# A. S. T. ARUNACHALAM PILLAI v. M/S. SOUTHERN ROADWAYS (PRIVATE) LTD

- **Citation:** [1960] 3 S.C.R. 764
- **Court:** Supreme Court of India
- **Decided:** 1957-07-17
- **Case number:** Civil Appeal No. 262 of 1958
- **Bench:** B. P. Sinha, Jafer Imam, A. K. Sarkar, K. SuBBA RAO, J.C. Shah
- **Source:** https://unisonlegal.in/judgment/supreme-court-of-india/a-s-t-arunachalam-pillai-v-m-s-southern-roadways-private-ltd-1895
- **Pages:** 26

## Headnote

Motor Vehicles-Stage carriage permits, variation of-] urisdiction of Regional Transport Officer-State Government's power of
revision-Motor Vehicles Act, I939 (4 of I939l. as amended by the
Madras Act, 2oof I948, ss. 44A, 64A.
The question for decision in this appeal was whether the
Regional Transport Officer under the Motor Vehicles Act, 1939,
as amended by the Madras State Legislature, had the power to
vary the terms of a stage carriage permit granted under that Act.
The appellant, holder of a stage carriage permit, applied on July
t9, 1954, to the Regional Transport Officer for a variation of the
route specified in his permit. The Regional Officer after hearing
objections rejected the application. The appellant applied to the
State Government for revision of the order under s. 64A of the Act
and the Government after hearing objections set aside the order of
the Regional Transport Officer and granted variation of the permit
as sought for.
Against this order the respondent moved the
Madras High Court under Art. 226 of the Constitution. The
Single Judge who heard the matter, following a decision of a
Division Bench of that Court, held that the Regional Transport
Officer had no jurisdiction to deal with the appellant's application and the State Government for that very reason could have
no power in revision to grant the same, and set aside the order of
the Madras Government :
Held (per Sinha, C. J., Imam, Sarkar and Shah, JJ.). Section 64A of the Motor Vehicles Act, introduced into the Act by
the Madras Legislature, although couched in wide language,
does not confer on the State Government any original jurisdiction
or authorise it to pass in revision an order which the authority,
.whose order it seeks to revise, has no jurisdiction to pass. While
undoubtedly it can set aside an order of ap auwority or officer
-
--
•
-
3 S.C.R. SUPREME COURT REPORTS
765
subordinate to it passed without jurisdiction under Ch. IV of the
c960
Act, it cannot substitute its own order directing a variation of the
-
. .
stage carriage permit granted to a particular person. Sections 43 Arunachalam Pilla•
and 48 of the Act make it quite clear that no such authority is
v.
vested in the State Government and the words "as it thinks fit" Southern Roadways
in s. 64A must mean within the ambit of the provisions of the
(Private) Ltd.
Act.
The words "ap.y officer subordinate to him" used in s. 44A
of the Act, as amended by the Madras State Legislature are of
wide import and cannot be given a restricted meaning and must
include an officer in any way subordinate to the Transport
Commissioner.
The Regional Transport Officer who was admittedly and
without doubt administratively subordinate to the Transport
Commissioner by virtue of the Madras Government notification
dated February 14, 1953, at the time the application was made
and was duly authorised in this behalf, had the jurisdiction to
vary the conditions of the permit issued to the appellant.
Section 44A of the Act did not depend for its operation on
any rules to be framed under s. l33A of the Act, which was merely
an enabling section, by the Government.
Consequently, there can be no doubt that the State Government had the power under s. 64A of the Act to vary the terms of
the permit which the Regional Transport Officer had refused to
do.
B. Veeraswamy v. State of Andhra Pradesh, A.LR. 1959
And. Pradesh 413, approved.
T. Krishnaswamy Mudaliar v. P. S. Palani Pillai, A.LR. 1957
Mad. 599, disapproved. ·
.
Per Subba Rao, ].-Section 44A of the Act does not authorise
the State Government to appoint subordinate officers to the
Transport Commissioner but only enables it to confer statutory
powers on officers subordinate to him. ·The State Government
has made no rules under s. l33A of the Act making the Regional
Transport Officer subordinate to the commissioner. It is, therefore, manifest that neither under the statute nor under any
rules made thereunder is the Regional Transport Officer subordinate to the Commissioner

## Text

_Characters 0–39,975 of 60,748. This is a partial read: ask again with offset=39975 for what follows._

764
SUPREME COURT REPORTS
[1960]
1960
case and the validity of s. 11 could not in view of
Art. 31-A be challenged. The validity of the proviJadab Singh
sions for acquisition by the State of the lands of the
Himach;i Prnd"h land-owners for compensation determinable in accordAdm;nJStration ance with the provisions of Sch. II is also not liable
Shah ].
1960
April 29.
to be challenged under Art. 31 read with Art. 31-A.
In that view of the case, all these petitions must
fail and they are ordered to be dismissed with costs.
Petitions dismissed.
A. S. T. ARUNACHALAM PILLAI
v.
M/S. SOUTHERN ROADWAYS (PRIVATE) LTD.
