Supreme Court of India
A. VISWANATHANversusSTATE TRANSPORT APPELLATE TRIBUNAL, PONDICHERRY & ANOTHER
- Citation
- 1987 INSC 35
- Decided
- 6 February 1987
- Disposal
- Disposed off
- Bench
- E S VENKATARAMIAH
Holding
A temporary permit under section 62 may be granted only once for a period not exceeding four months for the limited purposes enumerated, cannot be repeatedly issued or renewed, and the State Transport Authority’s practice of issuing such permits for years was unlawful, leading to the affirmation of the Tribunal’s order.
Summary
The appellant, A. Viswanathan, challenged the State Transport Appellate Tribunal’s order that set aside his temporary stage‑carriage permit on the Pondicherry‑Madras route and granted it to another party. The Court examined whether a Regional Transport Authority could repeatedly issue temporary permits under section 62 of the Motor Vehicles Act, 1939, which are limited to four months and specific purposes, and whether such permits could be renewed or revalidated. It also considered the constitutional validity of the reservation provisions for Scheduled Castes and Scheduled Tribes introduced by section 47(1A) of the Act. The Court held that the authority’s practice of issuing temporary permits for years violated the statutory limits and that the reservation scheme is constitutionally valid under Article 15(4) and Article 46. Consequently, the Tribunal’s order was upheld and the appeal dismissed.
Issues considered
- Whether a Regional Transport Authority may repeatedly issue temporary permits for the same route beyond the four‑month limit under s.62 of the Motor Vehicles Act.
- Whether a temporary permit can be renewed, revalidated, or extended beyond the period prescribed in s.62.
- Whether the reservation of stage‑carriage permits for Scheduled Castes and Scheduled Tribes under s.47(1A) is constitutionally valid.
- Whether the State Transport Authority’s failure to issue regular permits while issuing temporary permits repeatedly violates the Act.
- Whether the Tribunal’s order setting aside the temporary permit is legally sustainable.
Legislation cited
- Motor Vehicles Act, 1939s. 42, s. 44, s. 46, s. 47, s. 57, s. 58, s. 62
- Motor Vehicles (Amendment) Act, 1978s. 47(1A)
Subjects
Motor Vehicles Acttemporary permitstage carriagereservationScheduled CastesScheduled Tribespublic interesttransport authorityArticle 15Article 46permit renewal
Judgment
•
A. VISWANATHAN
A
v.
STATE TRANSPORT APPELLATE TRIBUNAL,
"of PONDICHERRY & ANOTHER
'
FEBRUARY 6, 1987
B
[E.S. VENKATARAMIAH, G.L. OZA AND M.M. DUTT, JJ.]
Motor Vehicles Act, 1939: Sections 46, 57, 62 & 47(1A)-lssue of
~ temporary permits by R. T.A. repeatedly for a long number of years-
Whether permissible-Temporary permits to be effective for limited
-= y period of 4 months-Stage carriage permits-Reservation for Scheduled
Castes, Scheduled Tribes-Constitutionally valid.
c
Respondent No. I-State Transport Appellate Tribunal set aside
·-t a temporary permit to ply a stage carriage on the Pondicberry-Madras
route issued under s.62 of the Motor Vehicles Act, 1939 in favour of the
appellant, and granted it in favour of respondent no. 2 for the remain- D
ing period of the temporary permit. Hence this appeal by sptcial leave.
The Court found that the period of temporary permit having come to an
end, no further orders are necessary as regards the person who could
operate a stage carriage under that permit.
. ..I The Union Territory of Pondicherry, after the lapse of 7 years E
from the date of the amendment of section 47 of the Act, issued rules on
12.6. 1985 regarding reservations to be made in favour of persons be-
longing to Scheduled Castes and Scheduled Tribes under Section 47( IA)
of the Act. Having regard to the slackness that is creeping into the
manner in which the provisions of the Act regarding reservation of
certain percentage of stage carriage permits to be made in favour of F
' persons belonging to Scheduled Castes Scheduled Tribes, and issue of
temporary permits are being administered by some Transport Autho-
rities, this Court,
HELD: I.( I) Section 47 of the Act deals with the procedure to be
followed by a Regional Transport Authority. In considering an applica- G
lion for a stage carriage permit the Regional Transport Authority
should have due regard to the following matters, namely: (a) the in-
.~ terest of the public generally; (b) the advantage to the public of the
service to be provided, including the saving of time likely to he effected
thereby and any convenience arising from journeys not being broken;
