Page 74 - The Motor Vehicles Act, 1988

60 THE MOTOR VEHICLES ACT, 1988 SECTION 71

carriages generally or of any specified type, as may be fixed and specified
in the notification, operating on city routes in towns with a population of
not less than five lakhs.
(b) Where the number of stage carriages are fixed under clause (a), the
Government of the State shall reserve in the State certain percentage of
stage carriage permits for the Scheduled Castes and the Scheduled Tribes
in the same ratio as in the case of appointments made by direct recruitment
to public services in the State.
(c) Where the number of stage carriages are fixed under clause (a), the Regional
Transport Authority shall reserve such number of permits for the Scheduled
Castes and the Scheduled Tribes as may be fixed by the State Government
under sub-clause (b).
(d) After reserving such number of permits as is referred to in clause (c), the
Regional Transport Authority shall in considering an application have
regard to the following matters, namely,—
(i) financial stability of the applicant;
(ii) satisfactory performance as a stage carriage operator including
payment of tax if the applicant is or has been an operator of stage
carriage service; and
(iii) such other matters as may be prescribed by the State Government:
PROVIDED that, other conditions being equal, preference shall be given to
applications for permits from—
(i) State transport undertakings;
(ii) co-operative societies registered or deemed to have been registered under
1
any enactment for the time being in force; [x x x]
2
(iii) ex-servicemen; [or
(iv) any other class or category of persons, as the State Government may, for
reasons to be recorded in writing, consider necessary].
3
[x x x]
Explanation : For the purposes of this section “company” means any body corporate,
and includes a firm or other association of individuals; and “director”, in relation to a
firm, means a partner in the firm.
STATE AMENDMENT
Kerala
In section 71 of the Motor Vehicles Act, 1988 (Central Act 59 of 1988), (hereinafter referred
to as the principal Act), in sub-section (4),—
(i) for the words “five” and “ten”, substitute the words “ten”, and “fifty” respectively;
(ii) for the words “any company”, substitute the words “any co-operative society or to
any company”. [Vide Kerala Act 12 of 1993 w.r.e.f. 26-2-1993]
COMMENTS
The main object of s. 71 is to preserve the rule of reservation and to provide for the
reservations in the same proportion as they are obtained and referred to public services in the
State.—G. Venkata Ramakrishna Rao v. Government of India AIR 1992 AP 67

1 Word “or” omitted by Act 54 of 1994, w.e.f. 14-11-1994.
2 Inserted, ibid.
3 Sub-clauses (4) and (5) omitted, ibid.