(B. P. SINHA, c. J., JAFER IMAM, A. K. SARKAR,
K. SuBBA RAO and J.C. SHAH, JJ.)
Motor Vehicles-Stage carriage permits, variation of-] urisdiction of Regional Transport Officer-State Government's power of
revision-Motor Vehicles Act, I939 (4 of I939l. as amended by the
Madras Act, 2oof I948, ss. 44A, 64A.
The question for decision in this appeal was whether the
Regional Transport Officer under the Motor Vehicles Act, 1939,
as amended by the Madras State Legislature, had the power to
vary the terms of a stage carriage permit granted under that Act.
The appellant, holder of a stage carriage permit, applied on July
t9, 1954, to the Regional Transport Officer for a variation of the
route specified in his permit. The Regional Officer after hearing
objections rejected the application. The appellant applied to the
State Government for revision of the order under s. 64A of the Act
and the Government after hearing objections set aside the order of
the Regional Transport Officer and granted variation of the permit
as sought for.
Against this order the respondent moved the
Madras High Court under Art. 226 of the Constitution. The
Single Judge who heard the matter, following a decision of a
Division Bench of that Court, held that the Regional Transport
Officer had no jurisdiction to deal with the appellant's application and the State Government for that very reason could have
no power in revision to grant the same, and set aside the order of
the Madras Government :
Held (per Sinha, C. J., Imam, Sarkar and Shah, JJ.). Section 64A of the Motor Vehicles Act, introduced into the Act by
the Madras Legislature, although couched in wide language,
does not confer on the State Government any original jurisdiction
or authorise it to pass in revision an order which the authority,
.whose order it seeks to revise, has no jurisdiction to pass. While
undoubtedly it can set aside an order of ap auwority or officer
-
--
•
-
3 S.C.R. SUPREME COURT REPORTS
765
subordinate to it passed without jurisdiction under Ch. IV of the
c960
Act, it cannot substitute its own order directing a variation of the
-
. .
stage carriage permit granted to a particular person. Sections 43 Arunachalam Pilla•
and 48 of the Act make it quite clear that no such authority is
v.
vested in the State Government and the words "as it thinks fit" Southern Roadways
in s. 64A must mean within the ambit of the provisions of the
(Private) Ltd.
Act.
The words "ap.y officer subordinate to him" used in s. 44A
of the Act, as amended by the Madras State Legislature are of
wide import and cannot be given a restricted meaning and must
include an officer in any way subordinate to the Transport
Commissioner.
The Regional Transport Officer who was admittedly and
without doubt administratively subordinate to the Transport
Commissioner by virtue of the Madras Government notification
dated February 14, 1953, at the time the application was made
and was duly authorised in this behalf, had the jurisdiction to
vary the conditions of the permit issued to the appellant.
Section 44A of the Act did not depend for its operation on
any rules to be framed under s. l33A of the Act, which was merely
an enabling section, by the Government.
Consequently, there can be no doubt that the State Government had the power under s. 64A of the Act to vary the terms of
the permit which the Regional Transport Officer had refused to
do.
B. Veeraswamy v. State of Andhra Pradesh, A.LR. 1959
And. Pradesh 413, approved.
T. Krishnaswamy Mudaliar v. P. S. Palani Pillai, A.LR. 1957
Mad. 599, disapproved. ·
.
Per Subba Rao, ].-Section 44A of the Act does not authorise
the State Government to appoint subordinate officers to the
Transport Commissioner but only enables it to confer statutory
powers on officers subordinate to him. ·The State Government
has made no rules under s. l33A of the Act making the Regional
Transport Officer subordinate to the commissioner. It is, therefore, manifest that neither under the statute nor under any
rules made thereunder is the Regional Transport Officer subordinate to the Commissioner in any way within the meaning
of s. 44A of the Act.
Even assuming that the State Government administratively
treated the Regional Transport Officer as a subordinate to the
Transport Commissioner and the word 'may' in s. r33A of the
Act conferred a discretionary power on it either to frame rules
or not to do so, it is wrong to say that it could do administratively
what it was empowered to do by rules. If .the Governmoot
really intended to make the Regional Transport Officer subordinate to the State Transport Commissioner, the only way in which
it could do so was by framing a rule under s. 133A(3) of the Act,
CIVIL APPELLATE
JURISDICTION: Civil
Appeal
No. 262 of 1958.
iQQ
766
StJPRE~1E COURT REPORTS
[1960
1960
Appeal from the judgment and order dated
--
. .July 17, 1957, of the Madras High Court in Writ Appeal
Arunachalam Pillai
f 1956
· ·
f h
· d
d
No. 110 o ·
, ar1srng out o t e JU gment an
southernvRoadwaysorder dated September 3, 1956, of the said High Conrt
(P,ivate) Ltd;
in Writ Petition No. 2/1956.
M. C. Setalvad, Attorney-General of India, S. N.
Andley, J.B. Dadachanji, Rameshwar Nath and P. L.
V ohra, for the appellant.
