Section 66: Power to require statement relating to the description of goods

(1) The owner or a person having charge of any goods which are brought upon a railway for the purposes of carriage by railway, and the consignee or the endorsee of any consignment shall, on the request of any railway servant authorised in this behalf, deliver to such railway servant a statement in writing signed by such owner or person or by such consignee or endorsee, as the case may be, containing such description of the goods as would enable the railway servant to determine the rate for such carriage.

(2) If such owner or person refuses or neglects to give the statement as required under sub-section (1) and refuses to open the package containing the goods, if so required by the railway servant, it shall be open to the railway administration to refuse to accept such goods for carriage unless such owner or person pays for such carriage the highest rate for any class of goods.

(3) If the consignee or endorsee refuses or neglects to give the statement as required under sub-section (1) and refuses to open the package containing the goods, if so required by the railway servant, it shall be open to the railway administration to charge in respect of the carriage of the goods the highest rate for any class of goods.

(4) If the statement delivered under sub-section (1) is materially false with respect to the description of any goods to which it purports to relate, the railway administration may charge in respect of the carriage of such goods such rate, not exceeding double the highest rate for any class of goods as may be specified by the Central Government.

(5) If any difference arises between a railway servant and such owner or person, the consignee or the endorsee, as the case may be, in respect of the description of the goods for which a statement has been delivered under sub-section (1), the railway servant may detain and examine the goods.

(6) Where any goods have been detained under sub-section (5) for examination and upon such examination it is found that the description of the goods is different from that given in the statement delivered under sub-section (1), the cost of such detention and examination shall be borne by such owner or person, the consignee or the endorsee, as the case may be, and the railway administration shall not be liable for any loss, damage or deterioration which may be caused by such detention or examination.

Simplified Explanation

Section 66 of the Railways Act, 1989, empowers railway authorities to request detailed descriptions of goods being transported, particularly to determine the correct carriage rates. It outlines the responsibilities of the consignor, consignee, and endorsee in providing accurate information and the consequences of providing false information or failing to cooperate with the railway’s requests.

Key Provisions:

1. Requirement to Provide a Statement (Sub-section 1):
   • The owner or person in charge of goods, as well as the consignee or endorsee of a consignment, must, when requested by a railway servant, deliver a written statement describing the goods.
   • The description provided must enable the railway servant to determine the correct rate for transporting the goods. This ensures that the correct charges are applied based on the nature of the goods being carried.
2. Refusal to Provide a Statement (Sub-sections 2 & 3):
   • If the owner or person in charge of the goods refuses or neglects to provide the required description and also refuses to open the package containing the goods when requested, the railway administration has the right to:
     • Refuse to accept the goods for carriage, unless the highest applicable rate for any class of goods is paid.
   • Similarly, if the consignee or endorsee refuses to provide the description or open the package, the railway administration may charge the highest rate for any class of goods for transporting the goods.
3. Consequences of False Information (Sub-section 4):
   • If the description provided in the statement is materially false (i.e., significantly incorrect or misleading) concerning the goods, the railway administration has the authority to charge up to double the highest rate for any class of goods.
   • This is a penalty aimed at deterring dishonesty in the declaration of goods and ensures that railway authorities are compensated for potential misclassification of goods.
4. Examination of Goods (Sub-section 5):
   • In case of a dispute or difference regarding the description of the goods, the railway servant has the authority to detain and examine the goods to verify their nature and description.
   • This provision ensures that the railway administration can resolve any ambiguity regarding the nature of the goods and the applicable rates.
5. Cost of Detention and Examination (Sub-section 6):
   • If the goods are detained for examination and it is found that the description provided in the statement was incorrect, the owner, consignee, or endorsee will be responsible for the cost of detention and examination.
   • The railway administration will not be liable for any loss, damage, or deterioration caused by the detention or examination process, as the responsibility falls on the party who provided the false or misleading description.

Practical Implications:

• Ensuring Accurate Classification of Goods: The requirement to provide a clear and accurate description of goods allows the railway administration to properly classify and charge the correct rate for their transportation. This also helps prevent fraud or misclassification, where goods might be declared as lower-class items to pay a lesser fare.
• Penalties for False Statements: The provision for charging double the highest rate for materially false descriptions acts as a deterrent against misrepresentation. This protects the interests of the railway system and ensures fair charging practices.
• Detention for Examination: In cases where there is a discrepancy in the description of goods, the ability of the railway authorities to detain and examine the goods ensures that the correct rate is charged, and any potential issues can be resolved promptly.

Examples:

• Example 1: A consignor provides a description of goods as “household furniture” when, in reality, the goods are high-value electronics. The railway administration later finds the discrepancy, and the consignor is required to pay double the highest rate for the misrepresented goods.
• Example 2: A consignee refuses to provide a detailed description of the goods and refuses to open the package when asked. The railway administration charges the highest rate for the carriage of goods, ensuring that it is compensated fairly.
• Example 3: A consignor provides a false description in the forwarding statement about the weight of the goods, and during examination, it is found that the goods weigh more than reported. The consignor will have to bear the costs of the detention and examination, and the railway administration will not be held liable for any damage that occurs during this process.

Conclusion:

Section 66 of the Railways Act, 1989, is designed to ensure accurate classification and correct charging for the carriage of goods. By requiring consignors, consignees, and endorsees to provide detailed descriptions and penalizing false declarations, it helps maintain transparency and fairness in the transportation process. The ability of railway authorities to examine and detain goods for verification also adds a layer of security, ensuring that the goods are properly categorized and charged according to their actual nature.