Research › Search › Judgment

Andhra High Court · body

2020 DIGILAW 485 (AP)

Adusumili Chandramohan v. State Of Andhra Pradesh

2020-07-28

B.KRISHNA MOHAN

body2020
JUDGMENT B. Krishna Mohan, J. - This Writ Petition is filed challenging the orders of the 2nd respondent in R.No.AP0020509382020, R.No.AP0020509522020, R.No. AP002050932020, R.No.AP0020509362020 and R.No.AP0020509542020, dated 03.06.2020 in cancelling the Registration Certificates of Motor Vehicles bearing Nos.AP02TH4238, AP02TH3854, AP02TH3857, AP02TH3658 and AP02TH3856. 2. Heard the learned counsel for the petitioners and the learned Government Pleader for Transport appearing for the respondents. 3. It is the case of the petitioners that the 2nd petitioner is the registered owner of five transport lorries bearing Motor vehicle Nos.AP02TH4238, AP02TH3854, AP02TH3857, AP02TH3658 and AP02TH3856 (for short 'Motor vehicles'). The 1st petitioner is the partner of the said firm of the 2nd petitioner and the notices and cancellation orders issued/passed by the 2nd respondent are in the name of the 1st petitioner. It is the further case of the petitioners that the motor vehicles were purchased on 26.09.2018 and 27.09.2018 from M/s Jatadhara Industries Private Limited for a consideration of Rs.1,43,00,000/- by availing certain loans from Tata Motors Finance solutions limited, Thane West, Maharastra and the 2nd petitioner is a bonafide purchaser of the motor vehicles and the same were purchased after making prudent enquiries and verifying the registration documents. Subsequently, the petitioners made applications under the provisions of the Motor Vehicles Act,1988 (for short 'MV Act') read with Andhra Pradesh Motor Vehicle Rules, 1963 (for short 'MV Rules') and the Central Motor Vehicle Rues, 1989 for transfer of the ownership of the said motor vehicles from their vendor i.e., M/s Jatadhara Industries Private Limited. The 3rd respondent issued Certificates of Fitness for each of the Motor Vehicles and the 2nd respondent had also issued Authorization Certificates for National permit. After completion of the due procedure, the said five motor vehicles were registered in the name of the 2nd petitioner by the 2nd respondent on 26.09.2018 and 27.09.2018. The necessary insurance policies on Motor Vehicles were taken with the National Insurance Company Limited and the Motor vehicle tax is being paid on quarterly basis as per the provisions of the Andhra Pradesh Motor Vehicles Taxation Act, 1963. 4. It is further contended by the petitioners that the 2nd respondent issued show cause notices, dated 10.02.2020 bearing R.No.38/A1/2020 to the petitioners, which were received on 22.02.2020, to show cause as to why action should not be taken for cancellation of Registration Certificates under Section 55(3) of the MV Act. 4. It is further contended by the petitioners that the 2nd respondent issued show cause notices, dated 10.02.2020 bearing R.No.38/A1/2020 to the petitioners, which were received on 22.02.2020, to show cause as to why action should not be taken for cancellation of Registration Certificates under Section 55(3) of the MV Act. The petitioners have submitted their explanations to the said show cause notices on 26.02.2020 and the same are pending. They have further requested the 2nd respondent to fix a date for personal hearing for the purpose of making oral submissions by their counsel. As stated, no enquiry is continued or held. But surprisingly, the 2nd respondent issued the impugned orders in R.No.AP0020509382020, R.No.AP0020509522020,R.No.AP002050932020, R.No.AP0020509362020 and R.No.AP0020509542020, dated 03.06.2020, cancelling the Certificate of Registrations of the Motor Vehicles under Section 55(2) of the Motor Vehicle Act. The relevant extract of one such impugned order is as follows: "Sri/Smt Adusumilli Chandramohan registered owner of the vehicle No.AP02TH4238 (Articulated Vehicles) in his/her application cited above has intimated that the above said vehicle became AS THE VEHICLE IS REGISTERED WITH FAKE AND FABRICATED DOCUMENTS. TC IS CANCELLED U/55 OF MV AS PER INSTRUCTIONS OF DTC and submitted the registration certificate of the above vehicle under sub-section (1) of Section 55 of MV Act, 1988. In exercise of the powers conferred under sub-section (2) of Section 55 of the MV Act, 1988, the certificate of the registration of the vehicle number AP02TH4238 Articulated Vehicles is cancelled AS THE VEHICLE IS REGISTERED WITH FAKE AND FABRICATED DOCUMENTS. RC IS CANCELLED U/55 OF MV AS PER INSTRUCTIONS OF DTC". 