LAWS(GAU)-2021-2-6

PULEN DEY Vs. STATE OF ASSAM

Decided On February 02, 2021
Pulen Dey Appellant
V/S
STATE OF ASSAM Respondents

JUDGEMENT

(1.) Difference of opinion, as recorded in WP(C) 167/2019, on the findings and decision in WP(C) 1395/2018, has given rise to the present reference before this Division Bench. Salient point for determination is as to whether, under the scheme of the relevant Act and Rules, the Assam State Transport Corporation (in short, ASTC) can venture into the activity of operating an "authorized testing station" and/or whether there is legal embargo for a ASTC to foray into the said activity for the purpose of issuance or renewal of a certificate of fitness to a transport vehicle. The statutes relevant to the case are (i) The Motor Vehicles Act, 1988; (ii) The Road Transport Corporations Act, 1950; (iii) The Central Motor Vehicles Rules, 1989, and (iv) The Assam Motor Vehicle Rules, 2003.

(2.) In the first case under reference i.e. WP(C) 1395/2018, the learned Single Judge delivered judgment on 27.09.2018. The said writ petition was instituted by different bus operator associations challenging a communication dated 20.11.2017, issued under the hand of the Secretary to the Government of Assam in the Transport Department, whereby the Managing Director of ASTC was informed of the Government's agreement to the proposal with regard to grant of Letter of Authority to the ASTC for a period of 5(five) years under Rule 63 of the Central Motor Vehicles Rules, 1989 (hereinafter called the 'Central Rules') for operating authorized testing stations for issuing certificate of fitness to transport vehicles under section 56 of the Motor Vehicles Act, 1988 (hereinafter called the '1988 Act'). Under challenge was also a subsequent Notification dated 11.01.2018, issued under the hand of the Commissioner and Secretary to the Government of Assam in the Transport Department, indicating grant of approval to ASTC by the Governor of Assam for opening of Fitness Test Centres of commercial vehicles/any other vehicles as specified under Rule 63 of the Central Rules and section 56 of the 1988 Act, subject to fulfilment of all the conditions as laid down in said section 56 and the Central Rules. It was also indicated that ASTC may take service charge of Rs.300/- for Light Motor Vehicles and Rs.500/- for Medium and Heavy Motor Vehicles, apart from the statutory fees as prescribed, which amount is to be deposited to the Government exchequer. The said WP(C) 1395/2018 was answered in the affirmative with observations and while doing so the learned Single Judge considered the provisions under section 19 of the Road Transport Corporations Act, 1950 (hereinafter called the 'Transport Corporations Act'), Rule 63 of the Central Rules, read with Form 39 and Form 40 thereunder and Rule 2(m) of the Assam Motor Vehicle Rules, 2003 (hereinafter called the 'Assam Rules'). Conclusion was reached that having regard to the definition of 'Registering authority' under the Assam Rules as well as the provisions under Rule 63 of the Central Rules, the authorities issuing the aforesaid two Notifications dated 20.11.2017 and 11.01.2018, not being the Registering Authority, therefore, was not competent to issue Letter of Authority. Further, having regard to the nature of the application made for grant of approval and the requirement of submitting proposal in Form 40 under the Central Rules, it was held that the communication dated 20.11.2017 as well as the Notification dated 11.01.2018 cannot be considered as a culmination of a process taken under section 19 of the Transport Corporations Act. While setting aside both the impugned communications, the learned Single Judge also held that with regard to the entitlement of the ASTC to venture into any activity, including the activity of operating an authorized testing station, there would be no bar on ASTC to make appropriate application under section 19 of the Transport Corporations Act. This observation was in the context of the conclusion arrived at in the preceding paragraphs of the judgment that as section 19(2)(m) of the Transport Corporations Act provides power to do all things to facilitate the proper carrying on of the business of the Corporation with prior approval of the State Government, thus, the activity of operating authorized fitness station can be construed to be an activity undertaken by ASTC for proper carrying on of its business. The two relevant paragraphs i.e. paragraphs 11 and 20 of the said judgment dated 27.09.2018 are reproduced hereinbelow :

(3.) Following the aforesaid judgment dated 27.09.2018 in WP(C) 1395/2018, records go to show that on the basis of proposal dated 02.11.2018 submitted by ASTC, a Notification dated 17.12.2018 was issued under the hand of the Secretary to the Government of Assam, Transport Department, whereby approval was accorded to ASTC to operate authorized testing stations in each districts of the State of Assam by realizing service charges in the amount as indicated therein. The said Notification makes mention that on careful perusal and examination of the proposal submitted by ASTC as well as the judgment rendered in WP(C) 1395/2018, together with the relevant provisions of the statute, it has been found that ASTC possesses required qualification and is fit to comply with all the requirements as prescribed under Rule 63 of the Central Rules and that of the provisions under the 1988 Act for setting up authorized testing stations.