AYYANGAR, J.: - (1.) THIS batch of 11 Appeals which have been consolidated for hearing are directed against the common judgment of the High court of Andhra Pradesh and are before us on the grant of a certificate of fitness under Art. 133(1) of the Constitution by the said High court.
(2.) THE proceedings concerned in the appeals arise out of Writ petitions filed before the High court by the several appellants before us under Art. 226 of the Constitution challenging the validity of three Schemes framed under Ch. IV-A of the Motor Vehicles Act, 1939, nationalising motor transport in certain areas in the Kumool District of the State of Andhra Pradesh which for convenience we shall refer to as the impugned Schemes. THE appellants who impugn the validity of the schemes are the previously existing motor transport operators whose permits are liable to be modified or cancelled under the provisions of the Schemes on their coming into force. THE impugned schemes were published by government as G.O.Ms. 292, 293 and 294 of the Home, Transport Department on the 5/02/1963 in virtue of the powers conferred on government by sub- s. 2 of the 68-D of the Motor Vehicles Act. THE Andhra Pradesh State Road Transport Corporation which for shortness we shall refer to as the Corporation, besides the State of Andhra Pradesh and the Regional Transport Authority, Kurnool were impleaded as respondents to the petitions. THEy are also the respondents before us. By reason of the first Scheme, 34 routes were intended to be taken over, while under the 2nd and 3rd, 17 and 13 routes respectively were proposed to be nationalised. THE routes covered by these three schemes are all in the western half of the Kurnool District. Before adverting to the points requiring consideration in the appeals, it would be convenient to set out the relevant statutory provisions relating to the nationalisation of Road Transport for it is primarily on their construction that the decision of the appeals would turn. Ch. IV-A containing special provisions relating to 'State Transport Uundertakings' was introduced into the Motor Vehicles Act (Act IV of 1939) by an amendment effected by central Act 1 of 1956 which came into effect on 16/2/19577. The Ch. consists of S. numbered 68-A to 68- 1. 68-A contains definitions and of these it is sufficient to refer to the definition of 'State Transport Undertaking' which includes inter alia 'any undertaking providing road transport service, where such undertaking is carried on by...... any Road Transport Corporation established under sec. 3 of the Road Transport Corporation Act 1950.' (to refer to the portion which is material.) (It might be mentioned that the Corporation, the first respondent before us is a body established under this enactment.) B reads:-'The provisions of this Ch. and the rules and orders made thereunder shall have effect notwithstanding anything inconsistent therewith contained in Ch. IV of this Act or in any other law for the time being in force or in any instrument having effect by virtue of any such law.' The next section C which is the one most involved in the appeals runs: 'Where any State Transport undertaking is of opinion that for the purpose of providing an efficient, adequate, economical and properly coordinated road transport service, it is necessary in the public interest that road transport services in general or any particular class of such service in relation to any area or route or portion thereof should be run and operated by the State transport undertaking, whether to the exclusion, complete or partial, of other persons or otherwise, the State transport undertaking may prepare a scheme giving particulars of the nature of the services proposed to be rendered the area or route proposed to be covered and such other particulars respecting thereto as may be prescribed, and shall cause every such scheme to be published in the Official Gazette and also in such other manner as the State government may direct.' The first two Ss. of section D enable persons affected by a Scheme published under s. C to file objections thereto before the State government within thirty days after the publication of the Scheme. It further provides for the State government considering the objections raised by persons affected by the Scheme after giving an opportunity to the objectors and the 'undertaking' to be heard in the matter before approving or modifying the Scheme. The Scheme so approved or modified is required to be published in the State Gazette and on such publication it becomes final and is to be called 'the approved scheme'. This is followed by sub-sec. (3) which reads:'The scheme as approved or modified under sub-s. (2) shall then be published in the Official Gazette by the State government and the same shall thereupon become final and shall be called the approved scheme and the area or route to which it relates shall be called the notified area or notified route: Provided that no such scheme which relates to any inter-State route shall be deemed to be an approved scheme under it has been published in the Official Gazette with the previous approval of the central government.' Section E provides : 'any scheme published under sub-s. (3) of S. D may at any time be cancelled or modified by the State transport undertaking and the procedure laid down in s. C and s. D shall so far as it can be made