KALLAYYA NINGAYYA HIREMATH Vs. STATE OF KARNATAKA

JUDGEMENT

(1.) The petitioners are all transport operators operating stage carriage services under valid permits granted by the Regional Transport Authority, Raichur, (respondent-2), on various routes within the district of Raichur. Some of the petitioners are operating the stage carriages from the year 1950 onwards. The General Manager, Karnataka State Road Transport Corporation, (hereinafter referred to as the Corporation), with an intention of operating its stage carriage services to the exclusion of private operators including the petitioners, by a Notification No. MST. CO. PLN. RCH.32/70 dated 8-4-1970 published in the Official Gazette on 16-4 1970, proposed a scheme as per Section 68-C of the Motor Vehicles Act, 1959, (hereinafter reffered to as the Act), to nationalise as many as 1 2 8 routes in the district of Raichur. A copy of the said notification is attached with the petition as Annexure-B. The scheme was essentially a route scheme in contra distinction to the 'Area' scheme. It provided exemptions to the existing Inter State operators operating on the Inter State routes. On this scheme, it appears, no final decision was taken, and ultimately the Corporation proposed another scheme by a Gazette Notification No. KST. CO. TR. PLN. RCH.5909 dated 30-8-1982 superseding the 1970 Scheme. As per the said scheme, as many as 174 routes were sought to be nationalised. A copy of the said Gazette Notification dated 30- 8- 1982 is attached with the writ petition as Annexure-C. Objections to the said scheme were invited. The petitioners who are the persons directly affected, filed elaborate objections pointing out to the authorities that the 1982 scheme is uneconomical, not properly co-ordinated, among other objections. Objections were heard by the Transport Minister, and on consideration of the entire matter, the scheme was ultimately approved and a Notification No.FTD 140 TMI 82/87-88 dated 3-11 ! 987 has been issued approving the scheme proposed by the Corporation nationalising the routes in Raichur District. Through these petitions, petitioners have challenged the legality of the 1982 Scheme and the Notification approving the scheme.

(2.) The petitions came up for preliminary hearing before a learned single Judge on 18-11-1987 when Rule was issued, and. considering the importance of the matter the petitions were referred to be decided by a Division Bench under Sec.9 of the Karnataka High Court Act, 1961, and that is how we are seized of these petitions.

(3.) In obedience to the notice issued, the Corporation has filed a statement of objections in which the material allegations made in the petition have been controverted, inter alia, on the grounds that when the matter was pending before the State Government for consideration of the objections to the 1970-Scheme a suggestion was made for the modification of the scheme on which it was deemed expedient in the facts and circumstances to propose the 1982 Scheme, that the 1982-Scheme is the resultant of extensive survey of the routes and data collected both in regard to traffic demands and proper coordination and this scheme with 174 routes is of wider area as against 128 routes under the 1970-Scheme, that as many as 79 operators holding permits filed objections and also 28 representations including 23 resolutions of the Village Panchayats and 5 representations from public were received in support of nationalisation of the Raichur Scheme, that the first respondent considered the objections and afforded hearing to the objectors between 27-1 -1984 to 7-9-1987, and that it is thereafter that the first respondent approved the scheme vide Nptification dated 3-11-1987. It is also averred that the 1982-Scheme has not only taken into account route-survey, infra-structure facility, but has also established at huge cost Depots at Koppal, Sindhanoor and major divisional workshops at Raichur for maintenance and repairs of the vehicles, that several bus-stations and bus-shelters have also been constructed, and that the outlay on this account is about Rs. Two Crores which establishes the positive action towards achieving nationalisation. The Corporation has asserted that the 1982-Scheme has been proposed and approved in accordance with law and does not suffer from any infirmity.