1. Heard Sri S. Arifulla, learned counsel for the petitioner, learned Government Pleader for Transport for the respondents 1 and 2 and Sri P. Durga Prasad, learned Standing Counsel for the third respondent - Corporation.

2. The States of Orissa and Andhra Pradesh entered into an inter-state agreement in respect of inter-state route Parlakhimidi to Berhampur via Garabanda extended up to Chatrapur and notified the same under Notification Nos.4147/T, dated 29.03.1975, and 15582/T, dated 24.09.1991. The agreement enabled the grant of five stage carriage permits by the Orissa State. In view of the same, the State Transport Authority, Orissa granted a pucca stage carriage permit to the petitioner, by an order dated 27.02.1981. The said permit was renewed from time to time till 06.03.1990. He filed an application to renew his permit beyond 06.03.1990 as per Section 81 of the Motor Vehicles Act, 1988 (for short ‘the Act’). Since there was delay in disposal of the renewal application by the State Transport Authority, Orissa, the Orissa authorities granted temporary permits, during the pendency of the renewal application, till 19.12.1994. The said permits were being countersigned by the