AMICUS AI
Citation Codes
Equivalent Citations
citation codes
Case Number
Advocates
Judges
Are you a practicing lawyer?
Enhance your digital presence and reach by creating a Casemine profile.
Upload pleading to use the new AI search
Cites
Cited by
Citation Codes
Equivalent Citations
citation codes
Case Number
Advocates
Judges
Smart Summary

Structured Summary of Judicial Opinion

Factual and Procedural Background

The applicant, The Mediator Company Ltd., is a private company registered under the Companies Act and licensed by the Corporation of Calcutta to carry on business as a travelling agent. One of its stated objects is "To act as agent of persons to procure passports, visas and repatriation certificates from appropriate authorities for travelling to foreign countries such as U.K, U.S.A, Pakistan, Burma, etc."

On 22 September 1956 the company wrote to the Visa Officer of the Government of West Bengal requesting permission "to represent our clients in visa matters and allow us to deposit the same through our authorised representatives." On 31 October 1956 the Additional Passport-cum-Visa Officer replied that the Passport Office "deals directly with applicants for passport and visa, etc. and does not accept applications through intermediaries."

The company then filed an application under Article 226 of the Constitution, claiming an infringement of its Article 19 rights to carry on business and seeking a writ of mandamus to compel the Government to permit the company to apply for and obtain visas and passports on behalf of its clients.

The opinion records a prior related application made by the company in 1956 concerning police interference with the company's agents; that earlier rule was discharged by Sinha, J. on 19 February 1957 after the Government's advocate indicated the alleged interference had been removed. In the present proceedings, the court ultimately discharged the rule and dismissed the petition, making no order as to costs and vacating any interim order.

Legal Issues Presented

  1. Whether the applicant company has a legal right to compel the Government to accept and deal with the company's authorised representatives for obtaining passports and visas on behalf of its clients (i.e., whether a third party such as the Government can be compelled to recognise an agent).
  2. Whether the Government's refusal to accept applications through intermediaries infringes the applicant's constitutional right under Article 19 to carry on the business of a travelling agent.
  3. Whether there exists a legal obligation enforceable by a writ of mandamus obliging the Government to permit the company to represent travellers in passport and visa matters.

Arguments of the Parties

Applicant's Arguments

  • The company contended that the Government's refusal to accept applications through intermediaries affected its constitutional right under Article 19 to carry on the business of agency.
  • The applicant requested a writ of mandamus under Article 226 directing the Government to permit the company to apply for and obtain visas and passports on behalf of its clients and to "do everything needful for the purpose."
  • The applicant relied upon provisions of the Indo-Pak travel scheme (cited in its letter) to justify its claim to act as an agent in visa matters.

Respondent / Government's Arguments and Evidence

  • The Passport Office of the Government of West Bengal deals directly with applicants and "does not accept applications through intermediaries" (reply dated 31 October 1956).
  • Government affidavit (Additional Passport-cum-Visa Officer) gave administrative reasons: many applicants are poor, financially unsound or illiterate and may be exploited by persons acting purely for financial consideration; dealing directly with applicants protects them from exploitation.
  • Administrative considerations included decentralisation of the passport system (opening offices at State and District Headquarters) to maintain direct touch with travellers, and the practical difficulty that bulk submissions by agents contain errors and omissions that are more efficiently corrected when applicants appear personally, avoiding delay and red-tape.
  • The Government of India issued a directive clarifying that the word "agent" in paragraph (6) of Part II of the Indo-Pakistan Passport and Visa Scheme was not intended "to create a class of intermediaries to carry on a business of obtaining passports for others on commission" (D.O. No. 57(14)|56-PSP, New Delhi, dated 3 January 1957).

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
State of Orissa v. Runala, (1952) S.C.R. 28 (Kama, C.J.) Statement that the foundation of a writ of mandamus requires a legal right; absence of a legal right defeats mandamus. The court relied on this principle to hold that because the applicant had no legal right to compel the Government to accept its agents, there was no foundation for issuing a writ of mandamus.
Tahir Hussain v. The District Board, Muzaffarnagar, A.I.R. 1954 S.C. 630 Principle concerning ultra vires nature of a by-law which goes beyond the power conferred by the parent statute (case involved prohibition rather than regulation). The court considered the case but distinguished it as inapplicable: the present matter did not involve a by-law being ultra vires a statutory power, but whether a third party can be compelled to accept an agent and whether the applicant's Article 19 right was infringed; on both points the court found against the applicant.

