GOSTHA BEHARI GHOSH Vs. STATE OF TRIPURA

JUDGEMENT

(1.) In the present writ application filed under Article 226 of the Constitution of India, a very significant and important question of law has arisen for determination of the Court. The precise question of law is whether on the silence of a financier to issue or refuse to issue the necessary 'no objection' certificate within the meaning and purview of Section 51 Sub-section (7) of the Motor Vehicles Act, 1988 (hereinafter referred to as the Act), the same will be deemed to have been issued or not. In order to appreciate the precise question, it is necessary to notice a few facts.

(2.) The petitioner purchased a Vehicle bearing No. TRL- 2761 after taking-loan of Rs. 1,53,600/- from the respondent No. 4, the State Bank of India and naturally the said vehicle was hypothecated. With the passage of time the: petitioner did pay certain amount. However, all one point of time, the petitioner, it appears defaulted certain payments compelling this financier to institute a suit for recovery of Rs. 1,37,869/-. The petitioner for renewal of the permit which is granted under the provision of Section 81 of'the Act' filed the application. For getting the renewal of the permit the petitioner was under statutory obligation to file a no objection certificate from the financier in accordance with the sub-section (8) of Section 51 of' the Act'. At this stage it is necessary to note that the petitioner did apply to the concerned Branch Manager of the Bank for issuance of no objection certificate on 2.5.1995 but he was neither granted 'no objection' certificate nor he was refused. Rather he received no communication whatsoever till 11th May, 1995 when the petitioner filed the necessary application before the Registering authority for renewing the permit of his vehicle. The concerned authority also neither renewed the permit nor refused to renew compelling the petitioner to approach this Court for issuing a writ of mandamus directing the Registering or Renewal authority, to renew the permit.

(3.) The case came up for hearing before Hon'ble Mr. Justice A.K.Patnaik. Before the learned Single Judge another judgment was cited which was given by Hon'ble Mr. Justice N.G.Das in Civil Rule No. 198/92 on 20.7.1995. Hon'ble Mr. Justice N.G.Das while dismissing the writ petition observed as under: