Judgment

SHAH, J.:- These three appeals are filed with certificate granted by the High Court of Madras.

2. On October 17. 1963, Sabulal Sahib holder of a permit for plying stage carriage No. MDS-5217 for the route Namakkal to Pandamangalam agreed to transfer for Rs. 40,000/- the permit and the vehicle to M/s Ravi Roadways - hereinafter called "Roadways". Rs. 27,500/- out of the consideration were paid by the Roadways on the date of the agreement and the balance in February 1964. Sabulal and the Roadways then applied to the Regional Transport Authority, Salem, to sanction the transfer of the permit. The application was notified by the Transport Authority under Sec. 57 (3) of the Motor Vehicles Act, and on January 24, 1964, at a public hearing the Transport Authority sanctioned the transfer subject to confirmation by the Transport Commissioner. This latter direction was made in compliance with G. O. 2205 issued by the State Government in purported exercise of power under Sec. 43-A of the Motor Vehicles Act introduced by Madras Act 20 of 1948.

3. The Roadways challenged by Writ Petition No. 1298 of 1964 filed in the High Court of Madras the validity of the order of the Transport Authorit