SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2025 Supreme(Kar) 731

IN THE HIGH COURT OF KARNATAKA AT BENGALURU
M. NAGAPRASANNA, J.
Karavali Bus Owners Association - Appellant
Vs.
Udupi Sasthana Tollway Private Limited - Respondent
Writ Petition No.9159 Of 2025 (GM - RES)
Decided On : 02-06-2025

Advocates:
Advocate Appeared:
For the Appellant :Sri Puttige R.Ramesh, Sr. Advocate A/W., Sri A.S.Parasara Kumar, Advocate
For the Respondent:Sri Aditya Singh, CGC, Smt. Shilpa Shah, Advocate, Sri C.K.Nandakumar, Sr. Advocate For Sri Raghuram Cadambi, Advocate Sri Shamanth Naik, HCGP

The court held that toll adjustments based on vehicle classification mismatches are lawful under existing statutory and contractual frameworks, necessitating re-examination of vehicle definitions in the Motor Vehicles Act.

Headnote:(A) Motor Vehicles Act, 1988 - Sections 2(15), 2(17), 2(21), 2(24), 2(40) - National Highways Act, 1956 - Sections 8A and 9 - National Highways Fee (Determination of Rates and Collection) Rules, 2008 - Prohibition against double toll charges - Petitioners challenge additional toll charges deducted from FASTag account due to vehicle classification issues. (Paras 1, 3, 10, 17)

(B) Legal Definitions - The Act provides definitions for various vehicle types which impact toll charges - Vehicles weighing between 7500 kg and 12000 kg present classification issues leading to financial discrepancies. (Paras 11, 13, 16)

(C) Toll Collection - Concessionaires entitled to adjust toll charges based on vehicle classification as per the concession agreement and National Highways Act provisions. (Para 17)

(D) Regulatory Concerns - The court recommends a re-evaluation of vehicle classifications within the Motor Vehicles Act. (Para 18)

Facts of the case:
Petitioners operating minibuses allege improper toll charge deductions linked to vehicle classification discrepancies when using FASTag at designated toll plazas. They seek to halt additional deductive charges previously assessed by the concessionaire after their vehicles pass through tolls.

Findings of Court:
The additional toll charge deductions based on vehicle mismatch are legally justified according to the fee structure established under the National Highways Act and following concession agreement stipulations.

Issues: Whether the concessionaire can levy additional toll charges post recognition of vehicle registration mismatch as a basis for toll fees?

Ratio Decidendi: The court finds the interpretation and application of toll classifications based on existing statutes and regulations robust, such that chargebacks are justified when vehicle weight classifications lead to discrepancies.

Result: Writ Petition dismissed.

Table of Content
1. challenging toll charge deductions. (Para 1 , 2 , 3)
2. arguments on vehicle classification. (Para 5 , 6)
3. responses supporting the toll deductions. (Para 7 , 8)
4. court's examination of laws governing tolls. (Para 9 , 10 , 11)
5. clarification of toll collection rules. (Para 12 , 13)
6. discrepancy in vehicle registration details. (Para 14 , 15 , 16)
7. ruling on statutory and contractual basis. (Para 17)
8. order dismissing the writ petition. (Para 18 , 19)

ORDER :

M. NAGAPRASANNA, J.

The 1st petitioner/Karavali Bus Owners Association (hereinafter referred to as ‘the Association’ for short) and other bus operators of Mangalore and Udupi Districts are at the doors of this Court calling in question an order dated 01-02-2025, by which the representation of the Association comes to be rejected, confirming debit adjustment charges made towards movement of buses of the Association in the toll plazas. A consequential prohibition is sought against the 3rd respondent not to deduct any additional toll charges from FASTag wallet account of the petitioners.

2. Sans details, facts in brief, are as follows:-

The petitioners claim to be existing stage carriage permit holders operating in Dakshina Kannada and Udupi Districts. The grievance of the petitioners is that, the stage carriages operated by them move through Hejamadi and Sastana toll plazas among others. It is their allegation that, the fare that will be charged on every trip of each vehicle should be taken into consideration on the laden weight of the vehicles, which is between 7,500 and 12,000 Kgs. insofar as mini vehicles are concerned. The further allegation is that the aforesaid two toll plazas deduct from the FASTag wallet of the petitioners on the vehicles passing through FASTag ID which is linked to the FASTag account, when it is scanned at the toll plazas. However, notwithstanding the said fee paid to enter the toll plaza, the 3rd respondent – Udupi Sasthana Tollway Private Limited without notice to the petitioners has been deducting additional toll charges from the FASTag wallet account of all the stage carriage permit holders of the Association. The petitioners come to know of the fact of 3rd respondent withdrawing additional toll charges in the form of “charge back process” from FASTag wallet account as and when it wishes to do so.

3. The Association then submits a representation on 21-07-2024 about its grievance to the 4th respondent – Deputy Commissioner and District Magistrate, Udupi District, alleging that there is an illegal activity of collecting excessive toll charges from the account of the petitioners when scanning the FASTag ID and sought to stop the illegal deductions. In response, the representation comes to be rejected by the National Highways Authority of India (hereinafter referred to as ‘the NHAI’ for short) holding that in terms of the schedule appended to the concession agreement, the debit adjustment followed as there is a mismatch found. It is challenging the said communication along with the continued action of collection of toll fee allegedly twice, the petitioners are at the doors of this Court.

4. Heard Sri Puttige R.Ramesh, learned senior counsel appearing for the petitioners; Sri Aditya Singh, learned Central Government Counsel appearing for respondent No.1, Smt. Shilpa Shah, learned counsel appearing for respondent No.2, Sri C.K.Nanda Kumar, learned senior counsel appearing for respondent No.3 and Sri Shamanth Naik, learned High Court Government Pleader appearing for respondent No.4.

SUBMISSIONS: PETITIONERS:

5. The learned senior counsel appearing for the petitioners takes this Court through the MOTOR VEHICLES ACT , 1988 (‘the Act’ for short) and places reliance upon several definition clauses to contend that ‘bus’ no where in the Act is defined. Therefore, we have to fallback upon the definition of ‘vehicle’ in the Act. The transport authorities have classified vehicles on laden and unladen weight. Vehicles which are about 12000 Kgs. a

Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
Judicial Analysis

AI

SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top