R. Ganapathy Iyer, N. R. Govindachari
and
G. Gopalakrishnan, for respondent No. 1.
1960. April 29. The Judgment of Sinha, C. J., Imam,
Sarkar and Shah, JJ., was delivered by Imam, J.,
Subba Rao, J., delivered a separate Judgment.
Imam J.
IMAM, J.-This appeal is on a certificate granted by
the Madras High Court as in its opinion it involved a
substantial question of law to the effect" whether the
delegation to the Regional Transport Officer of the
power to vary the conditions of a permit is valid ".
The appellant is the proprietor of Sri Vinayagar
Transports, Woriyur, Tiruchirapalli. He held a permit
to ply his bus on the route Tiruchirapalli Mainguard
Gate to Tiruchirapalli l'tailway Station via Palakarai
and Round Tana. He applied on July 19, 1954, to the
Regional Transport Officer, Tiruchirapalli, for variation of the route so as to ply bis bus between Mainguard Gate and Golden Rock via Palakarai, Round
Tana, Tiruchirapalli Railway Station and retrace
again to Round Tana and thence to Golden Rock.
The Regional Transport Officer notified this application for variation and called for objections. The appellant's application and the objections thereon were
heard on July 15, 1955, but the Regional Transport
Officer rejected the application. The appellant filed a
Revision Petition before the Government of Madras
under s. 64A of the Motor Vehicles Act, hereinafter
called the Act, s. 64A having been introduced into that
Act by the Legislature of the State of Madras. The
MJi,dras Government after having heard objections to
the Revision Petition, by its order dated December 28,
1955, set aside the order of the Regional Transport
Officer and directed the grant of the variation in the
permit of the appellant as prayed for by him. Against
the order of the Madras Government the respondent,
-
-
-
3 S.C.R.
SUPREME COURT REPORTS
767
the Southern Roadways (Private) Ltd., hereinafter
I960
called the respondent, filed a petition under Art. 226 Arunac;;;;;;mPillai
of the Constitution in the Madras High Court on
v.
·
January 2, 1956, for the issue of a writ of certiorari to Southern Roadways
quash the order of the Government of Madras.
(Private) Ltd.
When the petition came up for hearing before Rajagopalan, J., the respondent raised a plea which was
not taken in the petition under Art. 226 of the Constitution to the effect that the Regional Transport
Officer had no jurisdiction to grant the variation asked
for by the appellant and the Government had likewise
no jurisdiction to grant, in revision, what the Regional
Transport Officer himself could not have granted.
This plea was made on account of a Division Bench
decision of the Madras High Court in Writ Appeal
No. 107 of 1955, arrived at since the filing of the
petition, wherein it was held that the Regional Transport Officer had no jurisdiction to deal with an application for variation of the conditions of a permit.
Rajagopalan, J., following the decision in Writ Appeal
No. 107 of 1955 held that the Regional Transport
Officer had no jurisdiction to deal with the appellant's
application for variation and that it followed that the
Government of Madras had equally no jurisdiction to
grant the variation on a revision petition filed against
the order of the Regional Transport Officer. The
learned Judge accordingly set aside the order of the
Government of Madras dated December 28, 1955,
without going into the other contentions raised by
the respondent in its petition under Art. 226. The
appellant appealed against the decision of Rajagopalan, J. Although in the appeal the correctness
of the decisio.n in Writ Appeal No. 107 of 1955 was
questioned it was not pressed because of the decision
of the Full Bench of the Madras High Court in Writ
Appeals Nos. 56 and 57 of 1956 decided on April 12,
1957. The argument in the present case therefore
proceeded on the footing that the Regional Transport
Officer, Tiruchirapalli, had no jurisdiction to deal with
the appellant's application for variation.
In the High Court on behalf of the appellant it was
urged that the respondents had submitted to the
jurisdiction of the Regional Tra.nsport Officer 'and
Imam].
76S
SUPREME COURT REPORTS
[1960]
196o
therefore could not at a later stage obtain the discreA
h- 1
p·zi . tionary writ of certiorari on the ground that there
runac a am • ••
1 k f . . d' .
I
d d h
v.
was ac o iurrn 1ction.
t was next conten e t at
southern Roadways even if the Regional Transport Officer had no jurisdic-
(Priv_•!•l Ltd.
tion to deal with the appellant's application for variation the order of the Government of Madras which
Imam J.
was sought to be quashed could not be said to be one
passed without jurisdiction or in excess of jurisdiction
because the Government had undoubtedly power to
pass the order in question under s. 64A of the Act.
Both these contentions were rejected and the decision
of Rajagopalan, J., was affirmed. The High Court,
however, granted a certificate that the case was a fit
one for appeal to this Court.
The principal question for consideration in this
appeal is whether the Regional Transport Officer had
the power to vary the conditions of a permit to ply a
stage carriage. In order to decide that question some
sections of the Act, as amended by the Legislature of
the State of Madras, will require consideration, particularly the provisions of s. 44A. But before we proceed to do that the other two questions which were
decided against the appellant by the High Court may
first be considered.
