TMI Blog1967 (11) TMI 110X X X X Extracts X X X X X X X X Extracts X X X X ..... more. The facts of the case lie within a narrow compass. The Government of Gujarat gave on contract to Bharat Sewak Samai (Gujarat) the work of construction of a building for the government litho-printing press. From Exh. 20 it appears that the BSS in its turn gave that work on sub-contract to a firm known as M/s. Kaushik Co., though it was sought to make out that M/s. Kaushik Co. Were merely appointed to supervise the work. The firm Kaushik Co. consisted of two partners. The respondent who is the brother of one of the partners was looking after the construction work-. On 9-4- 62, BSS applied to the Deputy Engineer (construction sub- division, Ahmedabad) for allotment of ten tons of cement for the construction work in question. In res ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the respondent proceeded on the basis that the government had entrusted to him 100 bags of cement for the purpose of being used in the construction of the building in question, but he misappropriated forty bags out of the same. Therefore, we have to see whether the prosecution has established the entrusment pleaded and the misappropriation alleged. We were not made aware of the conditions under which the government gave the construction work to BSS. The written agreement between the government and the BSS, if there be any, has not been produced in this case. There is also no oral evidence in regard to the particulars of the agreement between the government and the BSS. Therefore we have to proceed on the basis that the contract given to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tment need conform to all the technicalities of the law of trustsee Jaswantrai Manilal Akhaney v. State of Bombay(1). The expression 'entrustment' carries with it the implication that the person handing over any property or on whose behalf that properly is handed over to another, continues to be its owner. Further the person handing over the property must have confidence in the person taking the property so as to create a fiduciary relationship between them. A mere transaction of sale cannot amount to an entrustment. It is true that the government had sold the cement in question to BSS solely for the purpose of being used in connection with the construction work referred to earlier. But that circumstance does not make the transactio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... was observed The permit was granted in accordance with the system of control established under the Defence of India (1) [1956] S.C.R. 483,498-500 1. L. R. [ 1 947] 1 Cal 97 Rules, under which an order has been issued by the Government of India preventing selling agents such as Balmer Lawrie and Company from delivering any cement except under instructions from the Government or from the Cement Adviser. 'The transaction, so far as the contractor is concerned, was one of purchase and the property in the cement clearly passed to him. No doubt he could not have obtained the permit through the Executive Engineer if it had not been intended that the cement should be used for the purpose directed by the Engineer, but, in our opinion, in no ..... X X X X Extracts X X X X X X X X Extracts X X X X
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