Thursday, 14, May, 2026
 
 
 
Expand O P Jindal Global University
 
  
  
 
 
 

Asansol Mini Bus Association And ... vs Union Of India And Others
2022 Latest Caselaw 2942 Cal

Citation : 2022 Latest Caselaw 2942 Cal
Judgement Date : 18 May, 2022

Calcutta High Court (Appellete Side)
Asansol Mini Bus Association And ... vs Union Of India And Others on 18 May, 2022
                      In the High Court at Calcutta
                     Constitutional Writ Jurisdiction
                              Appellate Side

The Hon'ble Justice Sabyasachi Bhattacharyya


                           W.P.A. No.11662 of 2021
                            IA No: CAN 1 of 2022

                Asansol Mini Bus Association and others   Bareja




                                  Vs.
                       Union of India and others

     For the petitioners             :    Mr. Durga Prasad Dutta,
                                          Mr. Souvik Sen

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

     Hearing concluded on            :    13.05.2022

     Judgment on                     :    18.05.2022



     Sabyasachi Bhattacharyya, J:-



1.   The writ petitioner nos.1 and 3 are Bus and Minibus Operators'

     Associations and the other petitioners are the respective Secretaries

     thereof.   The writ petition has been filed seeking the operators'

     right/authority in the matter of determination, fixation and/or

     regulation of fares and freights of stage carriages, in a manner

     proportionate to hike of the market price of fuel prevailing at the

     relevant point of time.

2.   Learned counsel for the petitioner argues that the respondent-

Authorities ought to ensure that the structure of the Bus fares bears a

parity with the fuel price.

3. With the recent hike infuel prices, it is alleged that the petitioners are

on the verge of being out of business. It is argued that heavy loss is

being suffered by the Associations on a day-to-day basis in view of the

rising fuel prices, which is not being matched by an equal rise in the

fare structure.

4. Several families of employees and operators associated with plying of

buses shall also suffer immeasurably in the event the Associations

and the Operators close business.

5. Learned counsel argues that the provisions of Section 67 of the Motor

Vehicles Act, 1988 (hereinafter referred to as "the 1988 Act") ought to

be read down to give a handle to the bus operators to have a say in

the fixation of fare structures. Section 67(2) of the 1988 Act, it is

argued, provides that any direction under sub-section (1) of the said

Section 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 and goods carriages under any law

for the time being in force relating to tax on passengers and goods.

6. It is argued that the powers of the State Government to control road

transport, apart from having regard to the specific yardsticks as

stipulated in Section 67(1), should also take into consideration the

fluctuation of fuel prices.

7. In fact, it is contended that Section 67(1) is flexible enough to be read

down by the Court to represent the interest of the operators as well.

8. Learned counsel for the petitioners cites a Five-Judge Bench decision

of the Supreme Court, reported at JT 1990 (3) SC 725 [Delhi Transport

Corporation Vs. DTC Mazdoor Congress and others], in support of his

proposition in respect of reading down of statutes.

9. Learned counsel appearing for the respondent-Authorities submits

that matters of excise duty and revenue are policy matters, to be

determined by the State and ought not to be interfered with by Courts

under normal circumstances.

10. In support of such proposition, learned counsel cites a Two-Judge

Bench decision of the Supreme Court in Mangalam Organics Limited

Vs. Union of India [(2017) 7 SCC 221].

11. Upon hearing learned counsel for the parties, it is evident that the

proposition as to reading down a statue was laid down by Sabyasachi

Mukharji, CJI in a dissenting opinion in Delhi Transport Corporation

(supra).

12. The majority decision in the said case, however, was rendered in the

circumstances of the case, thereby striking down the vires of the law

challenged therein.

13. However, the premise of consideration in the said judgment was the

violation of natural justice and Article 14 of the Constitution of India,

in respect of termination without giving opportunity of showing cause

to the concerned employee.

