✦ Supreme Court of India

MAHARASHTRA STATE ROAD TRANSPORT v. SURI BALWANT REGL'LAR MOTOR SERVICE

Case at a glance

Judgment

stage carriage operator alongwith other such private operators, had applied for renewal of stage carriage permits which they were holding and which permits were to expire on March 31, 1961. The Provincial Transport Services (the predecessor of the appel lant) had been also operating the stage· carriage service in adjoining and nearby areas and had made applications sometime in January, 1961 for grant of substantive permits for the same routes. The Provincial Transport Services had published a ·scheme under s. 68D of the Motor Vehicles Act, 1939 (herein after called the 'Act') under which it proposed to take over seve ral routes in the region including the routes in respect of which renewal applications were made by the appellant and the private operators. The scheme was approved by the Chief Minister of the then Bombay State. The approval was, however, challenged by private operators in Special Civil Application No. 86 of 1962 in the High Court. By its order dated 29/30th August, 1963 passed in that case, the High Court quashed the scheme with the direction that the matter should be reconsidered by th~ approving authority. The scheme was thereafter not pursued. By a notification dated June 10, 1961 under s. 47A of the Road Transport Corporation Act of 1950 the Central Govern ment provided for the amalgamation of the Bombay Road Trans port Corporation with the Commercial Undertaking of the State Government namely the Provincial Transport Services. It was also provided in the notification that any application for permit made by the Provincial Transport Services would be deemed to be an application made by the Bombay Road Transport Corpora tion. In other words, the Provincial Transport Services was substituted by the State Road Transport Corporation which is now known as Maharashtra State Road Transport Corporation (hereinafter referred to as the 'appellant'). The applications for renewal of permits and applications for su"bstantive permits were considered by the Regional Transport Authority, Nagpur (hereinafter called the 'R.T.A.') on October 9 and 10, 1964 and the R.T.A. passed a common order by which all tlie applications for renewal made by private operators were the appellant. This rejected and the permits were granted to order of the RT.A. was challenged bv the private operators in Special Civil Application No. 603 of 1964. One of the grounds on which the order was challenged was that the RT.A. was not validly constituted. By its order dated January 14, 1965, High Court quashed the order passed by the RT.A., holding that it was not properly constituted on October 13, 1964 when passed the common order. Thereafter the applications for rene· wal of permits and for fresh grant of permits were again consider ed.by the RT.A. at its meeting held on May 10, 1965. By its order on the same date, the R.T.A. dismissed all the applications ... • 812 SUPREME COURT REPORTS [1969) ! S.C.R. - that A for renewal made by the private operator:. and directc<l substantive permits for these routes should be granted to appellant. The order of the R.T.A. dated May 10, 1965 was challenged by the private operators in different Civil Applications. One of the apphcations was Special Civil Application No. 488 of 1965. In this application, one of the prayers was to the effect that pending the decision of the application the R.T.A. should be directed to maintain srarus quo. Clause 3 of the prayer was to the following effect : s "That pending the decision· of this application the R.T.A. Na)!pur be directed to maintain status quo l'iZ .. to grant temporary permit to the petitioner as it has been done upto now on the routes Chikhli--Buldana and Chikhli-Deulgaonraja on which the petitioner is operating his vehicles." On June 4, 1965 Paranjpc, J. ordered as follows "Ruic. Expedite hearing at Kagpur on 21-6-1965. !n the meantime R.T.A. l'\a~pur to maintain srarus quo m terms of Clause 3." The interim order was subsequently confirmed by the High Court and all the petitions were directed to be heard together. · During th.~ pcndency of the Special Civil Appiications in the Hi!'.h Court an application ""'" made to the R.T.A. JOtntly <ln behalf of the appellant and the private operators. A copy of that application is included as document no. 17 in Special Civil Application '.\'o. 575 of 1967. The joint application stated that the appellant and the private operators. with a view to end all litigation, had agreed to settle the matter on certain terms. One of the terms was that the Special Civil applications filed were to be withdrawn. The application for compromise was considered by the R.T.A. at its meeting held on September 10 and I!. 1965. The JJri,·atc operator; including r~spondem :---,1. 1 assured the R.T.A. thai they would withdraw the petitions pending in Hi~h Court. Upon such assurance the R.T.A. considered m;t:cr at the meeting and after hearing the parties decided that the ~rrellant who was granted substantive permits by its order dated May IO. 1965. would commence operation on the routes described in Sch. 'A' from November I. 1965. In regard to the routes mentioned in Sch. 'Tl' for which also the appellant had been granted substantive permits by the order of the R.T.A. dated May 10, 1965. the appellant was to be permitted to com mence operation from July !. 1965 and the private operator< in cluding respondent \lo. I were to be allowed to operate on the11e routes on temporary permits uptil June 30. 