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Appeal No. 9 of 1959‑60, decided on 16th December, 1960, District Lahore.

Motor Vehicles Act (IV of 1939), S. 57‑Refusal to entertain application for permit‑Has same effect as refusal to grant permit.

Kh. Abdur Rahim for Appellant.

Ort The Secretary, Provincial Transport Authority for Respon dent.

In this case Diamond Transport Company has appealed against a decision of the Provincial Transport Authority refusing to entertain its application for grant of one more stage carriage permit on Lahore‑Rawalpindi route.

In the letter No. 1524‑T4‑60/2449, dated the 1st April 1960, addressed by, the Provincial Transport Authority, West Pakistan, Lahore, to Secretary Regional Transport Authority, Lahore it was stated that as the Provincial Transport Authority, West Pakistan had "already decided that the applications submitted at the initiative of the applicants will not be entertained" and the survey report received from Regional Transport Authority, Rawalpindi, has shown that "there is no need of additional service on this route". The application made by the appellant Messrs Diamond Transport Company, for one more permit, cannot be entertained.

The main question to be considered in this case is whether it is open under the Motor Vehicles Act, to a Transport Authority to reject an application without observing the formalities of section 57 ;of the Motor Vehicles Act. It was urged on behalf of the Provincial Transport Authority that no appeal lies in this case, as refusal to entertain an application did not amount to refusal J4to grant a permit. This plea cannot be accepted. Refusal to entertain an application for a permit has the same effect as the refusal to grant a permit and (he procedure laid down for consideration and rejection of applications for permit should be followed in such cases.

It has also been argued by the appellant that in the decision of the Provincial Transport Authority, it has been claimed that there was no need for an additional service on Lahore‑Rawalpindi route, but owing to Rawalpindi having become the Federal Capital. the need for more services on Lahore‑Rawalpindi is obvious. It was also on stated that according to various rulings the minimum number of stage carriage permits should be held for more than one. It is not a necessary to go into these details and examine the merits of the case, which is remitted to the Provincial Transport Authority for disposal after due observations of the formalities of section 57.

The appeal is accepted to that extent.

K. M. A. Appeal partly accepted.

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