(c) the adequacy of other passenger transport services operating or H
179
180 SUPREME COURT REPORTS [1987] 2 S.C.R.
likely to operate in the near future, whether by road or other means,
A
between the places to be served; (d) the benefit to any particular locality
or localities likely to be afforded by the service; (e) the operation by the
applicant of other transport services, including those in respect of
which applications from him for permits are pending; and (I) the condi-
tion of the roads includ,ed in the proposed route or area. It should also
B take into consideration any representations made by persons already
providing passenger transport facilities by any means along or near the
proposed route or area, or by any association representing persons
interested in the provision of road transport facilities recongnised in
this behalf by the State Government, or by any local authority or police
authority within whose jurisdiction any part of the proposed route or
area lies. Thus the paramount consideration that should govern the
c decision of a Regional Transport Authority in issuing a permit to run a
stage carriage is the interest of the general publice. [183E-H; 184A-B]
1.(2) It was felt th"t the permits for plying stage carriages in India
were being cornered by persons belonging to richer and more advanced
D classes in society, and persons belonging to the Scheduled Castes,
Scheduled Tribes and other economically weaker sections of the com-
munity were not able to compete with people who were rich and more
advanced. Parliament th:erefore amended section 47 of the Act by intFo-
ducing provisions for making reservation of certain percentage of stage
carriage permits to persons belonging to Scheduled Castes, Scheduled
E Tribes and economically weaker sections of the community, viz Section
47( IA). The reservation made in favour of the Scheduled Castes and
Scheduled Tribes is protected by clause(4) of Article 15 of the Constitu-
tion oflndia. [184B-D; G]
1.(3) If stage carriage permits are to be issued then in compliance
F with sub-section( lA) of Section 47 of the Act certain percentage of the
said permits would have to be reserved for the persons belonging to
Scheduled Castes, Sched10led Tribes and if the Government so desires to
the economically weaker sections of the community. If the issue of such
permits is postponed for any reason and only temporary permits are
issued then the persons belonging to Scheduled Castes, Scheduled
G Tribes and the weaker sections would not be able to enjoy the benefit of
the reservations. [186H; 187A-Bl
In the instant case, it is regrettable that for some reason or other
the State Transport Authority of Pondicherry has not taken steps to
issue regular permits on 18 routes in respect of which it has entered into
H inter-State agreements with the State of Tamil Nadu even though the
A. VISWANATHAN v. S. T. APP. TRIL. 181
need for issuing those permits is beyond dispute. But, on the other hand
A
for nearly six years, the State Transport Authority of Pondicherry is
l issuing temporary permits under s.62 of the Act repeatedly in respect of
the routes. The disadvantages suffered by the persons belonging to the
Scheduled Castes, Scheduled Tribes and the economically weaker sec-
tions of the community by the procedure adopted by the State Trans-
port Authority are obvious. [186F-H] B
2( 1). Under section 62 of the Act it is permissible to a Regional
Transport Authority to issue temporary permits to be effective for a
limited period not exceeding four months without following the proce-
dure laid down in s.57 of the Act. Such temporary permits can be issued
only for the conveyance of pas5engers on special occasions such as to
and from fairs and religious gatherings or for the purposes of a seasonal
c
business or to meet a particular temporary need or pending decision on
an application for the renewal of a permit. The Regional Transport
Authority cannot grant a temporary permit for a route or area specified
in an application for grant of a new permit under s.46 or s.54 of the Act
during the pendency of the application. That section further provides D
that a temporary permit issued under that section shall in no case be
granted more than once in respect of any route or area specified in an
application for the renewal of a permit during the pendency of such
.-<. application for renewal. A temporary permit can thus be granted only if
the permit is required for the purposes or reasons mentioned in clauses
(a) to (d) of s.62( I) of the Act or in the circumstances referred to in E
sub-section(2) thereof. l188F-H; 189A-B]
2(2). There cannot be also a renewal or revalidation of a tern-
-',._/ porary permit. The revalidation or renewal of a temporary permit or
' exension of the period for which a temporary permit is issued is not
\ contemplated by law. l189C-D l F
In the instant case, the action taken by the State Transport
Authority in issuing temporary permits repeatedly for a long number of
years is clearly in violation of the letter and spirit of section 62 of the
Act. [I89D]
G
Andhra Pradesh State Road Transport Corporation v. K.