1967. This intervaf c D E F G H TRANSP. CORP. v. BALWANT SERVICE (Ramaswami, J.) 813> • A B c D E F G H of time was given to the P!ivate ~perators .appare~tly to help. them to wind up their busmess without havrng to mcu~ any loss and to assure certainty of better transport to the public. With regard to the third category of routes covered by Sch: 'C' of the order of the RT.A., the private operators were operating on sub stantive permits which they agreed to surrender in favour of _the appellant. The appellant, however, had not m~de any a~phca­ tion till then for these routes. The RT.A. decided that it had to consider these routes on merits by inviting applications as pro vided under the Act since the private operators holding substan tive permits in respect of these routes were voluntarily surrender ing them. Subsequently, the Secretary, RT.A. on application& made by the parties, granted temporary permits to the appellant in respect of 20 of these routes and to the private operators in respect of 22 other routes. The decisions were actually reached by the RT.A. in presence of all the parties and subject to condition that the private operators would withdraw their peti tions pending in the High Court. It appears that on October 8, 1965 the private, operators including respondent No. 1 withdrew the petitions from the High Court and informed the RT.A. of. such withdrawal. The R.T.A. thereupon on October 15, 1965, announced its decisions which it had taken on September 10/11, 1965. Thereafter the RT.A. invited applications in respect of Sch. 'C' routes but the private operators including respondent no. 1 made applications not only in respect of Sch. 'C' routes in cluding those which were being operated by the appellant, but in respect of Sch. 'B'. routes as well. These applications were made during the month of February, 1967. The appellant had also made applications in respect of Sch. 'C' rouies in January, 1967 in response to a notification of the RT.A. On April 5, 1967: the Secretary, R.T.A. issued permits to the appellant for a penod of five years, commencing from July 1, 1967 in respect of Sch. 'B' rou'.es, actin~ upon the order of R.T.A. dated May 10. 1965 grantmg permits to the appellant and the subsequent order of the R.T.A. dated September 10/11, 1965 allowing the appellant to commence operations from July 1, 1967. The applications of the parties for substantive permits in res pect of Sch. 'C' routes and the applications made by the private operators in respect of Sch. 'B' routes, were considered by RT.A. in its meeting held on June 28/29, l967. After con si~eri_ng each case on ~erits, the RT.A. granted substantive per mits m respect of Sch. C' routes to the appellant and rejected the applications of the private operators for the same. With regard to the applications of the private operators in respect of Sch. 'B' routes and in respect of some routes of Sch. 'C' for which they had ~PP)ied after expiry of the date prescribed for making of such P.ppl1cat10ns, the RT.A. expressed the view that such applica tions could not be maintained in respect of Sch. 'B' routes since , • 81-1 SCl'ROIE COCRT RlPORTS [ l 969] I S.C.R. substantive pennits for those routes had already been granted by the R.T.A. in favour of the appellant on May I 0, 1965. As rcg~rds Sch. 'C' routes, the applications of the private operators were held to be not maintainable as they were tiled late. There aft~r the private operators including respondent no. I voluntarily converted their applications into applications for additional tim 'Ilic RT.A. thereupon decided to ings or trips on those routes. postpone consideration of these applications for additio11~1l tim ings in order to enquire and satisfy itself about the existence of the additicnal need. This order of the RT.A. dated June 28,'29. 1967 was challenged by the priva1.e operators including respon <:lcm no. I in Special Civil Applicalions which are the subject matlcr of these appeals. By its judgment dated October 20. 196 7. the Bombay High Court allowed the Special Ci"il Applications an<l granted a \\"I it in the nature cf ccrtior11ri qua~hitl!! the crdcrs -0f the R.T.A. dated September 10/J I. 1965 and June 28/29, 1967 and the permits issued by the Secretary. R.T.A. to appellant on April 5, 1967. With regard to the order. of R.T.A. dated May I 0, 1965 granting 'subs1anti\'e permit> to the appellant in respect of Sch. 'A' and Sch. 'B' routes. the High Court held that the said order had become "unworkable" in r~spect of Sch. 'R' routes and hence to that extent quashed that order. \vhcthcr The first question arising in this case is l-ligh -Court wa' right in takin_g the view that the order of the R.T.A. dated Mav I 0. 1965 granting substantive permits to the appellant wa, invalid mcrclv because : (I l the n~rind of v"lidi1v nf 1hc permit was not ex.pressly mentioned. and (2) the order does not the permit. As mention the commencement of the period of regards th.~ first ground, there is no statutory requirement that the R.T.A. is required to expressly mention in its order for what Jn this connection reference period the permit was to be granted. mav he made to ss. 46. 48 and 58 ( l )(a) of the Ac~ which -state : "46. An application for a permit in rcsncct of a service of stai!c carriae:cs or to use a particular niotor v~hicle as a stage car~iage (in this Chapter referred to as a stage carriag.