INDIA BUSINESS WORLD - March 1st - March 15th - 2008
SUPREME COURT FINES HIMACHAL PRADESH RS 1 LAKH FOR VIRBHADRA GRANTING BUS PERMIT TO PARTY MAN
The Supreme Court has said that a chief minister/minister cannot pass an order that is unconstitutional. Setting aside an order of the previous Virbhadra Singh-led Congress government in Himachal Pradesh, granting permit to run a fleet of buses on a particular route of the state to a Congress leader, the court imposed a fine of Rs 1 lakh on the state for flaunting provisions of the Motor Vehicle Act.
A bench of Justice S B Sinha and Justice V S Sirpurkar said: "All governmental orders must comply with the requirements of a statute as also the constitutional provisions. Our Constitution envisages a rule of law and not rule of men. It recognises that, how so ever high one may be, he is under law and the Constitution. All constitutional functionaries must, therefore, function within the constitutional limits".
The court said, "statutory authorities are bound to act in terms thereof, but per se the same does not authorise any minister including the chief minister to act in derogation of the statutory provisions. The Constitution of India does not envisage functioning of the government through the chief minister alone. It speaks of Council of Ministers. The duties or functions of the Council of Ministers are ordinarily governed by the provisions contained in the Rules of Business framed under Article 166 of the Constitution of India".
Setting aside the HP government order, the court said, "in the matter of grant of permit to individual applicant, the state has no say. The chief minister or any authority, other than the statutory authority, therefore, could not entertain an application for grant of permit nor could issue any order thereupon".
The then chief minister's office, by a letter of March 9, 2004, addressed to the Commissioner (Transport), Himachal Pradesh, had directed, "it has been approved that permit may be sanctioned in favour of Shri Rajender Rana. Commissioner Transport, HP is requested to please take further action accordingly and send compliance report to this office".
The chief minister's office again on June 9, 2004, had issued another letter indicating approval for grant of a route permit in his favour. It had asked the transport director to grant permit in accordance with the observations of the CM. Accordingly, a stage carriage permit was granted in his favour.
The grantee who is said to have political connection being a leader of Congress, had approached the chief minister directly by a letter asking for grant of the permit. He had addressed the CM on the letter head of mandal congress committee, Rajgir Panchukhi, as its president.
It was challenged in the Himachal Pradesh high court which, however, had dismissed the petition. Then an appeal was filed in the apex court by some of the bus owners.
Justice Sinha writing the verdict on behalf of the bench said, nothing has been placed on record to show that the chief minister in his capacity even as a member of the cabinet was authorised to deal with the matter of transport in his official capacity, he had even otherwise absolutely no business to interfere with the functioning of the Regional Transport Authority. RTA being a statutory body is bound to act strictly in terms of the provisions thereof. It cannot act in derogation of the powers conferred upon it.
While setting aside grant of permit on behest of then CM, the court said, "we impose a cost of Rs one lakh upon the state, which may be paid to the National Legal Services Authority. The said amount may be deposited within 4 weeks, failing which it will be open to the National Legal Services Authority to realise the same. with interest @ 12 % pa."
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