Venkataramireddy and Others, [ 1971] 3 S.C.R. 803 and Gandhara
Transport Co. Ltd. v. The State of Punjab and others, [ 1963] Supp. I
S.C.R. 800, followed.
3( I) The Regional Transport Authority which is charged with the H
182 SUPREME COURT REPORTS [1987] 2 S.C.R.
A duty of issuing permits for transport vehicles under the Act in the
public interest should wherever it finds that the need for issuing such
stage carriage permit is established take immediate steps to invite appli-
cations from persons who are willing to run the stage carriage on the
route or in the area in question and proceed to grant the permit in
favour of a deserving applicant. If any person on his own makes appli-
B cation for the grant of a stage carriage permit, the Regional Transport
Authority should consider such application in accordance with law and
proceed to grant a permit if it fmds that it is necessary to do so. II89D-F]
3(2) If a regular 11ermit is issued it would be in force for a period
not less than three years and not more than five years as may be
C determined by the Regional Transport Authority and such permit is
capable of being renewed under section 58 of the Act. But, if the
Regional Transport Authority proceeds to issue a temporary permit
then at the end of every four months, it will have to spend time over the
consideration of fresh a]~plications for the issue of such permits and it is
neeedless to say that the necessity for making applications at the end of
D every four months woulld entail many undesirable consequences which
should be avoided. II89lf-H]
CIVIL APPELLATE JURISDICTION: Civil Appeal No. 1522
of 1986.
E From the Judgment and Order dated 3.4.1986 of the State Trans-
port Appellate Tribunal, Pondicherry in M. V.A. No. 15 of 1986.
R. Venkataramani for the Appellant.
'....._.-' -
K.R. Nambiar and S. Srinivasan for the Respondents. i
I
F
The Judgment of the Court was delivered by,
VENKA TARAMIAH, J. This appeal by special leave is filed
against the order dated April 3, 1986 passed by the State Transport
Appellate Tribunal, Pondicherry (hereinafter referred to as 'the
G Tribunal') setting aside a temporary permit to ply a stage carriage
issued in favour of the appellant in respect of the route Pondicherry to !--
Madras via Thirukanur, Vikaravandi, Tindivanam and Chingleput
under section 62 of the Motor Vehicles Act, 1939 (hereinafter referred
to as 'the Act') and granting it in favour of Respondent No. 2 A.
Balasundaram for the remaining period of the temporary permit, i.e.,
H upto May 31, 1986. The period of the temporary permit having come
A. VISWANATHAN v. S. T. APP. 1RIL. [VENKATARAMIAH, J.] 183
to an end no further orders are necessary as regards the person who
I could operate a stage carriage under that permit. This appeal could
A
have been disposed of with this observation but we are compelled to
pronounce a detailed order in this case having regard to the slackness
that is creeping into the manner in which the provisions of the Act are .
being administered by some transport authorities.
