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1977 Supreme(AP) 193
Andhra Pradesh High Court
Judges : A.GANGADHARA RAO
P.Ramalakshmamma - Appellant
Versus
A.P. State Road Transport Corporation - Respondent
Decided On : 07-12-77
A permit renewed during the interregnum between the publication of the draft scheme and the approved scheme ceases to be effective on the publication of the approved scheme and is not an existing permit.
Headnote:
MOTOR VEHICLES ACT - S. 68-F (1-D), (2) - RENEWAL OF PERMIT - CANCELLATION OF PERMIT - COMPENSATION - SCHEME FOR NATIONALISATION OF ROUTE - PERMIT RENEWED DURING INTERREGNUM BETWEEN PUBLICATION OF DRAFT SCHEME AND APPROVED SCHEME - CEASES TO BE EFFECTIVE ON PUBLICATION OF APPROVED SCHEME - NOT AN EXISTING PERMIT - NO COMPENSATION PAYABLE.
Fact of the Case:
The petitioner's stage carriage permit on the route Chagalamarri to Proddatur via Mydukur expired on 8-3-1973 and was renewed for three years up to 12-3-1976. During this period, the Government published a draft scheme to nationalize the route Allagadda to Proddatur via Chagalamarri and Medullar, which was approved on 22-9-1973. The petitioner's permit was canceled on 26-10-1973 to give effect to the approved scheme. The petitioner claimed compensation under S. 68-G (4) of the Motor Vehicles Act, which was rejected by the Andhra Pradesh State Road Transport Corporation.
Finding of the Court:
The court held that the petitioner's permit, which was renewed during the interregnum between the publication of the draft scheme and the approved scheme, ceased to be effective on the publication of the approved scheme and was not an existing permit. Therefore, the petitioner was not entitled to compensation under S. 68-G of the Act.
Issues: Whether the petitioner's permit, which was renewed during the interregnum between the publication of the draft scheme and the approved scheme, was an existing permit.
Ratio Decidendi: The court interpreted S. 68-F (1-D) of the Motor Vehicles Act, which provides that a permit may be renewed for a limited period where the period of operation of a permit expires after the publication of a scheme, but the permit so renewed shall cease to be effective on the publication of the scheme. The court held that this provision means that a permit renewed during the interregnum between the publication of the draft scheme and the approved scheme ceases to be effective on the publication of the approved scheme and is not an existing permit.
Final Decision: The court dismissed the writ petition filed by the petitioner, holding that the petitioner was not entitled to compensation under S. 68-G of the Motor Vehicles Act.
( 1 ) THE petitioner was plying a stage carriage on the route Chagalamarri to Proddatur via Mydukur. The permit expired on 8-3-1973. It was renewed for a period of three years , upto 12-3-1976. Meanwhile on 15-11-1972 , the Government published draft scheme to nationalise the route Allagadda to Proddatur via Chagalamarri and Medullar. That scheme was approved by the Government on 22-9-1973 In order to give effect to the approved scheme , the permit of the petitioner was cancelled by the Secretary ,state Transport Authority , Hyderabad , on 26-10-1973. For the unexpired period of the permit , the petitioner applied to Andhra Pradesh State Road Transport Corporation for payment of compensation under S. 68-G (4) of the motor Vehicles Act. The Corporation rejected the claim of the petitioner on 5-11-75. Thereupon he has filed this writ petition.
( 2 ) SRI Adinarayana Reddy, the learned counsel for the petitioner, submits that since the permit of the petitioner was cancelled under S. 68-F (2) (b) of the Act, she is entitled for compensation under S. 68- G. Sri Ananda Rao, the learned counsel for the Road Transport Corporation, contends that under the proviso to S. 68-F (1-D), if a permit expires after the publication of a scheme it may be renewed for a limited period, but the renewed permit will cease to be effective on the publication of the approved scheme and no compensation need to be paid.
( 3 ) IN order to decide this question, it is necessary to refer to the relevant provisions of the Act. Chapter IV-A of the Motor Vehicles Act deals with special provisions relating to State Transport Undertakings. By virtue of S. 68-B, the provision of the Chapter IV-A override Chapter IV and other laws. Section 68-C empowers the State Transport Undertakings to prepare and publish a scheme. Under S. 68-D (1) , objections can be filed to the scheme before the State Government Under sub-sec. (2), the State Government after considering the objections and hearing the parties, can approve or modify the scheme. Under sub-sec. (3) the scheme as approved or modified is published in the Official Gazette by the State Govt. and thereafter it becomes final and is called the approved scheme and the area or route to which it relates is called the notified area or notified route. Section 68-C relates to cancellation or modification of the scheme. Section 68-F is important. Under S. 68-F, pursuant to an approved scheme, if any State Transport Undertaking applies for a stage carriage permit in respect of a notified area or a notified route, the transport authorities shall issue such permit to the State Transport Undertaking, ( Sub-sec (1) ). When a scheme is published by a State Transport Undertaking under S. 68-C, the Undertaking can apply for a temporary permit for the period intervening between the date publication of the scheme and the date of publication of the approved or modified scheme. If the Transport Authorities are satisfied that it is necessary to increase in the public interest the number of vehicles operating in such area or route or portion thereof, they shall issue the temporary permit to State Transport Undertaking (Sub-sec (1-A ). That temporary permit will be effective, (a) if the approved scheme is published, until the grand of the permit to the State Transport Undertaking under sub-sec (1) , or (b) if the approved scheme is not published, until the expiration of one week from the date on which the order is made by State Government approving or modifying the scheme (Sub-sec. (1-B ). If no application for a temporary permit is made by the State Transport Undertaking, the Transport Authorities may grant temporary permit to private person. But that will cease to be effective on the issue of a permit to the State Transport Undertaking. (Sub-sec. (1-C ). Sub-sec. (1-D) reads as follows : Save as otherwise provided in sub-section (1-A) or sub-sec. (1-C), no permit shall be granted or renewed during the period intervening
