B.A. Linga Reddy Vs. Karnataka State Transport Authority

IN THE SUPREME COURT OF INDIA

CIVIL APPELLATE JURISDICTION

CIVIL APPEAL NOS.11690-11712 OF 2014

[Arising out of SLP [C] Nos.20539-20561/2011]

B.A. Linga Reddy Etc. Etc. … Appellants

Vs.

Karnataka State Transport Authority & Ors. … Respondents

The question involved in the appeals is whether the State Government while modifying the scheme under Section 102 of the Motor Vehicles Act, 1988 (hereinafter referred to as ‘the Act of 1988’) is required to assign reasons while modifying the existing scheme. The High Court of Karnataka has quashed the orders modifying the scheme called Bellary Scheme notified in the Gazette dated 26.7.2003; Kolar Scheme notified on 7.11.2003; Bangalore and Kanakpura Plans as notified on 11.11.2003, modification of the scheme called Mysore Scheme, BTS Scheme by notification dated 31.5.2007. The Bellary Scheme was initially notified on 31.10.1962 by Karnataka State Road Transport Corporation, Bangalore, (for short ‘KSRTC’) under section 68C of the Motor Vehicles Act, 1939 (hereinafter referred to as ‘the Act of 1939’) by which it was proposed to operate stage carriage services on 86 routes in Bellary sector for the purpose of providing efficient, adequate, and economical road transport services. The Government approved the scheme and published it in the Gazette dated 18.4.1964. The scheme provided for operation of services by the State Transport Undertakings only and no exemption had been provided therein for operation of services by the State Transport Undertakings of other States and the existing inter-State private operators. The said Scheme was modified on 10.1.1980 under section 68E of the Act of 1939 providing for operation of services by permit-holders who had been granted permits by the Transport Authorities on the date of publication on the basis of inter-State agreements entered into by the Government of any other State provided that the operators on such route shall not be permitted to operate on the routes which overlap any portion of the notified routes. The Government further modified the approved scheme on 31.3.2000 under section 102(1) of the Act of 1988. A provision was made for operation of the services by permit-holders who had been granted permits to ply their vehicles on inter-State routes, with a condition not to pick up or set down the passengers on any portion of the routes overlapping the notified routes….read more