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Citation Codes
Equivalent Citations
citation codes
Case Number
Disposition
Advocates
Judges
Acts
  • Section 68-D of the Act 4 of 1939
  • Section 102 of The Motor Vehicles Act, 1988
  • Section 102(2) of the Act
  • Section 68-C, Section 68-D(3), Section 68-FF read with Section 2(28-A) of the Act 4 of 1939
  • Section 99 of The Motor Vehicles Act, 1988
  • Section 5, Subsection 2 of the 1983 Income Tax Act
  • Chapter IV-A of Act 4 of 1939
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Cites
Cited by
Citation Codes
Equivalent Citations
citation codes
Case Number
Disposition
Advocates
Judges
Acts
  • Section 68-D of the Act 4 of 1939
  • Section 102 of The Motor Vehicles Act, 1988
  • Section 102(2) of the Act
  • Section 68-C, Section 68-D(3), Section 68-FF read with Section 2(28-A) of the Act 4 of 1939
  • Section 99 of The Motor Vehicles Act, 1988
  • Section 5, Subsection 2 of the 1983 Income Tax Act
  • Chapter IV-A of Act 4 of 1939
Smart Summary

Factual and Procedural Background

The petitioners (in several writ petitions) and the appellants (in a connected appeal) sought permission to operate their stage carriages on certain routes that intersect already notified routes. These routes had been nationalised under Chapter IV-A of the Motor Vehicles Act, 1939, and the schemes had become final. During the pendency of the proceedings, the State Government issued a notification dated 21-2-1991 under Section 102(2) of the Motor Vehicles Act, 1988 (now governing nationalised schemes through Chapter VI) relaxing the scheme to permit private operators to ply up to 25 kilometres on a notified route, subject to stringent conditions (e.g., no picking up or setting down passengers on the notified stretch).

The Court, by order dated 1-11-1995, directed the State to place on record whether the draft modification had been duly approved and published and to file an affidavit explaining the necessity for the modification. An additional affidavit by the Regional Transport Officer, Indore, confirmed the limited relaxation and asserted that the petitioners did not qualify for the benefit. All writ petitions and the appeal were heard together and disposed of by a common judgment.

Legal Issues Presented

  1. Whether, in view of the State Government’s notification relaxing the nationalised scheme by permitting private operators to ply up to 25 kilometres on a notified route, the petitioners/appellants are entitled to operate their vehicles on the notified routes beyond, or in a manner inconsistent with, the conditions specified in the modified scheme.
  2. Whether the Court can grant direct relief to the petitioners/appellants to operate on the notified routes or whether such claims must be determined by the Regional or State Transport Authorities (RTA/STA) after notice to the State Transport Undertaking.

Arguments of the Parties

Petitioners’/Appellants’ Arguments

  • Relying on the 21-2-1991 notification, counsel (Shri Gambhir) contended that the modification under Section 102(2) allows private operators to ply up to 25 kilometres on notified routes, entitling all petitioners to the benefit of that relaxation.

State/Respondent’s Position

  • Through the affidavit of the Regional Transport Officer, the State asserted that the relaxation is strictly limited: private operators may intersect a notified route only up to 25 kilometres, cannot pick up or set down passengers on the notified stretch, and must satisfy all other conditions enumerated in the modified scheme. The petitioners do not fulfil those conditions and therefore cannot claim any right to ply.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Adarsh Travels Bus Service v. State of U.P., (1985) 4 SCC 557 (Constitution Bench) Once a scheme is published under Section 68-D (now analogous to Chapter VI), no private operator may ply on a notified area/route except as expressly permitted by the scheme itself. The Court relied on this principle to emphasise that any “relaxation” must be confined to what the modified scheme explicitly allows; private operators cannot operate on notified routes on the strength of their original permits alone.

Court’s Reasoning and Analysis

1. The Court reaffirmed the constitutional bench ruling in Adarsh Travels: nationalisation freezes the route in favour of the State Transport Undertaking (STU) and bars private operators unless the scheme itself contains a specific relaxation.

2. The 21-2-1991 notification is a valid modification under Section 102(2) because (i) it was approved and published in the Gazette, and (ii) it serves public interest by meeting additional transport demand.

3. The notification permits intersection only up to 25 kilometres and imposes conditions such as a ban on picking up or setting down passengers on the notified segment. The relaxation is intended to “subserve public interest, not to sabotage the approved scheme.”

4. Because the petitioners seek relief beyond—or inconsistent with—the narrow corridor exemption, the Court held that it cannot grant them such relief in writ jurisdiction.

5. Any claim that a particular private operator satisfies the modified scheme must be examined administratively by the RTA/STA after giving notice to the STU and other stakeholders.

Holding and Implications

Writ petitions and the connected appeal are DISMISSED. No order as to costs.

Implications: The decision maintains the integrity of nationalised transport schemes by insisting that private operators adhere strictly to the terms of any notified relaxation. The Court left open the opportunity for operators to approach the RTA/STA, but set no new precedent beyond reaffirming existing constitutional bench authority.