B
1 Chapter IV of the Act deals with the control of transport
vehicles. Section 42 of the Act lays down that no owner of a transport
. vehicle shall use or permit the use of the vehicle in any public place
-~ whether or not such vehicle is actually carrying any passenger or goods
save in accordance with the conditions of a permit granted or
countersigned by a Regional or State Transport Authority of the
Commission authorising the use of the vehicle in that place in the
c
"f manner in which the vehicle is being used. Section 44 of the Act
provides for the constitution of the State Transport Authority and the
Regional Transport Authorities to exercise and discharge the respec·
tive powers assigned to them under the Act. The said Chapter contains
the provisions under which permits may be issued by the Regional D
Transport Authority for running a stage carriage, a contract carriage, a
private carrier and a public carrier. It also provides for the issue of
permits valid for the whole or any part of India for running tourist
....\, vehicles. Chapter IV contains the provisions regarding the manner in
which the applications have to be made for different kinds of permits
and the procedure that has to be followed in each case for granting E
such permits. Section 47 of the Act which is in Chapter IV deals with
the procedure to be followed by a Regional Transport Authority. In
considering an application for a stage carriage permit the Regional
'">- . Transport Authority should have due regard to the following matters,
,\ namely: (a) the interest of the public generally; (b) the advantages to
the public of the service to be provided, including the saving of time F
likely to be effected thereby and any convenience arising from
journeys not being broken; (c) the adequacy of other passenger trans-
port services operating or likely to operate in the near future, whether
by road or other means, between the places to be served; (d) the
benefit to any particular locality or localities likely to be afforded by
the service; (e) the operation by the applicant of other transport G
'~ services, including those in respect of which applications from him for
permits are pending; and (f) the condition of the roads included in the
proposed route or area. It should also take into consideration any
representations made by persons already providing passenger trans-
port facilities by any means along or near the proposed route or area,
or by any association representing persons interested in the provision H
184 SUPREME COURT REPORTS [1987] 2 S.C.R.
A of road transport facilities recognised in this behalf by the State
Government, or by any local authority or police authority within
whose jurisdiction any part of the proposed route or area lies. A read-
ing of the aforesaid provisions shows that the paramount consideration
that should govern the decision of a Regional Transport Authority in
issuing a permit to run a stage carriage is the interest of the general
B public.
Since it was felt that the permits for plying stage carriages issued
by the several Regional Transport Authorities in India were being
cornered by persons belonging to richer and more advanced classes in
society and persons belonging to the Scheduled Castes, Scheduled
Tribes and other economically weaker sections of the community were
c not able to compete with people who were rich and more advanced,
Parliament amended section 47 of the Act by Act 47 of 1978 by intm- ).
ducing provisions for making reservation of certain percentage of stage
carriage permits to persons belonging to Scheduled Castes, Scheduled
Tribes and economically weaker sections of the community. After the
D above amendment seiotion 47(1A) of the Act provides that the
Government of a State shall reserve in that State certain percentage of
stage carriage permits for the Scheduled Castes and the Scheduled
Tribes and the reservation of permits under the said provision is
directed to. be inade in the same ratio as in the case of appointments
made by direct recruitment by public services of the State. Such reser-
E vation appears to be mandatory. Sub-section (lC) of section 47 of the
Act provides that the Government of a State may, having regard to the
extent to which persons belonging to economically weaker section of
the community have been granted stage carriage permits in that
State-(a) reserve in that State such percentage of stage carriage·---·
permits, as may be prescribed, for persons belonging to economically
F weaker sections of the community; or (b) notwithstanding anything
contained in the proviso to sub-section (1) of section 47 give pFe-
ference, in such manner as may be prescribed, to applications for stage
carriage permits from such persons. Sub-section (10) of section 47 of
the Act provides that the number of permits reserved under sub-
section (18) and clause (a) of sub-section (IC) of section 47 shall not
G exceed fifty per cent of that total number of stage carriage permits
granted during a calendar year. The reservation made in favour of the
Scheduled Castes and the Scheduled Tribes is protected by clause (4)
of Article 15 of the Constitution of India which provides that nothing
in Article 15 shall prevent the State from making any special provision
for the advancement of any socially and educationally backward clas-
H ses of citizens or for the Scheduled Castes and the Scheduled Tribes.
A. VISWANATHAN v. S. T. APP. TRIL. [VENKATARAMIAH. J.] 185
Such special provision would, therefore, be out of the mischief of A
clause (1) of Article 15 which provides that the State shall not discrimi-
nate against any citizen on grounds only of religion, race, caste sex,
place of birth or any of them. It is also in consonance with Article 46 of
the Constitution. Such special provision is necessary to assist the mem-
bers belonging to the Scheduled Castes and Scheduled Tribes and to
the weaker sections of society economically as they cannot otherwise B
compete with the other sections of society. After the introduction of
sub-sections (IA) to ( lH) into section 47 of the Act the Government of
India sent a communication to all the State Governments and Union
Territories to implement the reservations for members belonging to
Scheduled Castes and Scheduled Tribes provided therein without
delay. It reads thus:
c
"Government of India
Ministry of Shipping and Transport
No. TGM(70) New Delhi
dated the 24th August, 1979 D
To
All the State Govt/Union Territory Administrations.
Sub: Reservation of permits for scheduled castes/ E
scheduled tribes as provided in the Motor Vehicles
(Amendment) Act 1978.
