JUDGEMENT
Bose, J. -
(1.) This is an application under Article 226 of the Constitution for writs in the nature of Certiorari and Prohibition for quashing of an order made by the Appellate Sub-Committee of the State Transport Authority, West Bengal dated the 21st May 1956 modifying an order of the Regional Transport Authority dated the 6th January, 1956 in respect of grant of certain stage carriage permits under the provisions of the Motor Vehicles Act. 1939 and also for prohibiting the respondents from giving effect to the said order.
(2.) The case of the petitioner is that the petitioner is a Private Limited Company registered under the Indian Companies Act. There are three members of the Company who are brothers, viz., Hari Charan Metia, who is a Driver Mechanic, Sushil Chandra Metia. who is also a Driver Mechanic and Bankim Chandra Metia. who is the Managing Director of the said Company. Since the incorporation of the Company on the 29th May, 1949 the petitioner has been plying stage carriages on permits granted under the provisions of the Motor Vehicles Act In different routes on Tamluk-Norghat and Tamluk-Terapekhia. Pursuant to a notice dated the 28th-March. 1953 published in the local weekly paper 'Pradip' applications were invited from Companies and from Co-operative Societies for two stage carriage permits for Norghat-Kalinagar route. Such applications were to be submitted by the 15th April, 1953. On 20th April. 1953 a notice dated the 18th April, 1953 was published in the said weekly paper 'Pradip' intimating that applications from twenty two concerns for two stage carriages had been received by the office of the Regional Transport Authority and by the said notice representations were also invited under 8. 57 of the Motor Vehicles Act. 1939. The petitioner Company submitted one application for stage carriage permit and Kalinagar Bus Association, the respondent No. 6 in this application, submitted two applications. On the 25th February, 1954 the Regional Transport Authority. Midnapore, at a meeting resolved to grant one stage carriage permit in favour of the petitioner Company and the other to Messrs. Jagatdhatri Transport Ltd. As these were according to the Regional Transport Authority the most- suitable candidates for getting the permits the resolution was to grant stage carriage permits for a period of three years. On 15th March. 1954 a stage carriage permit valid up to 24th February, 1957 was granted in favour of the petitioner Company for plying a stage, carriage on the Katinagar-Norghat route. The respondent No. 6, Kalinagar BUR Association, thereafter preferred an appeal against the order of the Regional Transport Authority dated the 25th February, 1954 to the State Transport Authority, West Bengal. On 16th August. 1954 the Chairman of the Appellate Subcommittee of the State Transport Authority passed the following order :
"The Sub-Committee perused the record and heard the learned Advocates of the appellant and respondents. The Sub-Committee found that the Regional Transport Authority, Midnapore. have not recorded any reason or grounds for rejecting the application of the appellant either in the minutes of the meeting or in the report to the Committee and had not complied with the provisions, of Section 57 (7) of the Motor Vehicles Act, in view of the above circumstances, the Sub-Committee set aside the order appealed against and directed the Regional Transport Authority to dispose of the matter in due compliance with the provisions of the Motor Vehicles Act and the Rules framed thereunder."
(3.) It appears that thereafter the Regional Transport Authority invited new applications for the grant of permit in Norghat-Kalinagar route. Such invitation was made by a notice dated the 14th February, 1955 which was published in the said weekly paper 'Pradip'. On 28th March. 1955 another notice was published in the said weekly paper inviting representations under Section 57 of the Motor Vehicles Act and intimating that fifty two applications had been received from different persons and concerns. It is to be noted that although fresh applications were being invited by the Regional Transport; Authority the petitioner was allowed to ply the bus on the Norghat-Kalinagar route until about the 17th September, 1955 when the petitioner Company was asked to surrender the permits issued pursuant to the order dated the 24th February, 1954 for cancellation of the same. The petitioner Company, however, surrendered only Part A of the permit which is carried by the holder of the permit but did not surrender Part B of the permit which is carried on the vehicle. The petitioner still retains Part B of the permit and it further appears that the Regional Transport Authority granted temporary permit to the petitioner in the meantime for plying the stage carriage for the convenience of the public. The new applications for stage carriage permits which had been invited by the Regional Transport Authority were heard and considered by the Regional Transport Authority on the 11th November, 1955 and the Regional Transport Authority fixed 3rd December, 1955 for passing orders on such applications. In fact, however, no order was made on the 3rd December, 1955 and the matter was postponed from time to time till 6th January. 1956 when an order was made granting the application of Sri Bankim Chandra Samanta, who is respondent No. 5 in this application, as it appeared to the Regional Transport Authority that the said Mr. Samanta was the most fit to be granted such permit. The other permit was granted in favour of Jagatdhatri Motor Transport Company. It is alleged in the petition that the said order is an invalid one, inasmuch as the permit which was granted In favour of Bankim Chandra Samanta was granted on the extraneous consideration that the said applicant was a political sufferer and was badly in need of some provisions. It is further alleged that the said order is also bad inasmuch as it does not set out the reasons for rejecting the applications of other candidates as contemplated by Section 57 (7) of the Motor Vehicles Act. The petitioner company preferred an appeal against the order of the Regional Transport Authority dated the 6th January, 1956 under Section 64 (a) of the Motor Vehicles Act to the State Transport Authority, Government of West Bengal. On the 27th February. 1956 the State Transport Authority Intimated to the Chairman of the Regional Transport Authority of the fact of the filing of the appeal before the Appellate Sub-Committee and the State Transport Authority also directed the stay of the operation of the order made by the Regional Transport Authority on the 6th January, 1956. On the 27th April 1956 the Appellate Sub-Committee of the State Transport Authority heard the said appeal preferred by the petitioner Company and on the 21st May, 1956 the Chairman of the Appellate Sub-Committee signed an order whereby the order in so far as it related to the grant of permit in favour of the Jagatdhari Motor Transport Ltd, was set aside but the order made in favour of Bankim Chandra Samanta by the Regional Transport Authority on the 6th January, 1956 was upheld. The said order is as follows :
"The Sub-COmmittee heard the appellants and persued the records. The opposite party, Sri Bankim Chandra Samanta, was present and heard but the other opposite party, Messrs. Jagatdhari Motor Transport Co. Ltd. was unrepresented, although duly notified. The appellants admitted before the Sub-Committee that they already held two permits for stage carriages. The Sub-Commit-tee also found that the opposite party No. 1 Messrs. Jagatdhari Motor Transport Co. Ltd. also held one permit for a stage carriage on Panskura-Norghat route. According to Rule 57A of the B.M.V. Rules, 1940, when applications for a permit in respect of a stage carriage have been received from a person holding one or more permits and from a person having no such permit, other conditions being equal, preference shall be given to the latter. The Sub-Committee found that the R.T.A. Midnapore had not taken into consideration the above rule. The Sub-Committee therefore set aside the order of the R. T. A. so far as it related to the grant of a permit to Messrs. Jagatdhari Motor Transport Co., Ltd. The Sub-Committee directed the R. T. A., Midhapore to make their selection for the second permit from the applications already received in this regard keeping in view the pro-Visions of Rule 57A of the B.M.V. Rules 1940. Sd/- J N. Talukdar, 21-5-1956.";