In our opinion, although the respondent had submitted to the jurisdiction of the Regional Transport
Officer and had not in his petition under Art. 226 in
the High Court taken the objection that that officer
had no jurisdiction to vary the conditions of a permit,
the High Court acted rightly in allowing the respondent to urge that the Regional Transport Officer had
no jurisdiction to vary the conditions of a permit. It
was not until the decision of the High Court in Writ
Appeal No. 107 of 1955 that it became the considered
view of that Court that the Regional Transport Officer had no jurisdiction to make any such variation.
When the law was so declared by the High Court it
could not reasonably be said that the High Court erred
in allowing the respondent to take this point although
in its petition under Art. 226 the point had not been
taken. This was obviously because the decision of the
High Court in Writ Appeal No. 1Q7 of 1955 h!j.d not
been gfren at the time of the filing of the petition
I
\
,
-
3 S.C.R. SUPREME COURT REPORTS
769
Since the question went to the root of the matter and
1960
it involved the question. whether the Regional Trans-A
h--
offi
h d . . d' t'
t
th
d't'
f runac alam Pillai
port
cer a 3uns 10 10n o vary
e con l 10ns o
a permit the High Court, faced with a Division Bench southern vRoadways
decision of its own on the matter, could not very well
(Private) Ltd.
refuse permission to the respondent to rely on that
decision in support of its petition questioning the
Imam J.
validity of the order of the Government of Madras
made under s. 64A of the Act.
It had been strongly urged in this Court on behalf
of the appellant that on a proper construction of
s. 64A of the Act there was ample power in the
Government of Madras to make an order directing the
variation sought in the conditions of the permit of
the appellant, even though the Regional Transport
Officer had no jurisdiction to do so.
Section 64A
empowered the Government of Madras to pass such
orders as it thought fit with respect to any order
passed or proceedings taken under Chapter IV of the
Act by any authority or officer subordinate to it for
the purpose of satisfying itself of the legality, regularity or propriety of the order or proceeding, when
it had called for the records of the case. In our opinion, s. 64A is a power vested in the State Government by way of revision of orders passed under
Chapter IV of the Act by any authority or officer subordinate to it. This is not a power which the State
Government could exercise by way of original jurisdiction which was vested elsewhere.
In our opinion,
although the words " may pass such order in reference
thereto as it thinks fit " are wide in expression, they
do not mean that the State Government could pass an
order in exercise of revisional jurisdiction which the
authority whose order the Government was revising
had no jurisdiction to pass. The State Government
could undoubtedly set aside an order of an authority
or officer subordinate to it who had no jurisdiction to
pass the order in question under Chapter IV but it
could not substitute for that order its own order directing the variation in the conditions of the permit of
the appellant. It is significant thats. 43 which deals
with the power of the State Government to control
770
SUPREME COURT REPORTS
[1960]
z960
A
h- 1
P"l . Road Transport does not mention that such a Govern-
'"""" a am Ka•
h
h
h
d" •
f
•
.v.
ment as t e power to vary t e con it10ns o a permit,
Southem Roadways although the various powers conferred by that section
(P•ivate) Ltd.
are fully specified, including tho power to vary the
Imam j.
notification issued under the section. If the Act had
intended to give the power to the State Government
to vary the conditions of a stage carriage permit
granted to a particular person it would have specified
such a power in this section. The authority which is
empqwered to vary the conditions of a permit is stated
in s. 48A which certainly is not the State Government.
Under the Act, therefore, no such authority was vested
in the State Government and the words in s. 64A " as
it thinks fit" must mean within the ambit of the provisions of the Act.
Coming now to the question whether the Regional
Transport Officer had the power to vary the conditions
of the permit of the appellant it would be necessary
to construe s. 44A of the Act. Before we proceed to
do so, reference to certain sections of the Act and the
Rules framed thereunder would be necessary as well as
certain refovant facts. Section 42 prohibits the owner
of a transport vehicle to use or permit its use, save in
accordance with the conditions of a permit granted
or counter-signed by a Regional or Provincial Transport Authority. Reference to s. 43 has already been
made which deals with the power of the State Government to control road transport. Section 43A empowers
the State Government to issue such orders and directions of a general character as it may consider necessary in respect of any matter relating to road transport to the State Transport Authority or Regional
Transport Authority and such Authority shall give
effect to all such orders and directions. Section 44 empowers the State Government by notification in the
Official Gazette to constitute a State Transport Authority and Regional Transport Authorities, the former
to exercise and discharge the functions specified in
sub-s. (3) and the latter to exercise powers as may be
specified in the notification in respect of each Regional
Transport Authority.
Section 44A which is incorporated by the Madras Amending Act reads:
,
--
3 S.C.R. SUPREME COURT H.EPORTS
771
"The State Government may appoint a State
r960
Transport Commissioner and notwithstanding any-
--
th.
t · d ·
h" A t
b
'fi
·
· Atunachalam Pillai
mg con ame m t is
c , may,
y not1 cat10n m
v.
the Fort St. George Gazette, authorize such Comm is- southern Roadways
sioner or any officer subordinate to him, to exercise
(Private) Ltd.
and discharge in lieu of any other authority prescribed by or under this Act such powers and funcImam f.
tions as may be specified in the notification".
