High Court of KeralaSingle JudgePartly allowed; clause (4) of Ext.P13 scheme qu...

Manju K.P. v State of Kerala and Regional Transport Authority, Malappuram, and Secretary Regional Transport Authority, Malappuram

Case / Petition Number:WP(C).No.20278 of 2017

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • Anil K. Narendran
Judgment Date
2019-07-01
Court Decision / Holding
Writ petitions partly allowed; quash Clause 4 of Ext.P13 scheme; repelling challenge to Ext.P12 notification and the amendment notified thereunder; disposed in terms of the law laid down by this Court in Saju Varkey's case.
Final Disposition
Partly allowed; clause (4) of Ext.P13 scheme quashed; challenge to Ext.P12 notification repelled; disposed in terms of law laid down by Saju Varkey's case.

Parties to the Case

Appellants / Petitioners

  • Smt. Manju K.P.

Respondents

  • The State of Kerala represented by the Secretary to Government, Department of Transport, Secretariat, Thiruvananthapuram
  • The Regional Transport Authority, Malappuram
  • The Secretary Regional Transport Authority, Malappuram

Legal Representation & Advocates

Counsels for Petitioners

  • • Saju J. Vallyara

Counsels for Respondents

  • • Paul Abraham Vakkanal, Sr GP

Case Synopsis & Summary

This writ petition, filed by SMT. Manju K.P., holder of a regular permit to operate on the Guruvayoor–Kozhikode corridor as a Limited Stop Fast Passenger service, challenges Ext.P4 Gazette notification dated 15.03.2017, which prescribes a maximum distance of 140 km for Ordinary Limited Stop (OLS) services. The petitioner seeks quashing of the restrictive clause and mandamus to re-issue a four-month temporary permit in continuation of Ext.P3, as contemplated by Ext.P5, free from Ext.P4. On admission, the court noted that the matter had already been treated favourably in a prior decision of this Court (W.P.(C) No.11825/2017 and connected cases) and in the KSRTC’s appeal (W.A.No.1098 of 2018), culminating in the Kerala State Road Transport Corporation v. Saju decision. The judgment analyzes the mechanism for formulating transport schemes under the Motor Vehicles Act, particularly Sections 99, 100 and 102, and the Kerala Motor Vehicles Rules, including the definition of OLS in Rule 2(oa). It concludes that the state’s amendments were designed to protect transparency and fairness while maintaining the pre-existing rights of private operators under Ext.P5, Ext.P9 G.O., and related schemes. Importantly, the court holds that the maximum distance constraint cannot be applied to saved permits, and the writ petitions are partly allowed.

Provisions of Law Cited

Constitution of India, Article 226Motor Vehicles Act, 1988—Sections 99, 100, 102Kerala Motor Vehicles Rules (KMV Rules)—Rule 2(oa)

Submissions & Arguments

Contentions of Appellants / Petitioners

The petitioner contends that Ext.P4 Gazette notification of 15.03.2017 imposes a maximum distance of 140 km for Ordinary Limited Stop Services and affects her right to operate the Guruvayoor–Kozhikode route under Ext.P5, including a request for reissuance of a four-month temporary permit. She argues that there was no valid basis to restrict preexisting private operator rights and that the scheme finalisation must follow statutory safeguards under the MV Act and rules.

Contentions of Respondents

The State/ KSRTC defend the 140 km distance cap as a policy measure to ensure efficient, fair, and transparent operation of road transport services. They contend private operators did not possess an unconditional preexisting right to operate OLS without distance restrictions, and that amendments were made after due procedure to balance public interests with operator rights.

Cited Precedents (3)

Case NameCitationTreatmentExplanation
Saju Varkey's case (supra)2018 (4) KHC 617PositiveThe decision is relied upon to hold that the State cannot finalise a scheme with restrictive terms that alter preexisting rights and that the maximum distance limit should not apply to permits saved by Ext.P5.
Kerala State Road Transport Corporation v. SajuW.A.No.1098 of 2018Mentioned OnlyCited to indicate the KSRTC's challenge to Saju's case ended in dismissal; not a central authority for the present ruling.
W.P.(C).No.11825/2017 and connected casesW.P.(C).No.11825/2017Mentioned OnlyReferenced as the earlier decision by a learned Single Judge that covered the petitioner's challenge; not the primary authority for the ruling.

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Extracted Judgment Text

Exact text extracted from official judgment records.