~ permit) shall. as far as may he, con tain the following particulars. namely : (a) the route or routes or the area or areas to ·.vhich the application relates; (h) the mun her of vehicles it is proposed to operate in relation to each route or area and the type and seatin_g capacity of each such vehicle; (c) the minimum and maximum number of daily <crvices proposed to he provided in relation to • A 8 c D E F G H ' TRANSP. CORP. V. BALWANT SERVICE (Ramaswami, J.) 8 !5 • - ' A ·C D E F <G H (e) (d) each route or area and the time-table of normal services; the number of vehicles intended to be kept in reserve to maintain the service and to provide for special occasions; the arrangements intended to be made for housing and repair of the vehicles, for the com fort and convenience of passengers and for the storage and safe custody of luggage; (f) such other matters as may be prescribed." "48. ( 1) Subject to the provisions of s. 47, a Re gional Transport Authority may, on an application made to it under section 46, grant a stage carriage per mit in accordance with the application or with modifications as it deems fit or refuse to grant such a permit : Provided that no such permit shall be granted in respect of any route or area not specified in the applica- tion. · (2) Every stage carriage permit shall be expressed to be valid only for a specified route or routes or for a specified area. (3) The Regional Transport Authority, decides to grant a stage carriage permit, may grant the permit for a service of stage carriages of a specified description or for one or more particular stage carriages, and may, subject to any rules that may be made under this Act, attach to the permit any one or more of the following conditions, namely : (i) that the service or any specified part thereof shall be commenced with effect from a >peci fied date; " "58. (1) (a) A stage carriage permit or a contract carriage permit other than a temporary permit issued under section 62 shall be effective without renewal for such period, not less than three years and not more than five years, as the Regional Transport Authority may specify in the permit." It is true that s. 58 (1 )(a) provides that the duration of the permit should be not less than three years and not more than five years as the R.T.A. m~y specify in the permit. But there is nothing in s. 48 ( 1) of the Act which states that the R.T.A. is ,.equired to specify expressly in the order of the grant of the permit as to for what period the permit is to be effeciive. It is • SIG Slil'REME COLRT REPORTS ( 1969 j ; S.C.R. requires the application manifest however in the present case that the period of validity of the permit should be deemed to be five years because the order of the R.T.A. should be construed as an order of grant of a stage carria,!:e permit "in accordance with the application" under '· 48 ( I ) ot the Act. In other words the order of the R.T.A. dated May IO, 1965 should be construed in the context of the language of s. 48 (I) of the Act which empowers the R.T.A. to grant a stage carriage permit "in accordance with the applica tion" or "with such modifications as it deems fit or refuse to grant such a permit". In the present case, the R.T.A. did not make any modification and it must therefore be deemed that the grant of the pem1it was made in accordance with the applica tion of the appellant which expressly declares the period of validity of the permit applied for to be of five years (sec the appli cation of the appellant printed at page 205 of Vol. n of Paper Book). Reference may be made in this connection Ruic 80 of the Bombay Motor Vehicles Rules which provides for the forms of application for permits and to Form P. St. S.A. prescribed under that Rule which mention for what period the stage carriage permit is to be grant ed. We are accordingly of the opinion that the order of R.T.A. dated May 10, 1965 cannot be held to be illegal merely because the period of validity of the permit has not been expressly It was, however, argued by Mr. Phadke on mentioned therein. behalf of respondent no. 1 that the period of commencement of the permit should have been mentioned hy the RT.A. in its order of May 10. 1965 and the omission of the R.T.A. to do so in It was pointed out hy Mr. Phadkc that the validated the order. order of the grant of permit was made on May 10. 1965 hy R.T.A. hut the permits were actually issued to the appellant on April 5. 1967 to be eflcctivc for five years from that date. There is, however, nothing in the Act or in the Rules to suggest that the RT.A. is under an obligation to mention in the order of grant of permit the actual date from which the permit was to he eflec tivc. Mr. Phadkc. referred to s. 48 ( 3 )( i) of the Act which states that the RT.A .. if it decid.~s to grant a permit. mav grant the permit for a service of stage carriage of a specified descrip tion and maY. subject to anv rules that may he made under the Act. attach to the permit a condition that the service or any speci fied part thereof shall be commenced with efleet from a specified It is manifest that this statutorv provision is merclv per date. missive and it does not apply to the order of grant of a permit Jn the absence of which is dealt with in s. 48 (I) of the Act. anv express statutory provision it must he taken that the date of the commencement of the period of the pennit would be date from which the permit is actuallv issued which is April .~. 