-"'" - Sir,
I am directed to refer to this Ministry's letter of even F
number dated the 31st January 1979 on the above subject
and to say that so far as reservation in favour of scheduled
castes and scheduled tribes is concerned, the provisions of
the Motor Vehicles (Amendment) Act, 1978 can be im-
plemented straightway. The implementation of this provi-
sion need not wait for the framing of any Rules, since the G
rules are required to be framed only in respect of circum-
stances under which, the manner in which, and the extent
to which the reservation may be carried forward. Since the
question of carrying forward will arise only after .the expiry
of the current year, rules in this respect can be finalised
during the course of the year. The State Govts/Union Ter- H
186 SUPREME COURT REPORTS [1987] 2 S.C.R.
ritories are requested to kindly have the provisions of the \-
A
Act in regard to reservation for scheduled castes and
scheduled tribes in respect of stage carriage permits, public
carrier permits and national permits implemented without
further delay.
8 2. The State Govts/Union territory Administrations are
also requested to indicate the number of permits of vari-
ous categories granted, after the provisions of the Motor
Vehicles (Amendment) Act, 197$ was brought into force;
the number reserved for scheduled castes/scheduled tribes
and the number of permits actually granted to scheduled
castes and scheduled tribes with reasons for shortfall if any.
c
Yours faithfully,
Sd/-
8.R. CHAVAN
DEPUTY SECRETARY TO THE
D GOVERNMENT OF INDIA".
The Union Territory of Pondicherry after the lapse of nearly
seven Years from the date of the amendment of section 47 of the Act
issued rules regarding reservations to be made in favour of persons
belonging to Scheduled Castes and Scheduled Tribes under section
E 47(1A) of the Act on 12.6.1985. On the issue of said rules a number of
writ petitions were filed by persons not belonging to Scheduled Castes
a.nd Scheduled Tribes questioning the validity of sub-section (lA) of
section 47 of the Act and.the said petitions are still pending. We shall
not say anything more on the merits of those petitions.
F It is regrettable that for some reasons or other the State Trans-
port Authority of Pondicherry has not taken steps to issue regular
permits on about 18 routes in respect of which it has entered into
inter-State agreements with the State of Tamil Nadu even though the
need for issuing those permits is beyond dispute. But, on the other
hand for nearly six years, it is stated, that the State Trai.sport Autho-
G rity of Pondicherry is issuing temporary permits under section 62 of the
Act repeatedly in respect of the routes. the disadvantages sufffered by
the persons belonging to the Scheduled Castes, Schegulcd Tribes and
the economically weaker sections of the community by the procedure
adopted by the State Transport Authority are obvious. If stage car-
riage permits are to be issued then in compliance with sub-section (IA)
H of section 47 of the Act certain percentage of the said permits would
A. VISWANATHAN v. S. T. APP. TRIL. [VENKATARAMIAH. J.] 187
have to be reserved for the persons belonging to Scheduled Castes,
Scheduled Tribes and if the Government so desires to the economi- A
cally weaker sections of the community. If the issue of such permits is
postponed for any reason and only temporary permits are issued then
the persons belonging to Scheduled Castes, Scheduled Tribes and the
weaker sections would not be able to enjoy the benefit of the reserva-
tion. It is unfortunate that even though Parliament had enacted the B
i amendments nearly nine years ago the benefit of those provisions has
not been availed of by those for whose benefit they were enacted. We
are informed that the appellant and some others belonging to
Scheduled Castes or Scheduled Tribes have made applications for
grant of regular permits and those applications have remained undis-
posed of on account of the litigiousness of others.
c
The action taken by the State Transport Authority in issuing
temporary permits repeatedly for a long number of years is clearly in
violation of the letter and spirit of section 62 of the Act under which
such temporary permits are issued. Section 62 of the Act reads thus:
D
"62. Temporary permits-(1) A Regional Transport
Authority may without following the procedure laid down
in section 57, grant permits, to be effective for a limited
period not in any case to exceed four months, to authorise
the use of a transport vehicle temporarily-
E
(a) for the conveyance of passengers on special occasions
such as to and from fairs and religious gatherings, or
--- (b) for the purposes of a seasonal business, or
(c) to meet a particular temporary need, or F
(d) pending decision on an application for the .renewal of a
permit and may attach to any such permit any condi-
tion it thinks fit.
