedure
laid down by the Code but that does not mean that it is precluded from
invoking t_he procedure laid down by the code even if the ends of justice
so require. The Sub-section further states that· the Tribunal shall have
powers to regulate its own procedure and Sub-section (3) of Section 18
enumerates the matters in respect whereof the Claims Tribunal is per
mitted to exercise the same powers vested in a civil court under the Code
while trying a suit. Rule 44 in terms states that nothing in the Rules shall
be deemed to limit or otherwise affect the inherent power of the Tribunal
to make such orders as may be necessary for the ends of justice. Nowhere
G in the Act is there any provision which runs counter to or is inconsistent
with the pro0sions of Order XXXIII of the Code. Although the Act and
the Rules do not specifically provide for the application. of Order XXXIII
of the Code, there is ·nothing in the Act or the Rules which predudes the
Tribunal from following that procedure if the ends ofjustice so require. If
H the view taken by the Tribunal is acc~pted as laying .down the correct iaw,
-
A.A HAJAMUNIUDDIN. v. INDIANRAILWAYS[AHMADI,J.] 79
the result would be that a claimant who has a.genuine claim for compen- A
sation under the provisions of the Act would be denied access to the Claims
Tribunal if he is an indigent person and does not have the means to pay
the fee required on the claim-application. Before the establishment of the
Claims Tribunal he would have been able to file the suit invoking Order
XXXIII of the Code as an indigent person. Now that a special Claims B
Tribunal has been established under the Act, can it be said that indigent
persons who do not have the means to pay the fee required on the
claim-application are altogether debarred from seeking compensation from
the railway administration for the wrong done to them? Access to justice
cannot be denied to an individual merely because he does not have the C
means to pay the prescribed fee. Such a. view would leave indigent persons
without a remedy. It is, therefore, essential that the provisions of the Act
and the Rules must be broadly interpreted to ensure access to justice. If a
claimant is left without redress even if he .has a valid claim against the
railway administration merely because he is an indigent person, it would D
be a sad day and the poor will lose confidence in the system. No one can
be heard to say, much less the railway administration, that even though the
claimant has a genuine claim for compensation against the railway ad
ministration, he must forgo the same if he does not have the means to pay
the requisite fee. Such an interpretation which denies justice must be
avoided. Section 18(1) only says that the Claims Tribunal 'shall not be E
bound' by the procedure laid down by the Code but does not go so far as
to say that it 'shall be precluded' from invoking the provisions laid down
by the Code even if the same is not inconsistent with the Act and the Rules.
Since the Claims Tribunal is empowered to regulate its own procedure,
there is nothing in the Act and the Rules which precludes the invocation
of Order XXXIII of the Code. A view which advances the cause of justice
must be preferred to the one which defeats it. We are, therefore, of the
opinion that the Tribunal adopted a narrow interpretation of the relevant
provisions of the Act in coming to the conclusion that the Act as well as
the Rules did not perm.it invocation of Order XXXIII of the Code. The G
view taken by the Tribunal results in a person not having the means to pay
the fee prescribed for preferring a claim being left without a remedy. Such
a view would result in gross injustice. The Tribunal has the power to lay
down its own procedure and as stated earlier Section 18(1) does not
preclude it from invoking the provisions of Order XXXIII of the Code if H
80 SUPREME CO:JRTREPORTS (1992] SUPP. 3 S.C.R.
A the_ ends of justice so require. When an .indigent person approaches the
Tribunal for compensation for the wrong done to him, the Tribunal cannot
refuse to exercise jurisdiction merely because he does not have th~ m~ans
to pay the fee. In such a s;tuation we think the ends of justice :require that
the Tribunal should follow the procedure 4iid down :in Order XXXIH of
B the Code to do justice for which it came to be establi~hed.
In the result we allow this appeal, set aside the order of the Claims
Tribunal and remit the matter to the Claims Tribunal to deal with the
appellant's claim-application in the light of the principle enunciated
hereinabove. In the facts and circumstances of the case there will be no
C order as to costs.
V.P.R. Appeal allowed.