applicable be followed in every case where the scheme is proposed to be modified as if the modification proposed were a separate scheme.' B reads:-'The provisions of this Ch. and the rules and orders made thereunder shall have effect notwithstanding anything inconsistent therewith contained in Ch. IV of this Act or in any other law for the time being in force or in any instrument having effect by virtue of any such law.' The next section C which is the one most involved in the appeals runs: 'Where any State Transport undertaking is of opinion that for the purpose of providing an efficient, adequate, economical and properly coordinated road transport service, it is necessary in the public interest that road transport services in general or any particular class of such service in relation to any area or route or portion thereof should be run and operated by the State transport undertaking, whether to the exclusion, complete or partial, of other persons or otherwise, the State transport undertaking may prepare a scheme giving particulars of the nature of the services proposed to be rendered the area or route proposed to be covered and such other particulars respecting thereto as may be prescribed, and shall cause every such scheme to be published in the Official Gazette and also in such other manner as the State government may direct.' The first two Ss. of section D enable persons affected by a Scheme published under s. C to file objections thereto before the State government within thirty days after the publication of the Scheme. It further provides for the State government considering the objections raised by persons affected by the Scheme after giving an opportunity to the objectors and the 'undertaking' to be heard in the matter before approving or modifying the Scheme. The Scheme so approved or modified is required to be published in the State Gazette and on such publication it becomes final and is to be called 'the approved scheme'. This is followed by sub-sec. (3) which reads:'The scheme as approved or modified under sub-s. (2) shall then be published in the Official Gazette by the State Government and the same shall thereupon become final and shall be called the approved scheme and the area or route to which it relates shall be called the notified area or notified route: Provided that no such scheme which relates to any inter-State route shall be deemed to be an approved scheme under it has been published in the Official Gazette with the previous approval of the central government.' Section E provides : 'any scheme published under sub-s. (3) of S. D may at any time be cancelled or modified by the State transport undertaking and the procedure laid down in s. C and s. D shall so far as it can be made applicable be followed in every case where the scheme is proposed to be modified as if the modification proposed were a separate scheme.'
(3.) SECTION 68-F is really consequential on the approval of the scheme and sub-s. (1) thereof enacts:'Where, in pursuance of an approved scheme, any State Transport Undertaking applies in the manner specified in Ch. IV for a stage carriage permit or a public carrier's permit or a contract carriage permit in respect of a notified area or notified route, the Regional Transport Authority shall issue such permit to the state transport undertaking, notwithstanding anything to the contrary contained in Ch. IV.' Its second Ss. enables the Regional Transport Authority to refuse renewal of any other permits to private operators and otherwise to deal with those permits so as to give effect to the Scheme. S. 68-G and 68-H deal with the payment of compensation and the methods by which the same should be computed but as these. are not material, we shall not quote them. Section 68-1 empowers the State government to make rules for the purpose of carrying into, effect the provisions of Ch. IV-A and among the specific purposes for which such rules may be framed is one under s. 68-1(2) (a) which provides for the form in which any scheme or approved scheme may be published under section 68-C or Ss. (3) of Section 68-D and as usual a residuary clause reading: ' any other matter which has to be or may be considered.' These draft schemes prepared by the Corporation were published under s. 68-D in the official Gazette on the 29th of November, 1962. The appellants among others filed objections to the schemes and thereafter there was a hearing of these objections by the Transport Minister of the State under s. 68-D(2) on the 11th of January, 1963. The Minister passed an order according approval to the schemes on the 12th of February, 1963, and the schemes as finalised were published in the Gazette on the next day, 13/02/1963. In pursuance of the provisions of the schemes the Corporation made application to the Regional Transport Authority for permits. Soon thereafter the appellants and a few others filed writ petitions invoking the jurisdiction of the High court under Art. 226 of the Constitution praying for the quashing of the schemes. These petitions were dismissed by the High court by a common judgment on the 19th of April, 1963, holding that the objections made to the validity of the schemes would not be sustained. The learned Judges, however, on the application of the Appellants granted a certificate of fitness under Art. 133 in pursuance of which these appeals have been preferred. ;