RAJA DEVAPUTHRAN CUNNIAH Vs. REGIONAL TRANSPORT OFFICER SALEM

JUDGEMENT

(1.) ONE Raja Devaputhran Cunniah, a resident of Trivandrum, holds a permit for the vehicle KRV 7270 granted by the State Transport authority, Kerala, to use the vehicle as an All India Tourist Vehicle. It can operate throughout India without any endorsement from any other State. Its liability to pay tax is only to the parent State viz. the Kerala Government. This had been paid and the vehicle had been used as a contract carriage.

(2.) THE vehicle was checked by the Motor Vehicles inspector, Grade II, Salem on 27. 6. 1983. A check report was issued alleging that the vehicle was coming from Trichy to Bangalore along with 35 adult passengers, collecting Rs. 40 for the journey as individual fare. Based on the check report, the Regional Transport Officer, Salem, issued a show cause notice slating that the vehicle was being used as a stage carriage and hence the permit holder is liable to pay proportionate tax of Rs. 3,267 for the month of june, 1983 to the Government of Tamil Nadu. On 3. 8. 1983, the petitioner submitted an explanation that the vehicle had been hired to a travel agency as a contract carriage for a specified purpose and, therefore, no liability arises for payment of any lax whatever, especially when tax had already been paid to the government of Kerala. This was not accepted by the respondent who passed an order in R. N0. 69173/b4/83, dated 27. 5. 1984, confirming the proposal and demanding a sum of Rs. 3,267. It is this order that is challenged in W. P. No. 7333 of 1984.

(3.) SEC. 2 (29) defines' 'stage carriage' 'as follows" "' 'stage carriage' 'means a motor vehicle carrying or adapted to carry more than six persons excluding the driver which carries passengers for hire or reward at separate fares paid by or for individual passengers either for the whole journey or for stages of the journey. "