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The landmark Supreme Court decision in Kasturi Lal Ralia Ram Jain v. State of Uttar Pradesh (AIR 1965…

In Kasturi Lal Ralia Ram Jain v. State of Uttar Pradesh (1965) 1 SCR 375, police negligence in the custody of seized gold caused the loss. The Constitution Bench held that…

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The landmark Supreme Court decision in Kasturi Lal Ralia Ram Jain v. State of Uttar Pradesh (AIR 1965 SC 1039) relates to:

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Answer and explanation

Correct answer C

In Kasturi Lal Ralia Ram Jain v. State of Uttar Pradesh (1965) 1 SCR 375, police negligence in the custody of seized gold caused the loss. The Constitution Bench held that the State was not liable in that civil suit because the relevant statutory police powers were treated as sovereign powers. Later Supreme Court decisions have substantially limited the reach of that immunity.

Option feedback

Option A

Incorrect. The claim concerned the State's responsibility for loss caused by negligent police custody, not personal fraud outside employment.

Option B

Incorrect. The claim sounded in tort under Article 300, rather than enforcement of a government contract under Article 299.

Option C

Correct. The Constitution Bench considered the State's vicarious liability for its employees' negligence and upheld a sovereign-power defence on the facts.

Option D

Incorrect. The case concerned police custody of seized property, not a private hazardous enterprise.

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