Approved transport scheme can defeat pending permit renewal applications where notified routes are covered by the statutory regime.

After approval of a transport scheme, the Regional Transport Authority could refuse to entertain pending renewal applications for stage carriage permits once the notified routes were covered by the approved scheme, because the special statutory regime was treated as wide enough to include rejection of applications still pending when the scheme came into force. A challenge to the scheme on discrimination and extraneous influence also failed: the discrimination plea was not properly pleaded, and the recorded reasons showed reliance on public interest, transport adequacy and improved amenities, which were relevant considerations. The petition was dismissed on the merits.

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Issues: (i) whether, after approval of a transport scheme, the Regional Transport Authority could refuse to entertain and reject pending applications for renewal of stage carriage permits under the Motor Vehicles Act, 1939; (ii) whether the approval of the scheme was vitiated by extraneous considerations or discrimination.

Issue (i): whether, after approval of a transport scheme, the Regional Transport Authority could refuse to entertain and reject pending applications for renewal of stage carriage permits under the Motor Vehicles Act, 1939.

Analysis: The renewal application was subject to the statutory scheme governing permits, including publication, objections, temporary permits and the special regime applicable once a scheme had been approved. The absence of a fixed statutory outer limit for deciding renewal did not prevent the Authority from acting after the permits had expired. Once the scheme had been approved and the notified routes were covered by it, the Authority was empowered under the special provision dealing with approved schemes to refuse to entertain renewal applications for other permits. The word used in the provision was treated as wide enough to include rejection of a pending application when the approved scheme came into force before final disposal.

Conclusion: The Regional Transport Authority had power to reject the renewal applications, and this issue was decided against the petitioner.

Issue (ii): whether the approval of the scheme was vitiated by extraneous considerations or discrimination.

Analysis: The discrimination plea was not supported by the pleadings and was not permitted to be raised for the first time. On the challenge to approval of the scheme, the reasons recorded showed that the decision rested on public interest, adequacy of transport resources and better amenities, which were relevant considerations under the statutory scheme for approval. No extraneous consideration was established.

Conclusion: The challenge to the scheme failed and this issue was decided against the petitioner.

Final Conclusion: The petition was dismissed, with the Court expressing concern over the manner in which the matter had been handled but granting no relief on the merits.

Ratio Decidendi: Once an approved transport scheme covers the notified route, the transport authority may refuse to entertain a pending renewal application for another permit, and a scheme approval supported by relevant public-interest considerations is not invalidated by unsubstantiated allegations of discrimination or extraneous influence.

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