Unified Goods Theory PDF

CHAPTER-13:- Claims and Claims Prevention _________________________________________________________________ Claims: - A claim may be defined as request by rightful claimant for compensation in respect of goods entrusted for carriage by rail from one station to another stati...

CHAPTER-13:- Claims and Claims Prevention _________________________________________________________________ Claims: - A claim may be defined as request by rightful claimant for compensation in respect of goods entrusted for carriage by rail from one station to another station and that it has not reached the destinations station in the condition handed over to Railways. Demerits of claims:- 1) leakage of Railway revenue 2) Loss of Goodwill of Railways 3) Diversion of traffic to other modes of transport. Causes of Claims – 1. Accidents 2. Theft and pilferages 3. Defective packing 4. Rough handling 5. Damage by wet 6. Delay in transit 7. Over carriages 8. Leakage or breakage 9. Improper loading 10. Non-observance of rules 11. Improper marking 12. Lack of security 13. Rough and loose shunting 14. Unconnected goods 15. Poor co-ordination amongst various departments Claims preventive measures A) At the time of Acceptance and Booking of Goods - 1. Ensure that proper Forwarding Note is executed with complete particulars. Ensure that packing conditions as prescribed are complied with. 2. If goods are not packed according to rule, such remarks should be obtained on the forwarding note. 3. Ensure private and railway marking with durable ink and that all old marks should be obliterated. 4. Goods should be weighed and tallied with forwarding note. 109 5. Wagon labels should be prepared legibly with concerned pencil. 6. Conduct checks against mis-declaration and packing condition of the commodity. 7. Ensure Packing, Labeling and Marking rules. B) At the time of loading and unloading of Goods. 1. Supervise loading and unloading, observe all monsoon precautions. 2. Water tight wagon should be utilized to load commodities likely to be damaged by wet. 3. Ensure scientific and geographical methods of loading. 4. Hooks must be avoided for loading and unloading. 5. Over loading or uneven loading should be avoided. 6. Ensure proper sealing and riveting. 7. Ensure that the valve of tank wagon is closed properly. 8. Avoid mix loading. 9. Avoid rough handling. C) At the time of transportation. 1. Ensure proper dispatch of loaded wagon to their proper destination station on time. 2. Avoid over carriage of goods beyond destination station. 3. Check wagon labels with vehicle guidance before the rake is dispatched. 4. Avoid loose and rough shunting. 5. Ensure checking of seals. 6. Prompt clearance of unconnected goods. D) At the time of Delivery 1. Supervise unloading and compare number of packages with seal card and RR. 2. Ensure to issue DD message / DDPC within time. 3. Avoid delay in granting open / assessment delivery. 4. Observe delivery rules especially during open / assessment delivery. 5. Ensure preparation of weekly inventory regularly. 6. Ensure proper protection of goods awaiting delivery. 110 Departments involved in elimination of claims and their role - 1. Commercial Department – All rules from the time of booking up to the time of delivery to be observed strictly, especially PLM rules. 2. Operating Department: - Ensure quick transportation to correct destination station. Shunting rules must be observed. Proper Vehicle Guidance to be prepared. 3. Mechanical Department :- Ensure over hauling of wagons in time and ensure all wagon are water tight, 4. Engineering Department: - Ensure proper maintenance of tracks. 5. Security Department: - More security staff to be deputed on section prone to theft. Seals to be checked regularly. 6. Stores Department :- Ensure regular and proper supply of stores required for sealing, riveting of wagons and maintaining commercial records. Time limit for settlement of Claims- 1. For – Non delivery of wagon load consignment - 6 month 2. For partial delivery of package - 4 month 3. For shortage/damages/breakages/leakage - 3 month 4. For perishables - 2 month Monetary Powers for settlement of claims:- Designation Monetary Limit General Manager Full power CCM in HAG or cordinating head or Rs. 800,000 CCO DyCCM/DyCCO Rs. 200,000 SCM Rs. 50,000 ACM Rs. 25,000 SM of Nominated stations Rs. 400 111 Settlement of Minor Claims:- Station Master of nominated station can settle claims up to ₹400/- if the consignee is of the same station. But in following conditions minor claims cannot be settled at station. 1. Consignment booked on Owner Risk Rate. 2. Claim preferred after 6 months from date of booking 3. Goods booked from Non-Government Railway. 4. Goods booked from siding. 5. Goods booked to Government, Semi Government, and Military. 6. Goods on which Percentage Charges are paid. 7. Claim for Partial Consignment. 8. Claim when goods are mis-declared. 9. Claim when remark for non-compliance of packing condition is given on RR. 10. Claims when following remarks are given RR a) Sender’s Weight Accepted. b) Said to contain 11. For Goods damaged due to the reasons given under Section 93. 12. If Goods are loaded in open wagon according to Section 104. 13. Non-compliance of special packing condition S/2. 14. In case of Diversion 15. When delivery is granted on the basis of Indemnity Note. 16. When the amount of claim is more than prevailing market rate/price. 17. When delivery is not taken up to seven days after termination of transit period. 18. When claim is demanded by the consignee on destination station, who is not the resident of such station. Procedure for settlement of minor claims:- 1. Party must give written application (format is given in time table) 2. Delivery of goods should to be taken. 3. Proper remark will be written in the delivery book. 4. Beejuck must be produced; amount of damaged goods will be assessed on the basis of beejuck. 5. If beejuck is not produced amount of claim will be 10% less than market rate. 112 6. There is a cash receipt book for minor claims. It is numbered book. It consists three copies of same number. a. Party b. Claims Department c. Record. 7. Consignee will be paid the amount of minor claims. 