Asansol Mini Bus Association And ... vs Union Of India And Ors
2022 Latest Caselaw 4140 Cal

12.07.2022 KC(4)

F.M.A. 807 of 2022 Asansol Mini Bus Association and Ors.

-versus-

Union of India and Ors.

With CAN 1 of 2022

Mr. Mukul Lahiri, Sr. Adv., Mr. Durga Prasad Dutta, Mr. Souvik Sen, Mr. Sumanta Ganguly, Ms. Adititi Dutta......................For the appellants.

Mr. Amal Kumar Sen, Ms. Ashima Das (Sil)................For the State.

This appeal from the judgment and order dated

18th May, 2022 by a learned single judge of this court

dismissing the writ application (W.P.A. 11662 of 2021 :

Asansol Mini Bus Association and Ors. -vs- Union of

India and Ors.) and the application connected thereto

(CAN 1 of 2022), is heard by us today, dispensing with

all formalities and disposed of by this judgment and

order.

The appellants before us are associations of bus

and mini-bus owners. In the writ petition they claim a

right of having a say in the fixation or regulation of fares

and freights in stage carriages on their interpretation of

Section 67 (1), (2) of the Motor Vehicles Act, 1988.

Section 67 of the Act is in the following terms:

"Section 67: Power to State Government to control road transport - (1) A State Government, having regard to -

(a) the advantages offered to the public, trade and industry by the development of motor transport,

(b) the desirability of co-ordinating road and rail transport,

(c) the desirability of preventing the deterioration of the road system, and

(d) the desirability of preventing uneconomic competition among holders of permits, may from time to time, by notification in the Official Gazette, issue directions both to the State Transport Authority and Regional Transport Authority -

(i) regarding the fixing of fares and freights (including the maximum and minimum in respect thereof) for stage carriages, contract carriages and goods carriages:

(ii) regarding the prohibition or restriction, subject to such conditions as may be specified in the directions, of the conveying of long distance goods traffic generally, or of specified classes of goods by goods carriages;

(iii) regarding any other matter which may appear to the State Government necessary or expedient for giving effect to any agreement entered into with the Central Government or any other State Government or the Government of any other country relating to the regulation of motor

transport generally, and in particular to its co-ordination with other means of transport and the conveying of long distance goods traffic:

Provided that no such notification in respect of the matters referred to in clause

(ii) or clause (iii) shall be issued unless a draft of the proposed directions is published in the Official Gazette specifying therein a date being not less than one month after such publication, on or after which the draft will be taken into consideration and any objection or suggestion which may be received has, in consultation with the State Transport Authority, been considered after giving the representatives of the interests affected an opportunity of being heard.

(2) Any direction under sub-section (1) regarding the fixing of fares and freights for stage carriages, contract carriages and goods carriages may provide that such fares or freights shall be inclusive of the tax payable by the passengers or the consignors of the goods, as the case may be, to the operators of the stage carriages, contract carriages or goods carriages under any law for the time being in force relating to tax on passengers and goods."

Mr. Lahiri, learned senior advocate for the

appellants submits that there is an unprecedented rise

in the price of diesel from 8th June, 2018 when there

was last hike in the fare and freight. In fact, it appears

from the table at page 56 of the stay petition that the

price of diesel in June 2018 was Rs. 71.75 per litre

whereas in July, 2021 it is Rs. 92.03.

We note that there is constant worldwide

escalation in fuel prices and that it is likely to increase

further in the near future. Since the fare has not been

upwardly revised since 2018, the owners or operators of

buses and mini-buses have to absorb this increased

cost which causes a great difficulty to them to operate

the system. Moreover, because of Covid norms required

to be maintained seating capacity in the bus continues

to be limited, which fetches less revenue.

Section 67 of the said Act vests the government

with the power to issue directions to the state transport

authorities and the regional transport authorities in

respect of fares and freights (including the maximum

and minimum in respect thereof) for stage carriages,

contract carriages and goods carriages.

Section 67(1)(a) clearly provides that in issuing its

directions the state government is to take into account

the advantages received by the public as well as the

advantage received by the trade and industry by the

development of motor transport. This clearly signifies

that the government is to weigh the advantages of the

public as against the advantage of the trade and

industry which includes motor transport trade in

recommending fare and freight. This power is to be

exercised by the government taking into account

matters which are germane to the issue,

dispassionately, fairly and reasonably.

Considering the above facts, we are of the opinion

that they warrant the government to immediately

exercise its power under Section 67 of the Act.

We are told that all the associations of bus and

mini-bus owners are not before us.

We direct that the Principal Secretary, Transport

Department, Government of West Bengal shall consider

whether a direction for increase in the fares of buses

and mini-buses and freight for carriage in vehicles

should be made and if so, to what extent after

consulting the appellant associations and other

transport associations that he may deem fit and proper.

Within six weeks of communication of this order,

the Principal Secretary shall take this reasoned

decision. If the decision is for increase in fares and

freights, he may immediately notify the same as a

direction in the official gazette under Section 67 of the

said Act.

We also say that the Principal Secretary shall

have the power to take a comprehensive decision

covering buses, mini-buses, taxis and other public

transportation throughout West Bengal.

The impugned judgment and order is set aside.

The appeal (F.M.A. 807 of 2022) and the

connected application (CAN 1 of 2022) are disposed of.

As affidavits were not invited the allegations in

the stay petition are deemed not to be admitted by the

State.

(I.P. MUKERJI, J.)

(SUBHENDU SAMANTA, J.)