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    Afsar Jahan Begum (Smt) And Others v. State Of M.P And Others

    Order

    1. Substitution allowed in WP (C) No. 8330 of 1981.

    2. All these writ petitions and appeal are disposed of by common judgment since common question of law arises for decision in these cases.

    3. Admittedly, the routes on which the petitioners/appellants are seeking to intersect and ply their vehicles are notified routes. The notified routes were published and became final under Chapter IV-A of Act 4 of 1939. The Motor Vehicles Act, 1988 introduced Chapter VI as a special provision relating to the State transport undertakings. Section 99 authorises preparation and publication of the proposal regarding road transport service of a State transport undertaking. Section 102 deals with cancellation or modification of the schemes. It provides that the State Government may, at any time, if it considers necessary in the public interest so to do, modify any approved scheme after giving: (i) the State transport undertaking; and (ii) any other person who in the opinion of the State Government is likely to be affected by the proposed modification an opportunity of being heard in respect of the proposed modification.

    4. Under sub-section (2), the State Government shall publish the modification proposed under sub-section (1) in the State Gazette and in one of the newspapers in the regional languages circulating in the area in which it is proposed to be covered by such modification together with the date not being less than 30 days from the publication in the official gazette, the time and place at which any representation received in this behalf will be heard by the State Government.

    5. While the appeals are pending, when it was brought to our notice that a proposal has been made by the State Government for modification of the approved schemes, by our order dated 1-11-1995, we have ordered that the learned counsel appearing for the State should verify and place before the Court whether the draft modification has been approved and published as required under Section 102(2) of the Act and also to file an affidavit by a competent and responsible officer of the necessity to introduce the modification of the approved schemes and the action taken thereon. Pursuant thereto, the additional affidavit has been filed by K.K Tiwari, RTO, Indore who has stated that the Government by notification dated 21-2-1991 relaxed only to a distance of 25 kms on the nationalised route to private operators under certain conditions and restrictions. The appellants are not entitled to the benefit of those corridor shelters now given under the modified scheme and relaxation granted under Section 102(2) of the Act. The petitioners, therefore, cannot claim the benefit of relaxation. They have stated in the notification thus:

    “And, whereas, the State Government in view of additional demand of transport services considers necessary in the public interest to allow private operators to ply on hire or reward stage carriages on routes covered by the said Schemes and for that purpose desires to modify all the said Schemes in the manner as shown in the Schedule below;

    Schedule

    In each of the said Schemes, the following words, figures and brackets shall be added at the end, namely:
    ‘Notwithstanding anything contained in this Scheme, the private operators may be permitted to ply stage carriages for hire or reward subject to the following conditions, namely:
    (1) Limit of exemption on notified route shall not exceed 25 kilometres.
    (2) The private operators shall ply the stage carriages over the distance, other than the distance of the notified routes which shall not be less than twice, the distance of the notified route covered by the permit;
    (3) Calculations of limit of exemption of 25 kilometres on notified route shall be made on the basis of total;
    (4) This exemption shall be applicable to notified routes under all Schemes, even though the Schemes might have been implemented after 1979;
    (5) The private operators shall not pick up or set down passengers on the notified route.’ ”

    6. In Adarsh Travels Bus Service v. State of U.P (1985) 4 SCC 557 a Constitution Bench of this Court considered Sections 68-C, 68-D(3) and 68-FF read with Section 2(28-A) of the Act 4 of 1939 and had held that:

    “… once a scheme is published under Section 68-D in relation to any area or route or portion thereof, whether to the exclusion, complete or partial of other persons or otherwise, no person other than the State Transport Undertaking may operate on the notified area or notified route except as provided in the scheme itself. A necessary consequence of these provisions is that no private operator can operate his vehicle on any part or portion of a notified area or notified route unless authorised so to do by the terms of the scheme itself. He may not operate on any part or portion of the notified route or area on the mere ground that the permit as originally granted to him covered the notified route or area.”

    7. In this view of the matter, the only relaxation from the frozen notified route or area from the scheme is, as provided in the scheme itself. Every operator on any route intersecting the notified route, has, of necessity, to ply the vehicle strictly in conformity with the restrictive corridor shelter and no more. The relaxation is not meant to sabotage the approved scheme but to subserve public interest.

    8. Shri Gambhir, learned counsel contended that in view of the relaxation up to a distance of 25 kms been provided in the scheme as modified and notified under Section 102(2) of the Act, all the petitioners are entitled to ply in the terms thereof. We cannot give any direction or relief to the petitioners in these writ petitions. It is seen that the Government having approved the routes, have exercised the power under Section 102(2) of the Act and given benefit by intersecting the approved routes only up to a distance of 25 kms without picking up or setting down the passengers on the notified route, strictly subject to the terms and conditions mentioned therein. Under those circumstances, the petitioners cannot be given any relief. But if they have any right under the modified scheme, then that would be a matter appropriately to be gone into by the RTA or STA, as the case may be, after due notice to the State Transport Undertaking and all other interested persons.

    9. The writ petitions are accordingly dismissed. Consequently, the appeal is also dismissed. No costs.

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    Afsar Jahan Begum (Smt) And Others v. State Of M.P And Others
    (Jan 11, 1996)