Court's Reasoning and Analysis

The court's analysis proceeded in a series of discrete legal and factual steps grounded in the law of agency, constitutional guarantees, the relevant travel scheme provisions, and administrative directives:

  1. Law of agency and third-party freedom: The court explained that the law of agency governs relations between agent and principal and protects third parties who choose to deal with an agent as if they had dealt with the principal. However, it expressly held that the law of agency does not compel an unrelated third party (here, a government authority) to recognise or accept an agent chosen by a principal. The third party retains the freedom to refuse to deal with intermediaries and to insist on dealing directly with the principal.
  2. Existence of a legal right as prerequisite for mandamus: Relying on the principle cited in State of Orissa v. Runala, the court stated that a writ of mandamus must be founded on an enforceable legal right. The court found no legal right in the applicant to force the Government to accept the company's authorised representatives for visa and passport transactions.
  3. Whether Article 19 was infringed: The court examined whether the Government's rule of direct dealing interfered with the essential business of the company. It concluded that the company's core business activities remained available: advising clients, assisting with forms and requirements, and accompanying clients to the passport/visa office once clients themselves satisfied necessary requirements. The Government's refusal to accept a hired, commissioned intermediary did not destroy the essential business of the travelling agent.
  4. Interpretation of the Indo-Pak travel scheme and government directive: The court analysed the relevant travel-scheme provisions. Part I, rule (h) provided that "it shall not ordinarily be necessary for an applicant for visa to appear personally," but the court held that this did not establish a right for a traveller always to appear through an agent nor a right for agents to represent travellers in every case. Part II, rule 6 allowed applications personally, by post, or "through an agent direct to the Passport Officer," but the Government of India subsequently clarified that "agent" was not intended to create a class of intermediaries obtaining passports on commission. The court interpreted these materials consistently with its view that commissioned business agents were not intended to be protected as a class with a legal right to represent travellers.
  5. Administrative rationale upheld as reasonable: The court accepted the Government's administrative reasons—protecting poor and illiterate applicants from exploitation, decentralisation to maintain direct contact with applicants, and preventing bulk agent submissions that would cause errors, delays and red-tapism—and found nothing unreasonable in those grounds for refusing to deal with intermediaries.
  6. Distinguishing cited authority: The court considered Tahir Hussain v. District Board but distinguished it on the facts and legal issue, noting that that case concerned ultra vires by-laws and was not analogous to the present question whether a third party may be compelled to accept an agent or whether the applicant's Article 19 rights were infringed.

On the combined basis that (a) there is no legal right to compel the Government to accept the company's agents, and (b) the Government's policy in practice does not affect the essential business of the travelling agent, the court concluded the applicant's claim failed.

Holding and Implications

Holding: The court discharged the rule and dismissed the petition. The court made no order as to costs and vacated any interim order.

Implications

Direct effect on the parties: The applicant's request for a writ of mandamus compelling the Government of West Bengal to accept the company's authorised representatives for visa and passport matters was refused. The Government is not legally required to accept intermediaries conducting a business of obtaining passports and visas on commission, and the applicant remains able to perform non-compelled functions of a travelling agent (advising clients, assisting with forms, and accompanying clients to the passport/visa office).

Broader precedent: The court applied established principles (including the requirement of a legal right for mandamus and the limits of the law of agency regarding third parties) and distinguished other authority cited by the applicant. The opinion does not assert a novel rule beyond these applications; the decision resolves the petition on absence of a legal right and on the factual conclusion that the company's essential business was not infringed.


Prepared from the text of the judgment delivered by P.B. Mukharji, J., as provided.

    Mediator Company Ltd. v. State Of West Bengal And Ors. Opposite Party.

    P.B Mukharji, J.:— This is an application by the Mediator Company Ltd.,. a private company one of whose objects is—

    “To act as agent of persons to procure passports, visas and repatriation certificates from appropriate authorities for travelling to foreign countries such as U.K, U.S.A, Pakistan, Burma, etc.”

    2. The company was duly registered under the Companies Act. It has also a licence from the Corporation of Calcutta to carry on the business. On the 22nd September, 1956 the company wrote to the Visa Officer of the Government of West Bengal, inter alia, on the following terms:

    “(2) That according to the Indo-Pak Visa and Passport agreement which was effective from the 15th October, 1952 published by the Publicity Department, Government of West Bengal, we are entitled to act as an agent and can procure, Visa and Passport from appropriate authorities 3”or persons intending to move between the States.

    (3) That the High Commissioner of Pakistan in India, New Delhi, permitted us to act as an agent on behalf of our clients.