14. As opposed to the said case, the present writ petitioners have claimed

a 'reading down' of Section 67 of the 1988 Act, which does not have

any direct nexus with the object and purpose of the said Act.

15. The 1988 Act, in its statement of objects and reasons, takes into

account consolidation and amendment of the law relating to motor

vehicles, factoring in various criteria such as changes in the road

transport technology, pattern of passenger and freight movements,

development of the road network in the country and improved

techniques in the motor vehicles management.

16. That apart, in the present case, the privilege sought by the petitioners

for the operators of motor vehicles in having a say in the fixation of

fare structure has to be balanced with the convenience of the huge

number of passengers and consignors who use the road transport

network regularly for travelling and transporting goods.

17. That apart, the domain of fixation of taxes in public transport is

squarely within the authority of the executive and pertains to policy

decisions of the Governments, both at the State and the Central level.

18. Judicial interference, under normal circumstances, is not warranted,

unless the very Constitutionality of the statutes are hit and/or the

statues-in-question are in direct contravention of public policy or the

like.

19. In the present case, there is nothing in the scheme of the 1988 Act to

divest the State Government of the power vested in it to control road

transport and to determine the fare structure, as a necessary corollary

thereof. Sub-section (2) of Section 67 categorically indicates that

directions of fixation of evidence and freights for carriages - stage,

contract and goods - "may" provide that such fares or freights shall be

inclusive of the taxes payable by the passengers or consignors to the

operators.

20. However, such discretionary power of the State cannot be enforced at

the whim of the operators, whose primary interest would be to earn

profits from their business.

21. It is for the State, according to its policy decisions, to balance the

equities between the interest of the passengers/consignors and

owners/operators, to strike the right chord insofar as the business

interest of the operators is not hampered on the one hand and on the

other, that the interest of the common citizens is not affected

adversely.

22. In the event the operators have a hand in the determination of

freights/fares, the very purpose of regulation of such fares and

freights will be frustrated, inasmuch as the motivating factor for the

operators would be profits, as opposed to the interest of the

consumers.

23. In a welfare state, like the Indian democracy, it is also the duty of the

Governments to protect the interest of the common citizens.

24. Any alternative interpretation of Section 67 thanits plain meaning

would operate to the detriment of the masses and be contrary to the

intendment of the statute.

25. That apart, as laid down in Mangalam Organics Limited (supra),

revenue and excise duty matters pertain mostly to the policy of the

Government and ought not to be interfered with judicially at the drop

of a hat.

26. The ratio laid down in Delhi Transport Corporation (supra) is not

applicable to the present case at all in view of the gross differences

between the facts of the two cases. In Delhi Transport Corporation

(supra), a question arose as regards the violation of tenets of natural

justice and Article 14 of the Constitution of India. In the present case,

neither the legality nor theConstitutionality of the relevant provisions

of the 1988 Act have been put under the scanner. Hence, there is no

scope of interference in the writ petition.

27. Accordingly, W.P.A. No.11662 of 2021,and consequentially CAN No.1

of 2022, are dismissed on contest, without any order as to costs.

28. Urgent certified copies of this order shall be supplied to the parties

applying for the same, upon due compliance of all requisite

formalities.

( Sabyasachi Bhattacharyya, J. )

 
Download the LatestLaws.com Mobile App
 
 
Latestlaws Newsletter
 

Publish Your Article

 

Campus Ambassador

 

Media Partner

 

Campus Buzz

 

LatestLaws Guest Court Correspondent

LatestLaws Guest Court Correspondent Apply Now!
 

LatestLaws.com presents: Lexidem Offline Internship Program, 2026

 

LatestLaws.com presents 'Lexidem Online Internship, 2026', Apply Now!

 
 

LatestLaws Partner Event : IJJ

 

LatestLaws Partner Event : Smt. Nirmala Devi Bam Memorial International Moot Court Competition

 
 
Latestlaws Newsletter