Section 45 deals with applications for a permit and
directs that they shall be made to the Regional Transport Authority of the region in which it is proposed
to use the vehicle. Section 46 states the matters which
shall be stated in the application for a permit.
Section 47 provides the procedure to be observed by a
Regional Transport Authority in considering applications for stage carriage permits. Section 48 empowers
a Regional Transport Authority to restrict the number
of stage carriages for which permits may be granted
in the region or in any specified area or on any specified
route within the region and to impose conditions on
such permits. One of these conditions is contained in
cl. (d)(ii-a) which is to the effect that stage carriage or
stage carriages shall be used only on specified routes
or in a specified area. Section 48A provides for the
alteration of the conditions attached to a permit and
reads:
"Any conditions attached to a stage carriage
permit in pursuance of cl. (d) of s. 48 may at "A.ny
time be varied, cancelled or added to by the State
Transport Authority, provided that this power shall
not be exercised to the prejudice of ,t;he holder of
the permit without giving not less than three
months' notice to him."
Section 133A(l) authorises the State Government for
the purpose of carrying into effect the provisions of
the Act to establish a Motor Vehicles Department and
to appoint as officers thereof such persons as it thinks
fit.
Sub-s. (3) authorises the State Government to
make rules to regulate the discharge by officers of the
Motor Vehicles Department of their functions and in
particular and without prejudice to the generality of
the foregoing power to prescribe the uuifor.w. to be
772
SUPREME COURT REPORTS
[1960)
r96o
worn by them, the authorities to which they shall be subA
h- 1
p·ii .ordinate, the duties to be performed by them, the
runac a am
1 ••
("
l d"
th
· bl b
l"
v.
powers me u mg
e powers exerc1sa e
y po ice
southern Roadways officers under the Act) to be exercised by them and the
(Private) Ltd.
conditions governing the exercise of such powers. No
Imam j.
rules, in fact, had been framed.
It will be seen from what has been stated that it is
·the State Transport Authority and no other which is
authorised under s. 48A to vary the conditions of a
permit of a stage carriage. Section 44A, however,
authorises the State Government to appoint a State
Transport Commissioner. It further provides that
notwithstanding anything contained in the Act the
State Government may by notification authorise the
State Transport Commissioner or any officer subordinate
to him to exercise and discharge in lieu of any other
authority prescribed by or under the Act such powers
and functions ·as may be specified in the notification.
By this section, although under s. 48A it is the State
Transport Authority which can vary the conditions of
a stage carriage permit, the State Government could,
notwithstanding the provisions of that section, authorise the State Transport Commissioner to exercise such
powers in lieu of the State Transport Authority. It
could also confer such power on an officer subordinate
to the State Transport Commissioner. The vital question for determination is, how are the words " any
o:ffi.er subordinate to him" to be construed. In construing these words the provisions of s. 133A will have
to be kept in mind as it was contended on behalf of
the respondent that these sections should be read
together. It was urged on behalf of the respondent
that under s. 133A (3) as to who was subordinate to
whom in the Motor Vehicles Department had to be
prescribed by rules.
As no rules had been framed it
could not be said that the Regional Transport Officer
was subordinate to the State Transport Commissioner.
The Full Bench of the Madras High Court in the
case of T. Krishnaswamy Mudaliar v. P. S. Palani
Pillai (1) had occasion to consider whether a gegional
Transport Officer was subordinate to the State Transport Commissioner for the purposes of the Act. Three
{r) A.I.R. 19'7 Mad. 599,
-
-
lo-
' -·
3 S.C.R.
SUPREME COURT REPORTS
773
views were pressed before it. The first view, which
1960
w
.. as favoured by a Division Bench of that Court, was A
-h
1
p·•.z .
re
'
h
d
b d'
, .
runac a am '' <U
to the euect that t e wor
' su or mate m s. 44A
v.
m<;iant "administrative subordination". The second Southern I<oadways
view was pressed by the Advocate-General of Madras
(Private) Ltd..
who had urged that the word 'subordinate' in the
section meant "functional subordination" and the
third view was pressed by Mr. Nambiar to the effect
that the word 'subordinate' meant "statutory subordination". It was the third view which was accepted
by the Full Bench and the High Court expressed its
opinion in the following words:-
"Of the three views placed before us we are
inclined to prefer the third. It appears to us to be
the most rational and the most free from objections.
It is in accord with all well established rules of
interpretation of Statutes. It does not require as
the theory of 'functional subordination ' seems to
require, the introduction of new words into 'the
section. It has the merit of being more flexible of
powers not merely at the State level but at the
regional level also. It ensures that there will be no
transfer or delegation of powers except to officers
whose subordination has been determined by rules
properly framed under the Act. It also ought to
a void the anomaly that has now occurred of a person
in the position of a Secretary of a. body being empowered to vary the condition of a· permit granted
by that body. We therefore adopt this view."
The High Court in rejecting the view submitted by the
Advocate-General observed that there were no qualifying words whatever to the word 'subordinate' in
s. 44A.