## **IN THE HIGH COURT OF KERALA AT ERNAKULAM** ## **PRESENT** ## **THE HONOURABLE MR. JUSTICE ANIL K.NARENDRAN** **MONDAY, THE 01ST DAY OF JULY 2019 / 10TH ASHADHA, 1941** ## **WP(C).No.20278 of 2017** ## **PETITIONER :** **SMT.MANJU .K.P AGED 42 YEARS W/O.BALAMURALI,PARIYARATH HOUSE(JYOTHIS),KOTTAPPADI,KOTTAKKAL,MALAPPURAM DISTRICT.** **BY ADV. SRI.SAJU J.VALLYARA** ## **RESPONDENTS:** - **1 THE STATE OF KERALA REPRESENTED BY THE SECRETARY TO GOVERNMENT,DEPARTMENT OF TRANSPORTS,SECRETARIAT,THIRUVANANTHAPURAM-695001.** - **2 THE REGIONAL TRANSPORT AUTHORITY, MALAPPURAM PIN-676505.** - **3 THE SECRETARY REGIONAL TRANSPORT AUTHORITY, MALAPPURAM,PIN-676505.** ## **BY SRI. PAUL ABRAHAM VAKKANAL SR GP** **THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 01.07.2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:** **WP(C).No.20278 of 2017** **2** ## **JUDGMENT** The petitioner, who is the holder of Ext.P1 regular permit to operate on the route Guruvayoor-Kozhikode as Limited Stop Fast Passenger with stage carriage bearing registration No.KL-10/AV-6741, has filed this writ petition under Article 226 of the Constitution of India, seeking a writ of certiorari to quash Ext.P4 notification dated 15.03.2017 to the extent it prescribes a maximum distance of 140 Kms. for 'Ordinary Limited Stop Service'. The petitioner has also sought for a writ of mandamus commanding the 3[rd] respondent to re-issue four months' temporary permit to her in respect of the aforesaid stage carriage on the said route as Limited Stop Ordinary Service by considering Ext.P5 application in continuation of Ext.P3 untrammelled by Ext.P4. 2. On 19.06.2017, when this writ petition came up for admission, this Court passed the following order; **WP(C).No.20278 of 2017** **3** _“Admit. Government Pleader takes notice for respondents 1 to 3. Post along with W.P. (C)No.11825/2017._ _The learned counsel for petitioner submits that petitioner is operating services on the strength of temporary permit issued to him. If the petitioner is operating services on the basis of temporary permit, status quo as on today shall be maintained and Ext.P5 application, filed by the petitioner for reissue of temporary permit shall be considered, untrammelled by Ext.P4 notification.”_ 3. Heard the learned counsel for the petitioner and also the learned Senior Government Pleader appearing for respondents 1 to 3. 4. The issue raised in this Writ Petition as to the challenge made against Exhibit-P4 Gazette notification dated 15.3.2017 is covered in favour of the petitioner by the judgment of the learned Single Judge in W.P.(C) No.11825 of 2017 and connected cases. The challenge made against that judgment by KSRTC ended in dismissal by the judgment dated 20.8.2018 in W.A.No.1098 of 2018 and connected cases, i.e., _**Kerala State Road Transport Corporation v. Saju**_ **WP(C).No.20278 of 2017** **4** ## _**Varkey and Others [2018 (4) KHC 617]**_ . ## Paragraphs 13 to 18 of the said judgment read thus: “13. On a consideration of the submissions made on this issue, we find that the law governing the formulation of schemes is to be found in Sections 99 and 100 of the Motor Vehicles Act. The said provisions mandate that, if the State Government is of the opinion that, for the purpose of providing efficient, adequate, economical and properly guaranteed road transport services in relation to any area or route or operation thereto, these road transport services should be run and operated by the STU’s to the exclusion, either complete or partial, of private stage carriage operators, a proposal in the official gazette shall be published as provided under Section 99 of the Act. Objections to the said proposal will be invited before the State Government under Section 100, and after considering the objections and after affording an opportunity to the objectors or their representatives, and the representatives of the STU, the State government may approve or modify such proposals. The same procedure is followed for the purposes of modifying an existing scheme, as seen from Section 102. 14. The provisions of Sections 99, 100 and 102 indicate that the procedure to be followed, while introducing a scheme, or modifying an existing one, is one that is designed to ensure transparency and fairness in a matter involving pre-existing rights of **WP(C).No.20278 of 2017** **5** private transport operators. It follows, therefore, that there cannot be any finalization of a scheme, which is different from the one that was proposed, and in respect of which objections were invited. The introduction of a restrictive element (in the instant case, the stipulation that the maximum distance limit would apply to the saved permits), while finalising a draft that did not contain such a stipulation has, therefore, to be seen as breaching the aforesaid statutory safeguard. A question arises, however, as to whether, in these cases, the petitioners had a preexisting right, relatable to Ext.P5 scheme, to operate ordinary and OLS services without any restriction as regards distance? Although the learned counsel for the respondent KSRTC would vehemently contend that the said rights accrued to the private operators, not through Ext.P5 scheme, but only through Ext.P9 G.O., we are of the view that the rights/privileges granted to the petitioners through Ext.P9 G.O. cannot be seen as divorced from Ext.P5. 