    Under the above circumstances we would be highly obliged if you kindly give us permission to represent our clients in visa matters and allow us to deposit the same through our authorised representatives. Your kind accommodation will save many visa seekers from boring troubles and from unnecessary expenses.”

    3. In answer to tin's the Additional Passport-cum-Visa Officer to the Government of West Bengal replied on the 31st October, 1956 in the following terms:

    “I am directed to state that Passport Office of the Government of West Bengal deals directly with applicants for passport and visa, etc. and does not accept applications through intermediaries.”

    4. It is now the applicant's case that this affects its constitutional right to carry on the business of agency under Article 19 of the Constitution of India. The company, therefore, asks under Article 226 of the Constitution for a writ of mandamus directing the Government to grant the requisite permission to the petitioner to apply for and obtain on behalf of its clients and|or constituents visas and passports from the West Bengal Passport Office and to do everything needful for the purpose.

    5. The fundamental point is whether the applicant company can be said to have a legal right to compel the Government to allow the applicant to apply for and obtain on behalf of its clients and constituents visas and passports and to do everything needful for the purpose, as mentioned in prayer (1) of the petition. The demand of the applicant which was refused by the Government appears in the penultimate paragraph of the applicant's letter to the Visa Officer, dated the 22nd September, 1956, which I have quoted above. That was a demand for permission, to represent the applicant's clients in visa matters and to allow the applicant company to deposit the same through its authorised representatives. Now, the law of agency, as I understand, does not go so far as that. Between the agent and the principal the position is governed by the terms of the contract of agency. An agent may be the most lawful and the most complete agent for the principal. In that case the law says that the agent is almost a substitute for the principal and the third parties dealing with the agent are protected as if they have dealt with the principal. But the question is more fundamental in this case. It is this: Does the law of agency go further and say that the outside world of the third party is compelled to recognise a lawful agent? I do not think the law of agency imposes such a compulsion as it cannot because the third party is not bound by the private arrangement made between the agent and his principal. The third party may certainly have the freedom to accept the agent, in which event the law gives him the protection which I have said. But that is very far from saying that the law will compel a third party to accept the agent. He is always free to say that he will not deal with agents, brokers or intermediaries but deal direct with the principal.

    6. This leads to the consideration of the basic question in this application whether there is at all any infringement of the applicant's right to carry on the business as guaranteed by Article 19 of the Constitution of India. The Government's method of directly dealing with the travellers in matters of passport and visa in respect of Indo-Pak travelling and not to accept applications from intermediaries does not at all affect the essential business of the applicant company. The applicant company can still act as the travelling agent for its clients and constituents. As travelling agent the applicant company can still advise its constituents and clients, help them with necessary details of passport and visa forms, inform them what rules and regulations they have to satisfy and then when the travellers have done all that is required of them to do, the applicant company can take them to the passport office or the visa office. All that business which is essential business of the company remains unaffected. The only effect of the Government not dealing with the intermediaries but dealing with travellers direct in Indo-Pakistan travelling is that the Government does not recognise the agent of the travellers, specially an agent who is a hired agent in the sense of carrying on a business of agency for paid consideration. I am therefore bound to hold that essentially applicant's business of travel agency is not at all affected by the Government's order as communicated in its letter of the 31st October, 1956.

    7. I should, therefore, hold that there is no legal right on the part of the applicant company to compel the Government to accept the company's representation for its clients and constituents and that there is no legal obligation on the part of the Government which I can enforce by a writ of mandamus. In fact, there is no legal right which is the foundation for this writ of mandamus as pointed out by Kama, C.J, in the Supreme Court decision of the State of Orissa v. Runala (1) reported in 1952 S.C.R 28 at page 33. I must also hold that actually in point of fact no real business of the applicant company as travelling agent is at all affected by that Government order. Therefore this application must fail first on the point of absence of legal right and secondly on the ground that in fact and in essence there is no infraction of the applicant company's right to carry on the business of travelling agent.

    8. The Indo-Pak travel scheme to which the applicant company itself referred in its letter of demand dated the 22nd September, 1956 and addressed to the Visa Officer of the Government of West Bengal provides in Part I, rule (h) as follows:

    “it shall not ordinarily be necessary for an applicant for visa to appear personally before the visa issuing authority in order to obtain a visa”

    9. This exempts travellers from personal appearance and that also ordinarily. It does not follow from this rule chat a traveller may claim as of right to appear always through an agent, still less it does not follow that a travelling agent apart from the travellers can claim a right to represent the traveller in every case.