8. If the amount of claim amount is more than Rs. 20/- it is mandatory to affix a revenue stamp on which party’s signature will be taken. On submission of this receipt in Station Master’s Office claim amount will be received from the same station. Settlement report of minor claims:– After settlement of claims a report will be prepared in two copies, one of which will be kept as record and others will be sent to Account office along with cash receipt. Dis report – It is a printed form which is filled after goods are received partially or in damaged condition. It is of three types. 1. Dis report – A 2. Dis report – B 3. Dis report – C Dis report A - This report is called from forwarding station by claims department; this report consists of condition of goods at the time of booking, and descriptions of goods and condition at the time of dispatch. Following documents are enclosed with this report. a. Copy of Forwarding Note. b. Copy of Railway Receipt. c. Copy of DDPC and DD massage received. d. Copy of certificate issued by Train Examiner. e. Copy of loading summary f. Report of responsible employee. Dis report B - This report is called from intermediate station by claims department where goods have been handled. The report consists of condition of goods while unloading, condition of goods at the time of handling, and condition while dispatch. Following documents are enclosed along with this report. 113  a. Copy of loading summary b. Copy of DDPC and DD Massage issued c. Copy of DDPC and DD Massage received d. Copy of certificate issued by Train Examiner. e. Seal cards of wagon, if required. f. Report of responsible employee. Dis-report C- This report is sent by destination station to claim department. It is prepared in case of open & assessment delivery at destination station. Following document is enclosed with this report. a. Copy of loading summary b. Copy of Railway Receipt c. Copy of DDPC & DD Message d. Seal card of wagons when required e. Report of responsible employee. f. Open and Assessment delivery report. Railway Claims Tribunal (RCT):- 1. Railway Claims Tribunal has been established under Section 3 of Railway Claims Tribunal Act 1987. 2. It consists of one Chairman, four Vice-chairman and some member of judicial and technical members decided by Central Government. 3. The Jurisdiction, powers and authority of the claims Tribunal shall be exercised by the benches there of. 4. These are 21 benches of tribunal in India and their head quarters are as follows - Ahmedabad, Banglore, Bhopal, Bhubaneswar, Mumbai, Chandigarh, Kolkata (3), Guwahti, Erankulam, Gorakhpur, Lucknow, Jaipur, New Delhi (2), Nagpur, Gaziabad, Patna , Chennai and Secundarabad. 5. Chairman must be or has been a judge of High Court or he has worked at least for two years as Vice Chairman. Vice-Chairman must be or has been a Judge of High Court or has worked for at least five years on a Civil Judicial post. 6. Chairman Vice-Chairman and every other member shall be appointed by the President. The Chairman shall be appointed only after consultation with the Chief Justice of India 114 7. RCT shall deal with following cases- Time limit for Type of case filling case Claims against Railway Administration for loss, Within 3 years damage, deterioration or non-delivery of consignment Compensation in respect of death/injury to passengers arising out of train accidents under Within 1 year section 124/124A of Railway Act 1989 Refund of fare and freight Within 3 years 8. In each bench a Presenting Officer in J.A.Grade with assistance of Law Superintendent and Law Assistant are posted to present cases on behalf of Railway. 9. RCT shall have the power of a Civil Court. 10. An appeal against decision of RCT can be made to High Court having jurisdiction over the place where bench is located within 90 days. Railway Rates Tribunal (RRT):- Prior to independence, the functions of Rail Operation were done by private companies, as such; no special attention was paid towards railway rates. After independence, keeping in view, the interest of public and to control the improper rates Central Government has established Railway Rates Tribunal in 1949. Its Headquarter is situated in Chennai. Section – 33: Constitution:- According to this Section of Railway Act 1. The tribunal shall consist of a Chairman and two other members. 2. Chairman - A person who is or has been a judge of Supreme Court or High Court. 3. Members – One member shall; be a person who has special knowledge of the Commercial, Industrial or Economic condition of the country. Other member shall be person who has special knowledge and experience of the commercial working of the railways. 4. Tenure – The chairman and other members of the Tribunal shall hold office for five years or up to age of 65 years, whichever is earlier. 115 Section 36: According to this section RRT shall hear and decided complaints against railway administration. 1. Contravening the provision of section 70. 2. Charging for carriage any commodity between two stations at unreasonable rate. 3. Levying any other unreasonable charge. Sections 37: Following matter are not within the jurisdiction of the Tribunal. 1. Classification or re-classification of any commodity. 2. Fixation of wharfage or demurrage charges including complaints attached to such charges. 3. Fixation of fares levied for the carriage of passengers and freight levied for the carriage of luggage, parcels, railway material and military traffic. 4. Fixation of lump sum rates. Section 38: The tribunal shall have the powers of a civil court. Under these powers Tribunal can enforce the attendance of witness, compelling the discovery and production of documents and issuing summons to the customer. Section 39: As per this section Central Government may make a reference to the tribunal for Inquiry of matters mention in section 37 and tribunal will also submit a report to Central government. Section- 42- The decisions or order of the Tribunal shall be by a majority of the members sitting. This decision will be final. Section- 45- According to this section Tribunal may vary or revoke the decision. Section-46- The Tribunal may transmit any decision or order made by it to a Civil Court and Civil Court shall execute the decision as if it was decision made by that court. Section 47- The Tribunal shall present annually a report to the Central Government of all its proceedings and decision 116  The cases of revision in regards of dismissal removal or compulsory retirement of Group ‘C’ employees the General Managers will send the files and connected papers without any observation or comments. The recommendations of Tribunal are not binding to General Manager. 117