Provided that a temporary permit under this section G
shall, in no case, be granted in respect of any route or area
specified in an application for the grant of a new permit
under section 46 or section 54 during the pendency of the
application:
Provided further that a temporary permit under this H
188 SUPREME COURT REPORTS [1987] 2 S.C.R.
section shall, in no case, be granted more than once in
A
respect of any route or area specified in an application for
\-
the renewal of a permit during the pendency of such appli-
cation for renewal.
(2). Notwithstanding anything contained in sub-
B section (1), a temporary permit may be granted thereunder
in respect of any route or area where-
(i) no permit could be issued under section 48 or sec-
tion 51 or section 54 in respect of that route of area by
reason of an order of a court or, other competent authority
restraining the issue of the same, for a period not exceeding
the period for which the issue of the permit has been so
restrained; or
(ii) as a result of the suspension by a court or other
competent authority of the permit of any vehicle in respect
D of that route or area, there is no transport vehicle of the
same class with a valid permit, in respect of that route or
area, or there is no adequate number of such vehicles in
respect of that route or area, for a period not exceeding the
period of such suspension;
E Provided that the number of transport vehicles in
respect of which the temporary permit is so granted shall'
not exceed the number of vehicles in respect of which the
issue of a pennit has been restrained or as the case may be,
the permit has been suspended." -r-
F Under section 62 of the Act it is permissible to a Regional Trans- f
port Authority to issue temporary permits to be effective for a limited
period not exceeding fouir months without following the procedure laid
down in section 57 of the Act. Such temporary permits can be issued
only for the conveyance of passengers on special occasions such as to
and from fairs and religious gatherings or for the purposes of a sea-
G sonal business or to meet a particular temporary need or pending
decision on an application for the renewal of a permit. The regional
Transport Authority cannot grant a temporary permit for a route or
area specified in an application for grant of a new permit under section
46 or section 54 of the Act during the pendency of the application.
That section further provides that a temporary permit issued under
H that section shall in no case be granted more that once in respect of any
A. VISWANATHAN v. S. T. APP. TRIL. [VENKATARAMIAH, J.1 189
route or area specified in an application for the renewal of a permit A
during the pendency of such application for renewal. A temporary
permit can thus be granted only if the permit is required for the pur-
poses or reasons mentioned in clauses (a) to (d) of section 62(1) of the
Act which are mentioned above or in the circumstances referred to in
sub-section (2) thereof. This is clear from the decision of this Court in
Andhra Pradesh State Road Transport Corporation v. K. Venkatara- B
mireddy and others, (1971] 3 S.C.R. 803. In that decision this court
held that a temporary permit could be issued only for the purposes or
reasons mentioned in clauses (a) to (d) of section 62 of the Act as it
stood then. Subsequent to the amendment of section 62 of the Act a
temporary permit can also be issued under the circumstances men-
tioned in sub-section (2) of section 62 of the Act. There cannot be also C
a renewal or revalidation of a temporary permit as held by this Court
in Gandhara Transport Co. Ltd. v. The State of Punjab and others,
(1963] Supp. 1 S.C.R. 800. The revalidation or renewal of a temporary
permit or extension of the period for which a temporary permit is
issued is not contemplated by law. The issue of temporary permits by
the State Transport Authority in the instant case continuously for a D
number of years is clearly in violation of the statute. The Regional
Transport Authority which is charged with the duty of issuing permits
for transport vehicles under the Act in the public interest should
wherever it finds that the need for issuing such stage carriage permit is
established take immediate steps to invite applications from persons
who are willing to run the stage carriage on the route or in the area in E
question and proceed to grant the permit in favour of a deserving
applicant. If any person on his own makes application for the grant of a
stage carriage permit, the Regional Transport Authority should con-
sider such application in accordance with law and proceed to grant a
permit if it finds that it is necessary to do so. It may also be noted that
if a regular permit is issued, it would be in force for a period not less F
than three years and not more than five years as may be determined by
the Regional Transport Authority and such permit is capable of being
renewed under section 58 of the Act. But, if the Regional Transport
Authority proceeds to issue a temporary permit then at the end of
every four months it will have to spend time over the consideration of
fresh applications for the issue of such permits and it is needless to say G
that the necessity for making applications at the end of every four
months would entail many undersirable consequences which should be
avoided. With these observations we dispose of the appeal.
M.L.A. Appeal disposed of.
H
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