IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE ANIL K.NARENDRAN
TUESDAY, THE 02ND DAY OF JULY 2019 / 11TH ASHADHA, 1941
W.P.(C)No.32847 of 2018
PETITIONERS:
1
KERALA AUTOMOBILE DEALERS ASSOCIATION
C/O M/S MARIKAR ENGINEERS, 34/2401-A,
N.H.BYE PASS ROAD, CHAKKARAPARAMBU,
KOCHI, PIN-682023,
REPRESENTED BY ITS PRESIDENT SRI JOHN K.PAUL.
2
M/S RAJASREE MOTORS PVT. LTD.,
2/393C, NH 47, MARADU P.O.,
KOCHI- 682304, REPRESENTED BY ITS HEAD SALES,
SRI.PRAVEEN SANKARANARAYANAN.
BY ADVS.
SRI.A.A.ZIYAD RAHMAN
SRI.LAL K.JOSEPH
RESPONDENTS:
1
STATE OF KERALA,
REPRESENTED BY ITS SECRETARY TO MOTOR VEHICLES
DEPARTMENT, GOVERNMENT SECRETARIAT,
THIRUVANANTHAPURAM, PIN-695001.
2
THE TRANSPORT COMMISSIONER,
MOTOR VEHICLES DEPARTMENT,
TRANS TOWERS, THIRUVANANTHAPURAM,
PIN- 695001.
3
THE REGIONAL TRANSPORT OFFICER AND REGISTERING AUTHORITY,
ERNAKULAM, CIVIL STATION,
KAKKANADU, ERNAKULAM,
PIN- 682030.
4
THE REGIONAL TRANSPORT OFFICER AND REGISTERING AUTHORITY
KANNUR, CIVIL STATION,
KANNUR, PIN- 670102.
WP(C)No.32847/2018
2
5
THE JOINT REGIONAL TRANSPORT OF OFFICER,
SUB REGIONAL TRANSPORT OFFICER,
ANGAMALY, ERNAKULAM.
BY SPL. GOVERNMENT PLEADER SRI P.SANTHOSH KUMAR
THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON
09.04.2019, THE COURT ON 02.07.2019 DELIVERED THE
FOLLOWING:
WP(C)No.32847/2018
3
“CR”
The 1st petitioner is an Association of Automobile dealers
in Kerala, which is registered under the provisions of the
Travancore-Cochin Literary, Scientific and Charitable Societies
Registration Act, 1955, as evident from Ext.P1 certificate of
registration dated 29.03.2006. The 2nd petitioner is a dealer of
passenger vehicles manufactured by Mercedes-Benz and a
member of the 1st petitioner Association. The petitioners have
filed this writ petition under Article 226 of the Constitution of
India, seeking a writ of certiorari to quash Ext.P2 circular dated
06.08.2018 issued by the 2nd
respondent Transport
Commissioner, whereby the Deputy Transport Commissioner,
the Regional Transport Officers and the Joint Regional Transport
Officers are directed to take necessary steps to ensure
registration of the vehicles kept by automobile dealers for test
drive, on the ground that some of the automobile dealers are
using such vehicles for test drive for longer periods and
thereafter, selling those vehicles at a lower price, which cause
revenue loss to the State Exchequer. The petitioners have also
sought for a writ of certiorari to quash Ext.P4 check report
dated 26.07.2018; Ext.P5 tax receipt dated 02.08.2018
(evidencing remittance of motor vehicle tax of Rs.10,92,820/-
in respect of the 2nd petitioner's vehicle to which Ext.P4 check
report has been issued); and also Ext.P8 notice dated
16.08.2018 issued by the 4th respondent Regional Transport
Officer, Kannur, whereby the automobile dealers are required to
register their vehicles kept for test drive. The further relief
sought for is a declaration that the directions contained in
Ext.P2 circular are violative of the provisions contained in the
Motor Vehicles Act, 1988 (for brevity, 'the MV Act') and the
rules framed thereunder and hence unenforceable; and a writ
of mandamus commanding the respondents not to insist the
bona fide dealers of motor vehicles, who have obtained trade
certificates under Rules 33 and 35 of Central Motor Vehicle
Rules, 1989 (for brevity, 'the CMV Rules') to register the
vehicles in their possession for using the same for
demonstration purposes (hereinafter referred to as 'demo
vehicles').
2.
On 09.10.2018, when this writ petition came up for
admission, the learned Special Government Pleader sought
time to get instructions. On 17.10.2018, the learned Special
Government Pleader sought time to file statement.
3.
On 31.10.2018, a statement of the 5th respondent
Joint Regional Transport Officer is placed on record. On
13.11.2018, the petitioners have filed a reply affidavit.
4.
On 03.12.2018, when this writ petition came up for
consideration, the learned counsel for the petitioners sought
time to get instructions from the 2nd petitioner as to the total
number of 'demo vehicles' in its dealership and also the total
number of trade certificates. The learned counsel was also
directed to get instructions as to whether 'demo vehicles' are
purchased by the dealership.
5.
Heard the learned counsel for the petitioners and
also the learned Special Government Pleader appearing for the
respondents.
6.
The issue that arises for consideration in this writ
petition is as to whether any interference is warranted on
Ext.P2 circular dated 06.08.2018 issued by the 2nd respondent
Transport Commissioner whereby, the registering authorities in
6
the State are directed to take necessary steps to ensure
registration of the vehicles kept by the automobile dealers for
demonstration purposes, i.e., 'demo vehicles'.
7.
After the order of this Court dated 03.12.2018, the
learned counsel for the petitioners has made available for the
perusal of this Court the stock list maintained by the 2nd
petitioner, in which 'demo vehicles' are also included. The
learned counsel has also made available for the perusal of this
Court the tax invoice in respect of two vehicles, as per which
the 2nd petitioner purchased 'demo
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