1967 in the present case. The view that we have expressed is in Shree home out by the decision of the Bombay High Court ... A c D E F G H - ' - TRANSP. CORP. v. BALWANT SERVICE (Ramaswami, J.) 817 • A B Laxmi Bus Transport Co. v. The R.T.A. Rajkot(') in which it was said that when an application for renewal ofa stage c;arriage ~rmit is granted under s. 58 of the Act, subsequent to the date on which the period of the permit expires, the period specified in the renewal cannot be made to commence retrospectively from the date of the expiry of the permit sought to be renewed but will commence from the date on which it is actually renewed. Hence, it is not possible to accept the argument of Mr. Phadke that the order of the RT.A. dated May IO, 1965 is illegal merely be .cause the date of commencement of the operation of the permit In our opinion, the High Court was in is not specified therein. error in holding that the order of the RT.A. dated May 10, 1965 was legally invalid either because the period of validity of permit or the date of commencement was not mentioned therein. The next contention put forward by Mr. Phadke is that the order of the RT.A. dated September 10/11, 1965 fixing the date of the commencement of the service was an order which was tantamount to a review of the previous order of the RT.A. dated May l 0, 1965 and as no express power of review is. conferred on the RT.A. by any provision of the Act, the order of Septem ber 10/11, 1965 was illegal and ultra vires. In this connection Mr. Phadke referred to the decisions of this Court in Harbhajan Singh v. Karam Singh( 2 ) and Chunibhui v. Narayanrao( 3 ) and contended that a. tribunal of limited jurisdiction has no inherent power to review its own orders except in the matter of clerical error. We consider that there is no substance in the argument It is not correct to put forward on behalf of respondent no. 1. say that the order of the RT.A. dated September 10/11, 1965 is an order of review of the previous order dated May 10, 1965, because the later order of the RT.A. fixing the date of com mencement of the service is only supplemental and filled up an omission in the previous order of May 10, 1965 which was left intact. We pass on to consider the next question arising in this case, namely, whether the order of the RT.A. dated September 10/11, 1965 was invalid because it was passed during the subsistence of the stay order of the High Court dated June 4, 1965 in Special Civil Application No. 488 of 1965. The High Court has taken the view that the order of the RT.A. dated September 10/11, 1965 was invalid because it was made on a compromise reached by the parties during the operation of the stay order of the High Court in Civil Application No. 488 of 1965. In our opinion, the· High Court was not right in taking the view that the RT.A. had violated the stay order. The parties had themselves approached the RT.A. on the basis of the compromise which was meant to {fi 62 Born.LR. 958. (2) A.I.R. 1966 S.C. 641. (3) A.LR. 1965 S.C. 1457. E F H • 818 StiPRF~tF C:OtJRT RFP<lRTS [I 969] I S.C.R. put an end to a long protracted litigation and which allowed time to the private operators to wind up their business. On a perusal of the order of the R.T.A. dated September 10/11, I %5 it manifest that the R.T.A. was careful to say that the compromise will come into effect only after the withdrawal of the writ peti tions by the private operators. To put it differently, the order made by the R.T.A. on September I 0; 11, 1965 was a conditional order, namely, an order which was intended to come into effect only after the writ petitions in the High Court were withdrawn le is not disputed tliat the order of the by the privat.~ operators. R.T.A., though dated September JO, 11. formally announced on October 16. 1965 after the private operators had withdrawn the writ petitions on October 8. 1965. Jn these cir cumstances we hold that there is no violation of the stav order of the High Court and the order of the R.T.A. dated Septemher I 0'11. 1965 which was formailv announced on October 16, 1965 is not in anv way invalid. 1965 was Jn any event; we are s:11isfied that it is not open to the private operators including respondent no. 1 to apply for a writ in the nature of certiorari for quashing the order of the RT.A. dated It is not dis September 10/11, 1965 in view of their conduct. puted that the private operators including respondent no. 1 were present in the meeting of the R.T.A. held on September 10/11, 1965 either personally or through duly appointed Counsel. Res pondent no. I and the other private operators assured the R.T.A. at the hearing that they would withdraw the writ petitions pend ing in the High Court. On such assurances and subject to actual withdrawal of the writ petitions in terms of the assurance, the R.T.A. considered the matter in the said meeting and after hearing the parties. made an order giving elTect to the compro It is obvious that the private operators including respon mise. I 0/ 11, dent no. I were parties to the order dated September 1965. had accepted that order. acted upon it and derived bene fits and advantages from it for nearly on.z ye; tr and 9 months. But for the said order which susnended the operation of the per mit of the appellant till July I, 1967 the private operators includ in.g respondent no. I could not have got temporary permits to operate on the same routes as no stage carriage permits could be issued under s. 62 of the Act during the subsistence 0f substan iive pern1its. In these circurnslanccs \Ve consider thut there \Vas such acquiescence in the RT.A.