Supreme Court of India
M/s S.R.S. Travels by its Proprietor K.T. Rajashekar v. The Karnataka State Road Transport Corporation Workers & Ors.
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What the Court ordered
We hold that: (a) Section 3 of the Karnataka Motor Vehicles Taxation and Certain Other Law (Amendment) Act, 2003, which repeals the Karnataka Contract Carriages (Acquisition) Act, 1976, is constitutional. (b) The State Transport Authority (STA) possesses the power to delegate its functions under Section 68(5) of the MV Act, as expressly provided by the statute and further clarified by Rule 56(1)(d) of the KMV Rules.
Judgment, page 26
From the headnote
Issue for Consideration Issue arose as regards the constitutional validity of the Karnataka Motor Vehicles Taxation and Certain Other Law (Amendment) Act, 2003 repealing the Karnataka Contract Carriages (Acquisition) Act, 1976 particularly given that the 1976 Act had earlier been upheld by this Court; and whether u/s.68(5) of the Motor Vehicles Act read with r. 56 of the Karnataka Motor Vehicle Rules, 1989, the state and regional transport authorities can lawfully delegate the power to grant contract carriage permits to the Secretary or whether such power must remain with the multi-member
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