    10. Part II of the same travelling scheme which incidentally was published by the Government of West Bengal, Home Department, Politics (C.R) and came into force on the 1.5th October, 1952 provides in rule 6 as follows:

    “Application for a passport may either be made personally or by post or through an agent direct to the Passport Officer attached to the Provincial Government concerned, etc……….”

    11. On this point the Government of India issued a directive to all State Governments. This will be found in the Government of India, Ministry of External Affairs, D.O No. 57(14)| 56-PSP, New Delhi, dated the 3rd January, 1057 dealing with the subject of prohibition of agents for securing Indian Pakistan Passports and Visas. The relevant portion of that directive is as follows:

    “The word ‘agent’ used in paragraph (6) of Part II of the Indo-Pakistan Passport and Visa Scheme is not intended to create a class of intermediaries to carry on a business of obtaining passports for others on commission.”

    12. It will appear, therefore, that the word ‘agent’ in paragraph (6) of that Indo-Pakistan Travel Scheme means not a hired agent or a commissioned business agent. The reason for putting this restriction appears from paragraphs 5(ii) and 5(iii) of the affidavit of the Additional Passport-cum-Visa Officer of the Government of West Bengal filed in these proceedings. In substance that reason may be briefly stated. It is said that experience has shown that majority of the applicants for such passports and visas are extremely poor and financially unsound and a large percentage of them are so illiterate that they cannot even affix their thumb impressions on the passports and visas, etc. The Government, therefore, felt that these people should not be allowed to be exploited by any person or group of persons acting purely on financial consideration.

    13. It was, therefore, in the interest of these people and in order to remove all difficulties and to maintain direct touch with the travellers that the Government of West Bengal with the object of decentralisation of the Indo-Pakistan Passport system have opened offices both at the State and the District Head Quarters as far as possible. Another administrative reason is also put for-word by the Government. It says that common experience of the Government has been that the application presented by these travellers for visas or passports contain errors and omissions and the necesary documents, namely, the visas or the passports cannot be issued without rectifying such errors or omissions. If they are pointed out to the applicant himself then they can be rectified immediately and the necessary document issued to the applicant without delay. But if the applications are submitted in bulk by agents it would not be possible to scrutinise the whole lot and the result would be delay and red-tapism I do not see anything unreasonable in the view based on such reasons.

    14. This company made a previous application under Article 226 of the Constitution in 1956. At that time the company's complaint was that the agents of the company assembled in front of Pakistan Visa Office were interfered with by the police. The application ultimately fizzled out because it is said that the advocate for the Government stated that the police interference, if it could be called an interference, had been completely removed. Sinha, J. who ultimately discharged the Rule on the 19th February, 1957, observed that the counsel for the applicant company then tried to use this very ground, which he has used now in the present petition. Sinha, J. did not deal with that point because that was not a ground in the petition at that time.

    15. It appears to me plain that travelling agents throughout the world have to work under the Government rules and regulations in respect of Passports and Visas prevailing in the country and the fact that a company is incorporated, registered or licensed to carry on a business as travelling agent could not by itself give it a legal light to represent travellers for visas and passports if the Government of the country concerned does not deal with agents but deal with travellers directly. Under the law of agency, as I understand and as I have discussed above, I do not think that the Government is at all bound in any way or compelled in law to accept an agent for the travellers.

    16. In conclusion a brief reference to the case of Tahir Hussain; v. The District Board, Muzaffarpur, Muzaffarnagar, (2) reported in A.I.R, 1954 S.C, 630 is necessary because it was cited by the learned advocate for the applicant. That was a case of bye-law under U.P District Boards Act prohibiting the holding of a market. The question there in the Supreme Court was, as pointed out by Ghulam Hasan, J., who delivered the judgment in that case, whether the bye-law could be said to be in conformity with the U.P District Boards Act. The District Boards Act in that case said that the by-law could only be made for regulating” markets but the impugned bye-law in that case instead of regulating the market completely prohibited the holding of the market and that was said to be ultra vires the section of the Act. This case or its principle, to my mind, has no application to the point involved here. Here it is not a question of any particular bye-law being ultra vires the Statute under which the power to make bye-law is given. Here it is a question whether a third party can be bound to accept an agent and secondly whether there is at all any infringement of the applicant's right to conduct the business of travelling agent. On both these points I am bound to find against the applicant.

    17. For these reasons I discharge the Rule and dismiss the petition, but I make no order as to costs.

    18. Interim order, if any, is vacated.

    S.K.B

    Use AI to get other relevant cases.

    Comments

    Mediator Company Ltd. v. State Of West Bengal And Ors. Opposite Party.
    (Apr 18, 1958)