The Full Bench decision of the Andhra Pradesh
High Court in the case of B. Veeraswamy v. State of
Andhra Pradesh(1) did not agree with the Full Bench
decision of the Madras High Court. The Andhra
Pradesh High Court was of the opinion that the
Regional Transport Officer was an officer subordinate
to the Transport Commissioner within the meaning of
s. 44A of the Act. It laid emphasis on the word" any "
and observed that that word excluded limitation or
(1) A.LR. 19'9 An<j.. Pra,<j.esll 41~.
Illill
Imam],
774
SUPREME COURT REPORTS
[1960)
r96o
qualification and connoted wide generality. It comA
. -
prehended. not only the officer whose subordination
•unachalam Pillai
t
·1 d t
. d b
II ]' 'bl
b d'
was sta utor1 y e ermme , ut a e 1g1 e su or mate
south,,.,, ~oadways officers and therefore the Regional Transport Officer
(P.ivafr) Ltd.
came within the ambit of the expression "any officer
--
subordinate" used in s. 44A.
Having examined the
Imam J.
reasons given in the decisions of the Fnll Bench of the
Madras High Court and the Full Bench of the Andhra
Pradesh High Court we are generally in agreement
with the view taken by the Andhra Pradesh High
Court for the reasons which we now proceed to state.
We have not on the record any material to show
when the Madras Government appointed a State
Transport Commissioner nor have we any notification
in the Fort St. George Gazette as to what powers he
or an officer subordinate to him was authorized to
exercise and discharge in lieu of any other authority
prescribed by or under the Act. The Madras Road
Traffic Code of 1940 shows that on May 21, 1947, the
Governor of Madras constituted a Provincial Transport
Authority for the Province (now the State) of Madras,
a Regional Transport Authority for the district and
city of Madras and a Regional Transport Authority
for each of the other districts in the Province (now
>-
the State) of Madras. This Code also contains the
Madras Motor Vehicles Rules, 1940, hereinafter called
the Rules. The Rules came into force on April I, 1940.
Under Rule 3(c) "Central Road Traffic Board" or
"Central Board" means the Provincial Transport
Authority constituted for the State of Madras under
sub-s. (I) of s. 44 of the Act. This definition obviously
must have been inserted in the Rules after the constitu-
,-1
tion of the Prov incial Transport Authority in the year
1947. This definition was again altered on December 20,
1955, and for the words "Central Road Traffic Board"
or "Central Board " the words " State Transport
Authority" was substituted. On the same date a further definition was added to the Rules by the insertion
of cl. (m) in Rule 3 which was to the effect that" Trans-
~
port Department " means the Motor Vehicles Department set up under s.133Aofthe Act. The Government
of Madras issued a Notification No. G. 0. MS. 527 on
February 14, 1953, wherein it was stated that prior
3 S.C.R.
SUPREME COURT REPORTS
775
to the decision of the Madras High Court in Writ
.I960
Petition No. 806 of 1951 the Regional Transport A
, -h -1
r·rr .
A
. .
.
. h
ll h
runac a am
i at
uthorities were varymg w enever necessary a t e
v.
conditions of the permits, but according to the deci- Southern Ra(ldways
sion of the High Court in that petition the Regional
(Private) _Ltd.
Transport Authorities could not vary the existing
conditions of a stage carriage permit imposed under
s. 48(d) of the Act and that it was only the State
Transport Authority which could do so under s. 48A
of the Act. The decision of the High Court resulted
in great administrative inconvenience as all applications for variation of conditions of permit would have
now to be made to the State Transport Authority
which involved delay and inconvenience to operators.
It further stated that the Government of India had
under consideration a proposal to amend s. 48 of the
Act so as to empower the Regional Transport Authorities to vary all conditions of permits, but some time
would be taken to carry out the necessary legislation.
Pending the legislation the Government of Madras
had decided to empower Regional Transport Officers,
as a temporary measure, to vary conditions of permits
now dealt with by the State Transport Authority.
The notification further went on to say that in exercise of the powers conferred by s. 44A of the Act the
Governor of Madras authorized the Regional Transport Officers and the Secretary, Road Traffic Board,
Madras, to exercise the powers and discharge the
functions of the State Transport Authority under
ss. 48A, 51A and 56A of the Act. On October 20, 1955,
the Government of Madras issued a further notification reorganizing the Motor Transport Department
with reference to the Motor Vehicles (Madras Amendment) Act, 1944 (Act XXXIX of 1944). According to
this notification a Member of the Board of Revenue
should be appointed as Transport Commissioner under
s. 44A of the Act and the present post of Transport
Commissioner should be abolished ; that an officer
of the Transport Department should be appointed
as State Transport Authority who will also be the
Assistant Transport Commissioner ; that the post of
Secretary, Central Road Traffic Board, should be re~
designated as Secretary, State Transport Authority ;
Imam].