\ order datci I 0/ 11. September 1965 on the nart of respondent no. I and other private operators as to discntitlc them to a grant of a writ under Art. 226 of the It is wcll-e<tablished that the writ of certiorari will Constitution. not be ~ranted in a case where there is such negligence or omis sion on the part of the applicant to assert his right as. tak~ in conjunction with the lapse of time and other - circumstances, A. B c D E F G -· ..... • > TRANSP. CORP. V. BALWANT SERVICE (Ramaswami, !.) 819· • A B c D E F G H ... • • causes prejudice io the adverse party. The principle is to a great extent similar to though not identical with, the exercise of dis ~retio~ in the Court of Chancery. The principle has been clearly stated by Sir Barnes Peacock in Lindsay Petroleum Co. v. Prosper Armstronfi Hurd Abram Farewell, and John Kemp(') as follows: remedy were afterwards "Now the doctrine of !aches in Courts of Equity is not an arbitrary or a technical doctrine. Where it would be practically unjust to give a remedy, either be cause the party has, by his conduct, done that which might fairly be regarded as equivalent to a waiver of it, or where by his conduct and neglect he has, though perhaps not waiving that remedy, yet put the other party in a situation in which it would not be reasonable io be to place him if the asserted, in either of these cases, lapse of thne and delay · are most material. But in every case, if an argument against relief, which otherwise would be just, is founded upon mere delay, that delay of course not amounting to a bar by any statnt.~ of limitations the validity of that defence must be tried upon principles substantially equit- able. Two circumstances, always important in such cases, are, the length of the delay and the nature of the acts done during the inierval, which might affect either party and cause a balance of justice or injustice in taking the one course or the other, so far as relates to the remedy." recent This passage was cited with approval by this Court in a case-The Moon Mills Ltd. v. M. R. Meher, President, Indus trial Court, Bombay('). In our opinion the principle of this deci sion applies to the present case and since respondent no. 1 and the other private operators had not even pleaded any circum stances justifying the delay or their conduct, the High Court was in error in granting a writ of certiorari in their favour . regarding · We next proceed to consider the question validity of the order of the R.T.A. dated June 29, 1967. Tue High Court has taken the view that this order is invalid for two ( 1) the order of the R.T.A. is oral and not in writing, reasons : and (2) no reasons were hnmediaiely given by the R.T.A. for the order. In the present case, what actually happened was that the orders of the R.T.A. were made at its meeting held on June 28/29, 1967. Respondent no. 1 was admittedly present at this meeting and knew of the orders of the R.T.A. It is also not dis~ outed that the orders made on June 28/29, 1967 were in the· form of resolutions and the minuies of the meeting were formally "recorded on July 20, 1967 and communicated to respondent no. t (1) (1874) 5 P.C. 221,239. ' (2) A.1.R. 1967 S.C. 1450,1454. • .s 20 SUPREME COCRT REPORTS [ 1969] I S.C R. • and the other private operators on the same date. The letter of A July 20, 1967 communicating the resolution dated June 28/29, 1907 is Anr.ernre ·N' to the Writ Petition )io. 634 of 1967. In this letter detailed reasons arc given by the R.T.A. in support of its order granting stage carriage pennits to the appellant for the In our opinion, the procedure adopted by the routes in question. RT.A. does not contravene any provision of the Act or Rules B made thereunder and no legal principle has been violated. Refe rence may be made in this connection to s. 57 of the Act and Rules 67 and 68 of the Rules which are following - dw: "S. 57. (I) An application for a contract carriage permit or a private carrier's pennit may be made at any time. (2) An application for a stage carriage pennit or a public carrier's pennit shall be made not less than six weeks before the date on which it is desired that the pennit shall take effect, or, if the Regional Transport Authority appoints dates for the receipt of such applica tions, on such dates. for a application ( 3) On receipt of an the Re carriage pennit or a public carrier's pennit. gional Transport Authority shall make the application available for inspection at the office of the Authority and shall publish the substance thereof in the prescribed manner together with a notice of the date before which representations in connection therewith may be submitted and the date, not being less than thirty days from such publication, on which, and the time and place at which. the application and any representations received will be considered : application or Provided that, if the grant of any pennit in accord ance with the application or with modifications would have the effect of increasing the number of vehicles operating in the region, or in any area or on any route within the region. under the class of permits to which the application relates, beyond the limit fixed in that be half under sub-section (3) of section 47 or ·sub-section the Regional (2) of section 55, as the case may be, Transpori Authority may summarily refuse the applica tion without following the procedure laid down in this sub-section. ( 4) No representation in connection with an appli cation referred to in sub-section (3) shall be considered by the Regional Transport Authority unless it is made C D E F G H • ,1 ,. i r I • - • I TRANSP. CORP. \". BAL WANT SERVICE (Ramaswami, J.) 8 21 • A B c D E F G H • in writing before the appointed date