5. The learned counsel for the petitioners contend that the said impugned orders are liable to be set aside on the ground that the enquiry contemplated under Section 55(3) of the MV Act is pending and the explanations of the petitioners, dated 26.02.2020 are not yet considered by the respondents and as such, the respondents cannot issue the impugned proceedings under Section 55(2) of the MV Act, contrary to the provisions of the MV Act, MV Rules and the principles of natural justice. 6. 6. On the other hand, the learned Government Pleader for Transport appearing for the respondents submits that the impugned orders are passed, as the said vehicles are registered with fake and fabricated documents and as such, they can be cancelled under the impugned action, that apart, the petitioners have got an alternative remedy of appeal to the Appellate Authority under Section 57 of the MV Act against such impugned action. Therefore, sought for dismissal of the Writ Petition. 7. It is brought to the notice of this Court by the learned counsel for the petitioners about the order passed by this Court, dated 17.07.2020 in Writ Petition No.11599 of 2020. The operative portion of the said order is as follows: "In these circumstances, it would be appropriate to set aside the impugned order, dated 11.06.2020 with a liberty to the respondents to conduct a fresh enquiry into the matter and pass appropriate orders after due notice to the petitioner and adequate opportunity being given to the petitioner." 8. On the other hand, the learned Government Pleader relied on the order passed by this Court in Writ petition No.10756 of 2020, dated 14.07.2020, wherein it was held that: "Accordingly, the Writ petition is disposed of, directing the petitioner to approach the appellate authority by way of filing an appeal against the impugned order, within a period of two weeks from the date of receipt of a copy of this order. On filing such appeal, the appellate authority shall dispose of the same on merits and pass appropriate orders within a period of six weeks thereafter. There shall be no order as to costs." 9. Having regard to the facts and circumstances, it is to be appreciated that admittedly the explanations given by the petitioners, dated 26.02.2020, for the show cause notices issued by the 2nd respondent, dated 10.02.2020, are pending for consideration under Section 55(3) of the MV Act. In addition to that, the petitioners disputed and denied the applications, dated 03.06.2020 purported to have been given by them to the 2nd respondent which were formed the basis for the impugned order of the 2nd respondent, dated 03.06.2020. These above said two proceedings before the 2nd respondent cannot go parllourly or simultaneously in conflict to each other, when the proceedings under Section 55(3) of the MV Act are pending. These above said two proceedings before the 2nd respondent cannot go parllourly or simultaneously in conflict to each other, when the proceedings under Section 55(3) of the MV Act are pending. The impugned orders of the 2nd respondent, dated 03.06.2020 under Section 55(2) of the MV Act cannot be sustained and they are liable to be set aside in order to give a way to complete the enquiry under Section 55(3) of the MV Act. In such an event, the contention of the learned Government Pleader about the alternative remedy of appeal cannot be upheld and the petitioners cannot be relegated to exhaust the alternative remedies against the impugned orders. 10. Therefore, the impugned orders issued by the 2nd respondent in R.No.AP0020509382020, R.No.AP0020509522020, R.No. AP002050932020, R.No.AP0020509362020 and R.No.AP0020509542020, dated 03.06.2020, dated 03.06.2020 are set aside, directing the 2nd respondent to complete the enquiry, pursuant to the show cause notices issued in R.No.38/A1/2020 for the said vehicles and the explanations given by the petitioners, dated 26.02.2020, on merits, by giving due opportunity to the petitioners and others concerned by following the provisions of the MV Act and the MV Rules and the said enquiry shall be completed and appropriate orders shall be passed as expeditiously as possible. 10. Accordingly, the Writ Petition is disposed of. There shall be no order as to costs. As a sequel thereto, miscellaneous petitions, if any, pending in the Writ Petition shall stand closed.