776
SUPREME COURT REPORTS
[1960]
196o
that Collectors of districts in the mofussil and the
--
1 Commissioner of Police in the City of Madras should
Arunachalam Pi /aib
•
d
R
·
1 T
A h
' '
d
v.
e appomte as
eg10na
ransport ut onties un er
south"n Roadwavs s. 44 of the Act; that the Regional Transport Officers
(P,ivate) Ltd.· in the mofussil and the Deputy Commissioner of Police
Imam ].
(Traffic & Licensing) in the Madras City should be
the Secretaries to the Regional Transport Authorities
and that an officer of the grade of a District Judge
should be appellate authority prescribed under s. 64(1)
of the Act, as amended, to deal with appeals against
the orders of the Regional Transport Authorities and
be designated as the State Transport Appellate Tribu.
nal.
Under cl. (2) of the notification the Member of
the Board of Revenue to be appointed as Transport
Commissioner would be the Head of the Transport
Department and would have general responsibility for
administration of the Act. He would be empowered
by the Government under s. 44A to exercise the
powers now exercised by the State Transport Authority under sub-ss. 3(a) and (c) and (4) of s. 44 of the
Act. In the discharge of these functions the Transport Commissioner will have administrative control
over the organisation at present working under the
Transport Commi~sioner. Under cl. (4) (ii) the powers
under ss. 48A, 51A and 56A of the Act to alter the
conditions of stage carriage permits, contract carriage
permits and public carriers permits, exercised by the
Regional Transport Officers, would hereafter be exer.
cised by the Regional Transport Authorities. Under
cl. 5(i) the Regional Transport Officer would he the
Secretary to the Regional Transport Authority and
·in that capacity he would assist the Regional Transport Authority in the performance of the functions
prescribed in cl. (4). It is, however, to be remembered
that when on July 19, 1954, the appellant applied to
the Regional Transport Authority for the variation of
the conditions of his permit, the Notification No. G.O.
MS. 527 dated February 14, 1953, of the Government
of Madras was in force by virtue of which Regional
Transport Officers were authorised to discharge the
functions of the State Transport Authority under
ss. 48A, 51 A anrl 56A of the Act.
....... ,'
I
,
--
-
)
J~
3 S.C.R.
SUPREME COURT REPORTS
777
In paragraph 6 of the statement of the case filed by
z96o
the respondent it was stated that in the exercise of A
; 1ru .
the powers conferred under s. 44(1) of the Act the rnnac ~.am ' '"
Government of Madras constituted Provincial and Southern Roadways
Regional Transport Authorities. It also set up a
.(Private) Ltd.
Motor Transport Department with a Transport ComImam 1.
missioner as its head and officers in t,hat Department,
in the lower scale, were the Regional Transport Officers
who functioned as the Secretaries of the respective
Regional Transport Authorities called the Road Traffic Board. It was further stated in paragraph 7 that
although a Regional Transport Officer was a su.bordinate of the Transport Commissioner on the administrative side he could not be held to be a subordinate
officer within the meaning of s. 44A. The State
Government may establish a Motor Vehicles Department and appoint officers thereto under s. 133A, but
mere appointment of officers in that Department could
not invest them with statutory functions to be discharged under the Act and under the Rules. Sec.
tion 133A contemplates framing of rules to regulate
the discharge by officers of the department of their
functions as also to state the authorities to whom such
officers shall be subordinate and the duties to be performed by them. It was not suggested that any
duties or powers of a statutory nature had been vested
in the Tra.nsport Commissioner; nor was there any
rule showing that the Regional Transport Officer is a
subordinate of the Transport Commissioner for the
purposes of the Rules. 'l'he statement of the case
further stated that s. 44A required a functional subordination and not merely an administrative one.
The Madras Financial Code, Vol. II, Appendix I,
shows the list of Heads ofDepartments of the Government of Madras. The Transport Commissioner is
shown as the Head of a Department. The Half-Yearly
List of Gazetted Officers in the Transport Department corrected upto the 31st of July, 1955, shows
that the Transport Commissioner is also the Chairman, Central Road Traffic Board, Madras, and subordinate to him are the Secretary, Central Road Traffic
Board, Madras, Assistant Secretary, Road Traffic
Board, Madras and Regional Transport Officers.
778
SUPREME COURT REPORTS
[1960]
z96o
There can be no question therefore that the Regional
A
h- 1
p·ii . Transport Officers arc officers subordinate to the
runae a am • "'T
C
· •
I •
h
£
h"
v.
ransport omm1ss10ner. t 1s per aps or t 1s reason
sou<hern Roadways that the respondent admits that the Regional Trans-
(Privale) Lid.
port Officers, administratively, are subordinate to the
Imam].
Transport Commissioner. Section 44A speaks merely
of an officer subordinate to the Transport Commissioner to whom by notification the Government
of Madras may confer the authority in lieu of any
other authority prescribed by or under the Act to
discharge the powers and functions of that authority ..
It was, however, argued that until rules were framed
under s. 133A specifying as to who is subordinate
to which authority for the purposes of the Act and
the statutory functions to be performed under the
Act, administrative subordination is not what is
contemplated under s. 44A. On the other hand,
on behalf of the appellant it has been urged that
effect must be given to the weirds of s. 44A which
did not in the least indicate in what way the officer
has to be subordinate to the Transport Commissioner.
