BIHAR STATE ROAD TRANSPORT CORPORATION Vs. STATE TRANSPORT APPELLATE TRIBUNAL
LAWS(SC)-1991-2-50
SUPREME COURT OF INDIA (FROM: PATNA)
Decided on February 22,1991

BIHAR STATE ROAD TRANSPORT CORPORATION Appellant
VERSUS
STATE TRANSPORT APPELLATE TRIBUNAL Respondents

JUDGEMENT

- (1.) This appeal by special leave is directed against the order of the High court of Judicature at Patna dated 29/01/1982 passed in Civil Writ No. 4087 of 1981 dismissing the writ petition of the appellant in limine.
(2.) The appellant, Bihar State Road Transport Corporation, is a state Transport Undertaking. Under the provisions of the Motor vehicles Act, 1939 (hereafter referred to as the 'act') , the State transport Authority invited applications for the grant of stage carriage permits for the route named Bhurkunda-Chaibasa via patratu-Pithoria-Kanke-Ranchi-Chakradharpur part of which, that is, Ranchihaibasa is covered under a notified scheme dated 1/04/1960, duly in force, under the provisions of the Act. On applications received in response to the invitation, the Corporation filed its objections before the State Transport Authority claiming that no private operator could be permitted to operate on the said route, as part of it, being ranchi-Chaibasa, was by itself a notified route and the grant of permits on the route in question would contravene a notified scheme. The objection of the Corporation was rejected by the State Transport Authority in its meeting held on January 23 and 24, 1979 taking the view that the overlapping Ranchichaibasa route was restrictedly notified for direct services only and as such there could be no legal objection to the grant of permits on the bhurkunda-Chaibasa route. It accordingly granted permits to respondents 3 and 4 herein. Appellant's appeal before the State Transport appellate tribunal, Bihar was dismissed and the view of the State transport Authority was upheld. The Appellate tribunal in support of its view placed reliance on a division bench of the Patna High court in marwari Motor Service v. Chotanagpur Regional Transport Authority in which such an objection as raised herein was negatived. The appellants writ petition against the orders of the State Transport Appellate tribunal, Bihar was dismissed in limine giving cause to the appellant to approach this court for appropriate relief.
(3.) The notified scheme dated 1/04/1960, afore-referred to, whereunder the Ranchi-Chaibasa route was declared a nationalised route was the brain child of the appellant-corporation itself. Initially a draft scheme was published in the Bihar Gazette on 13/01/1960 under the provisions of S. 68-C of the Act. Objections were invited to the proposed scheme and after considering the objections received, the State government approved the scheme with some modifications under S. 68-D (2 of the Act. The approved scheme was thennotified under S. 68-D (3 of the Act in the Bihar Gazette on 1/04/1960. The relevant extract of the scheme is reproduced below: "The Bihar State Road Transport Corporation shall run and operate stage carriage services relating to routes or portions thereof specified below to the complete exclusion of other persons except those who, on the dates, specified below, hold permanent permits to run stage carriages in those routes and are hereby allowed to operate them until the dates of expiration of the existing permits:;


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