and unles~ a copy thereof is furnished simultaneously to the applicant by the person making such representation. ( S) When any representation such . as is referred to in sub-section ( 3) is made, the Reg10nal Transport Authority shall dispose of the application at a public hearing at which the applicant and the person making the representation shall have an opportunity of being heard either in person or by a duly authorised represen tative. ( 6) When any representation has been made by the persons or authorities referred to in section SO to the effect that the number of contract carriages which permits have already been granted in any region or any area within a region is sufficient for or in excess of the needs of the region or of such area, whether such representation is made in connection with a particular application for the grant of a confract carriage permit or otherwise, the Regional Transport Authority may take any such steps as it considers appropriate for the hearing of the representation in the presence of any persons likely to be affected thereby. (7) When a Regional Transport Authority refuses an application for a permit of any kind, it shall give to the applicant in writing its reasons for the refusal. " "Rule 67. Regional Transport Authorities.- ( 1) The Regional Transport Authgrify shall meet at such. times and at such places as its Chairman may appomt. Provided that it shall meet not less than once in each month unless the State Transport Authority otherwise directs. (2) Not less than 3 days' notice shall be given to every member of any meetlng of the Regional Trans port Autho, rify. (3) A member of the Regional Transport Autho rity shall attend at least six meetings in each financial year. The State Government may at any time remove any such member from office on his failure to attend the minimum number of meetings fixed under this rule. The State Government may also remove from office any member for any other cause . LISup.CI/69-6 .. • 822 SL.f'REME COllRT REPORTS [1969], SCR ( 5) Where a Regional Transport Authority con sists of more than three members. the number of mem bers whose presence shall constitute a quorum shall be one half of its members and where it consists of If within three members, the quornm shall be two. half an hour from the time appointed for the meeting a quorum is not present, the meeting shall be adjourned to such day and at such time and place as the Chair man or the Presiding Officer nominated under sub-rule (6) may appoint: and if at the adjourned meeting a quorum is not present. the memhers present shall be a quorum. ( 7) The Chairman or the Presiding Otlicer have a second or casting vote." "68.(1) ( 2) Subject to the provisions of the Act and these rules and to the approval of the State Govern ment. a State or a Regional Transport Authority shall have power lo make bye-laws to regulate the conduct of its business and shall likewise have power lo amend or rescind such bye-laws and the business of Transport Authority shall be conducted according to such bye-bws under the direction of the Chairman. (3) Sav.~ in !he case of the hearing of an objec tion to the grant of stage carriage permit or of a public carrier's permit and in the case of the hearing of a representation under sub-section ( 6) of section 57. a State or a Regional Transport Authority, as the case a may be, may decide any matter. without holding meeting by the majority of the votes of members re corded in .writing and sent to the Secretary (hereinafter rr.fcrrcd to as procedure by circulation). A B c D E F G ( 6) The St;ite or the Regional Transport Autho rity. as the case may be, may require any applicant for a permit to appear before it and may withhold the consideration of the application for the pennii until the applicant has so appeared in person if so required. or by any recognised agent if so permitled. and until the applicant has furnished such infonnation as may be required bv the Transport Authority in connection with the application. JI • TRANSP. CORP. V. BALWANT SERVICE (Ramaswami, J.) 823 • A B c D E F G H Explanation.-In this sub-rule, except in cases falling under sub-section ( 5) of section 57, the expres sion "recounised agent" means a pleader or·the father, son, broth~r, partner or employee of the applicant duly authorised by him in writing or any other person so authorised an drecognised by the Transport Autho rity concerned as a fit person to be a recognised agent under its bye-laws made under sub-rule (2). (7) Nothing contained in this ru~e shall prev~n~ a State or Regional Transport Authority from deciding by following the procedure by circulation any matter which has been considered at a meeting or has been the subject of a hearing and upon which a decision has been reserved. (8) Where a matter is decided by the votes of members present at a meeting of a State or Regional Transport Authority, no perscm other than a member of the Transport Authority shall be entitled to be pre sent and no record of the voting shall be kept save of the number of votes cast on either side; provided that when any matter is decided by the exercise of the se cond or casting vote of the Chairman or the Presiding Officer the fact shall be recorded." On behalf of respondent no. 1 Mr. Phadke conceded the procedure adopted by the RT.A. did not contravene any section of the Act or the Rules made thereunder. Counsel, however, put forward the argument that even in the absence of any express provision a statutory tribunal has to give its order in writing and no oral