Food Corporation Of India & Ors vs Vikas Majdoor Kamdar Sahkari Mandli Ltd

The Supreme Court upheld the Gujarat High Court's decision to partly decree the respondent's suit for recovery of Rs.68,02,973 from the Food Corporation of India under the provisions of the contract. The Court found that the respondent was entitled to enhanced transportation charges due to the increased workload beyond the contracted amount, establishing that the Corporation's actions in withholding payments were unjustified. The Court affirmed the lower court's award of interest at 6% per annum on the decreed amount.