Case Note & Summary
The dispute arose from the cancellation of transport permits granted to the appellants by the Regional Transport Authority (RTA), Bikaner for inter-State routes. The appellants, Ashwani Kumar and others, initially applied for permits to operate buses on routes from Bhadra to Delhi and Sangaria to Delhi. The RTA granted permits to other applicants, leading to appeals by the appellants, which were initially successful but later faced cancellation based on a High Court ruling that deemed the routes non-existent. The appellants contended that the cancellation was illegal due to a stay order from the Supreme Court on the High Court's judgment. However, their writ petition was dismissed on the grounds of an alternative remedy under the Motor Vehicles Act, 1988. The court examined the legality of the RTA's actions, emphasizing that inter-State routes require reciprocal agreements between States, which were absent in this case. The court upheld the High Court's interpretation of the law, concluding that the permits were granted without jurisdiction and dismissed the appeals with costs.
Headnote
A) Administrative Law - Jurisdiction of Regional Transport Authority - Authority's Power to Grant Permits - Motor Vehicles Act, 1988, Section 88 - The court held that the Regional Transport Authority could not unilaterally create inter-State routes without a reciprocal agreement between the States involved, as the existence of such an agreement is a prerequisite for granting permits. The permits granted in the absence of this agreement were deemed without jurisdiction. (Paras 1-4).
Issue of Consideration
Whether the Regional Transport Authority had the jurisdiction to grant permits for inter-State routes without a reciprocal agreement between the concerned States.
Final Decision
The Supreme Court dismissed the appeals, affirming that the permits were granted without jurisdiction due to the lack of a reciprocal agreement between the States involved, and imposed costs of Rs. 500 each.
Law Points
- Motor Vehicles Act
- 1988
- inter-State route permits
- reciprocal agreements
- jurisdiction of Regional Transport Authority
- cancellation of permits