15. As already noted, Ext.P9 G.O. was issued in the wake of Ext.P7 scheme, that deprived private operators of their right to operate higher class of services in the State, and the rights granted through the G.O. were with a view to ameliorate their situation. The rights that they obtained, in respect of stage carriage operation, were pursuant to Ext.P5 scheme on notified routes and Ext.P9 G.O. for operation in the State. The modification proposed by the State, through Ext.P10 notification, was with a **WP(C).No.20278 of 2017** **6** view to incorporate their rights, as obtained through Ext.P9 G.O., in Ext.P5 Scheme, through the modification procedure under Section 102. It is in this backdrop that we have to consider the pre-existing rights of the private transport operators, prior to the modification process. 16. Thus viewed, the conclusion is inescapable that, Ext.P10 draft scheme proposed to retain the rights obtained by the private operators through Ext.P9 G.O, while modifying Ext.P5 Scheme, and while finalising the said draft scheme, the State Government could not have made the stipulation with regard to maximum distance applicable to the permits saved by Ext.P5 scheme. We therefore find in favour of the petitioners on the said issue and quash Clause (4) of Ext.P13 scheme that makes the maximum distance in Rule 2 (oa) of the KMV Rules applicable to the saved permits. _Re: Challenge to the amendment of the Rule_ 17. As regards the challenge in the writ petitions to the validity of the amendments brought about to the Kerala Motor Vehicle Rules through Ext.P12 notification, it needs to be noted that the contentions raised are more or less identical to those raised in respect of the challenge to the modified scheme. It is contended that, insofar as Rule 2 (oa), as amended, contained a stipulation of maximum distance of 140 km, in the definition of Ordinary Limited Stop Services, but this stipulation was not there in the draft Rule that was notified through Ext.P11 **WP(C).No.20278 of 2017** **7** notification, the principles of natural justice, as envisaged in the statutory procedure, had been breached, thereby vitiating the amendment and rendering it invalid. Although, at first blush, it appeared to us that the same reasons that led to the quashing of the impugned clause in the modified scheme would lead us to hold the amended Rule also as invalid, we find on a closer scrutiny, that the right to operate ordinary and OLS services, without distance restrictions, was one that accrued to private operators affected by Exts.P5 and P7 schemes, in terms of the said schemes, read with Ext.P9 G.O. In - other words, there was no pre existing right in the private operators, conferred under the MV Act and Rules, to operate an OLS service. 18. Such being the case, the draft amendment introduced, for the first time, a definition of Ordinary Limited Stop Service in the Rules. Although the definition contained in the draft notification did not stipulate a maximum distance, it is difficult to conceive of any objection that a private operator could have raised against the introduction of a new class of service for the first time. Similarly, the private operators could not have insisted that, the OLS service that was being introduced, had to be one without any stipulation as to maximum distance, for that would tantamount to dictating a policy to the State Government. Under the circumstances, we cannot accept the contention urged on behalf of the petitioners that, in introducing a stipulation as **WP(C).No.20278 of 2017** **8** regards maximum distance, while finalising the draft Rules, the State Government had breached the statutory procedure. We also note that, as a matter of fact the State Government did consider the objections raised with regard to the stipulation, in the draft Rule, that the vehicle used for the OLS service could not be older than ten years from the date of registration, and removed the said stipulation from the definition of OLS service while notifying the amended Rule. We therefore reject the challenge to the validity of the amendment, and to Ext.P12 notification that notified the same. The writ petitions are thus partly allowed, quashing clause (4) of Ext.P13 scheme, and repelling the challenge against Ext.P12 notification and the amendment notified thereunder.” (Underline supplied) In the result, this writ petition is disposed of in terms of the law laid down by the Division Bench of this Court in _**Saju Varkey's case (supra)**_ . **Sd/-** ## **ANIL K.NARENDRAN, JUDGE** AV/6/7 **WP(C).No.20278 of 2017** **9** ## **APPENDIX** ## **PETITIONER'S/S EXHIBITS:** **EXHIBIT P1 PHOTOCOPY OF THE REGULAR PERMIT VIDE NO.P.ST.10/542/1995 ISSUED BY THE 3RD RESPONDENT TO THE PETITIONER** **EXHIBIT P2 PHOTOCOPY OF THE NOTIFICATION VIDE NO.536/B2/2016/TRAN.DATED 19.02.2016 ISSUED BY THE 1ST RESPONDENT** **EXHIBIT P3** **PHOTOCOPY OF THE TEMPORARY PERMIT VIDE NO.P.TEM.10/385/2017 DATED 17.02.2017 ISSUED BY THE 3RD RESPONDENT TO THE PETITIONER** **EXHIBIT P4 PHOTOCOPY OF THE NOTIFICATION VIDE G.O.(P)NO.06/2017 TRAN.DATED 15.03.2017 (S.R.O.NO.127/2017)ISSUED BY THE 1ST RESPONDENT** **EXHIBIT P5** **PHOTOCOPY OF THE APPLICATION FOR REISSUE OF 4 MONTHS TEMPORARY PERMIT SUBMITTED BY THE PETITIONER BEFORE THE 3RD RESPONDENT ON 12.06.2017.**