THE STEEL AUTHORITY OF INDIAAND ORS. vs NEW MARINE COAL CO. (PVT.) LTD.

The Supreme Court held that the appellants were entitled to adjust over-payments made for Grade-I coal against future supplies of Grade-II coal, as per the agreement between the parties. The Court found that the plaintiff had committed fraud by collecting payments for Grade-I coal while supplying Grade-II coal. The High Court's dismissal of the appeal was set aside, and the matter was remitted to the trial Court for further proceedings to determine the rights of the parties and allow the appellants to present additional evidence.