Acquisition statute bars fresh special permits for contract carriages once the legislative scheme takes effect.

The Karnataka Contract Carriages (Acquisition) Act, 1976 was construed as extending to public service vehicles covered by its definition of contract carriage, not only vehicles already operating under an existing special permit at commencement. Read with the provisions barring fresh permits and renewals, the scheme showed a legislative intent to prevent any further grant of permits that would allow private operation of such vehicles as contract carriages. The effect was to preserve the acquisition scheme and the State transport corporation's monopoly, so a special permit under section 63(6) of the Motor Vehicles Act could not be granted after the Act came into force.

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Issues: Whether, after the commencement of the Karnataka Contract Carriages (Acquisition) Act, 1976, a special permit under section 63(6) of the Motor Vehicles Act could still be granted in respect of a vehicle falling within the extended definition of contract carriage under the Act.

Analysis: The Act was enacted to acquire contract carriages and certain related public service vehicles in order to prevent misuse and to secure better transport facilities, and its scheme had to be read in light of that object. The definition of contract carriage in section 3(g) of the Act was not confined to vehicles already operating under an existing special permit on the date of commencement; it also covered public service vehicles to which a special permit or temporary permit had been issued. Reading section 3(g) with section 14 and section 20(3), the prohibition against fresh permits and renewals showed a legislative intention to prevent any further grant of permits enabling operation of such vehicles as contract carriages, thereby preserving the acquisition scheme and the monopoly of the State transport corporation.

Conclusion: The prohibition operated against granting a special permit under section 63(6) of the Motor Vehicles Act after the Act came into force, and the contrary view of the High Court was incorrect.

Ratio Decidendi: A special permit or related permit cannot be granted after the commencement of the acquisition statute where the statutory definition and prohibitory provisions, read together, show a legislative intent to bring such vehicles within the acquisition scheme and exclude fresh private operation as contract carriages.

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