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NEW PRAKASH TRANSPORT CO. LTD. versus NEW SUWARNA TRANSPORT CO. LTD.

Citation: [1957] 1 S.C.R. 98 · Decided: 30-09-1956 · Supreme Court of India · Bench: SUDHI RANJAN DAS · Disposal: Appeal(s) allowed

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Judgment (excerpt)

1956 
Rajes Kanta Roy 
v. 
Sonti Deli 
Jagannodhadas J. 
1956 
Stplember 30. 
98 
SUPREME COURT REPORTS 
[19571 
instance, and (2) on the ground that the interest which 
Rajes gets under the trust deed either as regards the 
general properties covered by the deed or as regards 
premises No. 44/2, Lansdowne Road, is contingent, are 
untenable. If, as a fact, either the debts remain undis-· 
charged or the alternative accommodation has not so 
far been provided, how the rights of persons affected 
thereby are to be safeguarded 
is 
not a matter that 
arises for consideration before us and we express no. 
opinion thereupon. 
This. appeal is accordingly dismissed with costs. 
Appeal dismi.<sd. 
NEW PRAKASH TRANSPORT CO. LTD. 
v. 
NEW SUWARNA TRANSPORT CO. LTD. 
(S. R. 
DAS C.J., 
BHAGWATI, 
VENKATARAMA 
AYYAR, 
B. P. SINHA and S. K. DAs JJ.) 
Road Transport-Application for stage carriage permit-Police 
•·eport-P1·ocedu1·e-Appellate Authority, if bound to adjourn 
pro~ 
ceeding suo motu-Fa:"lure of natural justice-Motor Vehicles Act 
(/fl of 1939), ss. 47, 48, 64, 68. 
Rules of n3tural justice vary with the varying constitutions 
of statutory bodies anJ the rules prescribed by 
the 
legislature 
under \Vhich they have to act, and the question whether in a 
particular case they have been contra\·ened n1ust be judged not by 
any preconceived notion of what they may be but in the light of 
the provisions of the relevant Act. 
Case-la\\' discussed. 
The provisions of ss. 47, 48, 64 and the rules framed under 
, s. 68 of the Motor Vehicles Act make it abundantly clear that a 
Regional Transport Authority and an Appellate Authority in 
hearing an appeal, function in a quasi-judicial capacity and not as 
courts of law and are not required to record oral or documentary 
evidence and, in deciding as between the rival claims of applicants 
for stage carriage permits, what they are required to do is to deal 
with such claims in a fair and just manner. 
The Act, however, 
amply provides for the safeguarding of their interests. 
Vurappa Pillai v. Raman & Raman Ltd. (1932] S.C.R. 583, 
referred ·to. 
S.C.R. 
SUPREME COURT REPORTS 
99 
Consequently, in a case where the Regional Transport Autho-
,rity refused to grant a permit to an applicant on account of an 
adverse police report and the Appellate Authority granted the 
same on the 
basis of a further report by the police, whereby 
.all 
material 
allegations 
against 
him 
were 
withdrawn 
and 
nothing was said against his rival which would require to be contro-
verted by him, and the Chairman read out such report at the 
hearing of the appeal 
without any objection by any of the 
interested parties or any request for adjournment and a Division 
Bench of the High Court in appeal, reversing the decision of a 
single 
Judg~ made under Arts. 226 and 227 of the Constitution, 
held that the rules of natural justice had been 
contravene~ !Jy 
reason of the failure on the part of the Appellate Authority to 
adjourn the proceeding suo motu in order to afford the rival 
claimant an opportunity to meet the revised police report, its 
decision was erroneous and must be set aside. 
Held, further, that the reading out of the contents of the police 
report by the Chairman at the hearing of the appeal was enough 
compliance with the rules of natural justice as there was nothing 
in the rules requiring a copy of it to be furnished to any of the 
parties. 
CIVIL 
APPELLATE 
JuRISDICTION : 
Civil 
Appeal 
No. 74 of 1956. 
Appeal by special leave from the judgment anci 
-order dated September 22, 1955, of the Nagpur High 
Court in Letters Patent Appeal No. 2 of 1955. 
C. K. Daphtary, Solicitor-General for India, /. N. 
Bannerji and P. C. Agarwala, for the appellant. 
M. C. 
Setalvad, Attorney-General for 
India and 
Naunit Lal, for respondent No. 1. 
1956. September 30. The Judgment of the Court 
was delivered by 
SINHA J.-This is an appeal by special leave from 
the judgment and order, dated September 22, 1955, 
passed by :the 
Letters Patent Bench of the Nagpur 
High Court reversing those of a single Judge of that 
Court, dated December 13, 1954, refusing to issue a 
writ in the nature of a certiorari. 
The facts 'Of this case lie in a short compass and may 
be stated as follows: The Suwarna Transport Company 
Limited, which will be referred to as the first respondent 
in the course of .this judgment, held seven permits for 
runnin_g .buses on the Buldana-Malkapur route, as 
the 
1956 
Ntw Prakasb 
Tr

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