It was worthy of notice that s. 44A authorized the
State Government, notwithstanding anything contained in the Act, to authorize any officer subordinate
to the Transport Commissioner to exercise and dis·
charge in lieu of any other authority such powers and
functions as may be exercised by that authority.
The section did not depend upon any rules to be
framed under s. 133A. Furthermore, s. 133A was an
enabling section by which a State Government could,
if it so wished, for the purpose of carrying into effect
the purposes of the Act establish a Motor Vehicles
Department. Until such a Department was established
the question of framing rules under the section did
not arise.
There is no clear material on the record or in the
Madras Road Traffic Code from which it can be ascer1
tained precisely as to when the Madras Government established a Motor Vehicles Department. It is
significant, however, by a notification dated Decemlier 20, 1955, cl. (m) was added to Rule 3 of the Rules
and this stated that" Transport Department " means
the Motor Vehicles Department set up under s. 133A
--
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-
'
3 S.C.R. SUPREME COURT REPORTS
779
of the Act.
Apparently, until this date Transport
r960
Department was something other than the Motor
~-·
V h. 1 D
t
d
133A f h A
Arunachalam Pillai
e 1c es
epartmen set up un er s.
o t e
ct.
.
It is clear, therefore, that on Februa.ry 14, 1953, when Southernv~oadways
the Notification G.O. MS. No. 527 was issued by the
(Private) Ltd.
Government of Madras the Regional Transport Officers
were officers subordinate to the Transport Commissioner. Even if at some time or the other a Motor
Vehicles Department had been set up by the Government of Madras admittedly the Government of Madras
had framed no rules under s. 133A(3). If rules had
been framed under that section and they showed that
the Regional Transport Officers were not subordinate
to the Transport Commissioner then a question might
well have arisen as to how the words" any Officer
subordinate to him" should be construed owing to a
conflict between the Regional Transport officer being
administratively subordinate to the Transport Commissioner and yet not subordinate to him by virtue of
the rules framed under s. 133A. Since, however, no
rules have been fra.med under this section, so far as
s. 44A is concerned, any officer who is subordinate to
the Transport Commissioner in any way must include
the Regional Transport Officers in the Tran~port
Department. The words of the section are wide
enough for this interpretation and they are incapable
of being given the restricted meaning suggested on
behalf of the respondent. It was, however, suggested
that anomalies may occur if s. 44A is construed so
widely, because a Regional Transport Officer was a
Secretary of a Regional Transport Authority and
therefore subordinate to that authority and yet he
could be empowered to vary the conditions of a permit
which the State Transport Authority, to which the
Regional Transport Authority is subordinate, may
have declined to do. In the matter of interpretation
such considerations cannot be of much assistance. If
the words of s. 44A are wide enough to mean any
officer subordinate to the Transport Commissioner
they must be given effect to. In the matter of interpretation a Court could not, if the words were plain
enough, μroceed on the basis that possibly the
Government of Madras may misuse its powers.
Imam .f.
780
SUPREME COURT REPORTS
[1960)
r960
We accordingly hold that the Regional Transport
--
p·i Officer, Tiruchirapalli, had jurisdiction to vary the
hunachalam
i lai
d"t"
f
•t b
· t
fth
c
d
v.
con 1 10ns o a pernn
y vir ue o
e power con1erre
southern Roadways on him by the Notification No. G.O. MS. 527 issued by
(Private) Ltd.
the Government of Madras. Consequently, that
Imam].
Subba Rao].
Government had the power under s. 64A to do that
which the Regional Transport Officer could have done
but had refused to do.
In our opnion, the appeal must be allowed and the
judgments of the single Judge and Appellate Court of
the High Court must be set aside and the case remanded to the High Court for the rehearing of the
writ petition by the single Judge as several questions
which were raised in that petition have not been
decided by him. He had allowed the petition solely
on the ground that the decision of the Government
of Madras must be set aside as the Regional Transport
Officer had no jurisdiction to vary the conditions of
the permit and that being so the Government of
Madras could not make such an order in the exercise of
its revisional jurisdiction. The case will accordingly go
back to the single Judge for decision on the other points
raised in the writ petition filed by the respondent.
The appellant is entitled to his costs of this appeal.
Th'e costs in the High Court will abide the result.
.
SuBBA RAO, J.-I have had the advantage_ of perusing the judgment of my learned brother, Imam, J.
I regret my inability to agree with him in regard to
the main question raised in the case, namely, whether
the Regional Transport Officer is subordinate to the
State Transport Commissioner within the meariing of
s. 44A of the Motor Vehicles Act, 1939 (4 of 1939)
(hereinafter referred to as the Act).
The facts are
fully stated by my learned brother and it is not necessary to restate them here.
Section 44A was inserted in the Act by the Madras
Act 20 of 1948 and it reads :
"The State Government may appoint a State
Transport Commissioner, and notwithstanding anything contained in this Act, may, by notification in
the Fort St. George Gazette, authorize such Commissioner or any officer subordinate to him, to exercise
J
3 S.C.R.