judgment can be legally given. It was also coniended on behalf of respondent no. 1 that it was not suffi cient that reasons for the decision were given subsequently by the RT.A. in its letter dated July 20, 1967 but the reasons should have been given simultaneously at the time of the resolutions on June 28/29, 1967. We are unable to accept this argument as correct. As we have already stated, there is no provision either in the Act or the Rules which requires the RT.A. to give a written decision with regard to the grant of a stage carriage per mit. Nor is there anything in the Act or the Rules which by necessary implication throws a duty upon the RT.A. to give a written judgment in each case and to give reasons thereof alonrr It is true that s. 57 (7) of the Act with the , written decision. requires the RT.A. fo give in. writing the reasons if it refuses an application for a permit ·of any kind. But in the case of a grant of a permit the statute does not impose any such duty upon tlle RT.A. Mr. Phadke on behalf of respondent no. 1 has been unable to point fo any section of the Act or any Rule from which • • 824 SlJPREME COCRT REPORTS (1969] I SCR a necessary implicacion can be dr<1w11 ch.it -uch " ducy is thrown upon the R. T.A. Reference was, holl'cvc1, !lladc by Mr. Phaake to two decision of this Court in Bhagat Raja v. The Union of in PraK Das Vmar Vaishya v. The Union of l11dia(') and India{°). In the former case the appellant was one of sever.ii applicants for a mining lease in Andhra Pradesh. The State Gov ernment however granted it to respondent no. 3. The appellant chcn filed an application in revision, under s. :;o of the Mines & Minerals (Regulation and Development) Act, l 957 read wich r. 54, to the Union of India. Respondent no. 3 filed a counter statement and che Stat.~ Government filed its comments. The appellant tiled a rejoinder. The Union Government without hearing the <tppellant rejected his revision application. An appeal was filed before this Court. The question which fell for consideration was whether it was necessary for the Government of India to give reasons for its decision in view of the provisions of the Act and che Rules or b.~cause the decision W<Ls liable to be questioned It was held by this Court in these cir- in appeal to this Court. - cumstances that "a speaking order is all the more necessary in the case of a decision under r. 55 because !here is provision for new material being placed before the Central Government which was not there before the State Government, and further, because the decision. affecting important rights of parties, is given in a summary manner without a hearing being allowed to the parties and that a party was entitled to know why the decision has gonl.! against him". orders of the Central Govemment were set aside arid the Central Government was directed to decide the review applications afresh in the light of the observations made. i.e., Praf? Das Umar Vaishya v. The U11ion of India(') the same prin ciple was reiterated. It is manifest chat the material facts in the pre sent case are different. The significant fact in the present case is that the decision of the R.T.A. on June 28/29, 1967 was given after hearing respondent no. 1 and the other private operators who were present at the meeting of the RT.A. either personally or through Counsel and reasons for the decision were also com municated to respondent no. 1 and other private operators by a registered letter dated July 20, 1967. The principle of decision of this Court in Bhagat Raja v. The Union of India(') and in Prag Das Umar Vaishya v. The Union of India(') has there fore no bearing upon the determination of the question involved in the present case. Apart from any requirement imposed by the statute or statutory rules either expressly or by necessary impli cation we are unable to accept the contention of Mr. Phadke that there is any general principle that a statutory tribunal should always give always give its judgment in writing and In the result, the appeal was allowed and In the latter case, should [1967J 3 S.C.R. 30:!. (I) (2) Ci\'il Appeal ~o. 657 l1i 1967 d~cidC'd on A\1('11-;r Ii. 1967 . • • A B c D E F G H TRANSP. CORP. v. BALWANT SERVICE (Ramaswami, J.) 825 • A reasons thereof immediately with the pronouncement of judgment. - B c D E F G H law on In English law, an applicant for a cert!or~ri was required to verify by his affidavit a copy of the conv1ct10n or other record of adjudication complained of, or to explain his failure to do so. The ru.le in question was r. 35 of the Crown Office Rules, 1886 which seems merely to have codified the common subject. This rule was later replaced by Rules of Supreme Court It is appa and 0.59 r. 8 ( 1) is substantially to the same effect. rent that this rule, like the earlier rules, though it calls for a written record when a certiorari is moved for, permits its absence at the outset if the applicant accounts for his failure to lodge th~ order to the satisfaction of the Court. At Common Law practice was that if the conviction or order attacked had not been put in writing, the applicant for the certiorari would simply so state in his affidavit, and thus its non-production would be If the court was persuaded that the con- excused at that stage. viction or order when in writing would probably be quashablc, it would grant the certiorari, and order return of record of It is well-settled by several English authorities adjudication. that even though there was no such record when the inferior tri bunal received the writ of· certiorari it could not defeat the writ by making a return that the record was not drawn up or that If it did so, then the return would had only made an oral order. be quashed, and the tribunal directed to enter the conviction or order and return it: R. v. Levermore( 1 ) R. v. Lichfield( 2 ); R. v. Coles( 3 ) and R. v. Trafford('). This was the legal posi tion even though at common law a practice had grown up of not drawing up convictions until an appeal was taken or a certiorari received, which practice was continued by the Summary Convic- tion Rules, 1915, r. 53 and later by the Magistrates' Courts Rules, 1952, r. 19(1 ). These rules referred to convictions not being drawn up till needed for an appeal or other "legal purpose" . .That an oral order was a legally valid order is also indicated by the decision of the Court of Appeal in Rex v. Newington Licensing Justices (') in which the lessee of premises in respect of which a justices off-licence was in force applied for the transfer of the licence to her from the previous lessee and hearing of the application it appeared that the applicant had mortgaged the premises by way of sub-demise to the lessors and the justices considering the mortgage to be 'an agreement or other assurance under which the licence was to be transferred and held' within the meaning of s. 25, the Licensing (Consolidation) Act, 1910, purported to order the applicant to licensee. At sub-s. 2, of (!) (j,) (1700) I Salk. 146. [1845] 8 Q.B. 75. (2) (4) [ 184.l] 4 Q.B. 893. (1855) 4 W.R. 55. (5) [IQ48] I K.R. 681. • 826 SUPRHIE COt:RT REPORTS (1969] I SC.R . in writing It ""'" held by the Court of Appeal that the justices produce it. had no power to order the production of any document, even if it were a document which the section required to be produced and that in any view the mortgage was not such a document, and the order o[ the justices was therefore made without jurisdiction. The order of the justices was, however, made orally al the hearing of the application and had not been reduced into writing at the time when the motion for an order of certiorari was made. On this point the Court of Appeal held that it had no power to dca: with any order but an order certiorari. The court, therefore, refused to give judgment ;mtil the order was reduced into writing, but consented to hear the arguments on an undertaking being given by the panic.> th3t the order would be duly reduced into writing and produced before the Court. After the Court of Appeal had beard the argi.1ments a written order was drawn up by the justices and produced before the Court which thereafter delivered the judgment and quas:hed the order of the grant of a writ. Reference should in this context be made tu s. 12 (3) of the Tribunals and Inquiries Act, 1958 ( 6 & 7 Elizabeth 2.c. 26) which contemplates that a tribunal or any Minister may furnish a statement, either written or oral, of the reasons for the decision if requested. on or before the g:ving or notiilcation of the decision. to state the reasor.s. Scctinn 12 provides as follows : in proceedings "(I) Subject to the provisions of thi> section. where after the appointed day- (a) any such tribunal as is specified in the FiM Schedule to this Act gives any decision. or (b) any Minister notifies any decision taken by hi111 after the holding by him or on his behalf of n statutory inquiry ............... . it shall be the duty of the tribunal or Minister to furnish a statement, either written or oral, of the reasons for the decision if requested, on or hcfore the giving or notification of the deci- sion. to state the reasons : Provided that the statement may be ref,1sed, or the specification of the reasons restricted. on grounds of national security, 3~<l the tribu- nal or Minister may refuse to fun11sh the state- ment to a person not primarily concerned with funiish it the decision if of opinion • A. B c u E F G H - A B C D E TRANSP. CORP. v. BALWANT SERVICE (Ramaswami, J.) 827 • would be contrary to the interests of any person primarily concerned. ( 3) Any statement of the reasons for such a deci sion as is mentioned in paragraph (a J or ( b) of sub-section ( 1) of this section, whether given in pursuance of that sub-section or of any other statutory provision, shall be taken to form part of the decision and accordingly to be incorpo rated in the record. ,, It should be noticed that under this section, the statement of reasons may be oral and any snch statement "shall be taken to be a part of the decision and accordingly to be incorporated in the record". Further, the duty to give reasons arises only whe.n a request to give them is made to the tribunal or to the Minister. No such duty arises under this sub-section if the requ~st is made after the decision has been given or notified. We are therefore of the opinion that in the absence of any statutory provision there is nothing wrong in principle if an administrative tribunal gives a decision orally and subsequ~ntly reduces to writing the reasons thereof and communicates it 10 the parties. We accordingly reject the argument of Mr. Phadke on this aspect of the case. For the reasons expressed we hold that the judgwent of the Bombay High Court dated October 20, 1967 should be set asi<le and Special Civil Applications Nos. 540, 570 to 572, 575 to 596 and 634 of 1967 filed by respondent no. 1 and other private operators should be dismissed. We accordingly allow appeals with costs-there will be one hearing fee. V.P.S. Appeals allowed . •

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