Introduction:

The Supreme Court recently issued notices in a significant plea challenging directives from the Tamil Nadu Government that restrict buses not registered within the state from plying unless re-registered locally. The interim order prevents obstruction for buses with All India Tourist Permits (AITP).

Arguments of Both Sides:

The petitioners, government-approved inter-state bus operators holding AITPs, contested Tamil Nadu’s directive citing Section 46 of the Motor Vehicles Act, 1988, which ensures national validity of vehicle registrations. They argued that previous Supreme Court rulings had upheld their right to traverse Tamil Nadu without re-registration hurdles. On the other hand, Tamil Nadu justified its directive through a press release, highlighting revenue loss due to lower taxes paid by operators registering vehicles in states like Nagaland and avoiding higher taxes in Tamil Nadu.

Court’s Judgement:

The Vacation Bench comprising Justices BV Nagarathna and Ujjal Bhuyan acknowledged the petitioners’ plight and issued an interim order allowing unrestricted movement for buses with AITPs in Tamil Nadu. The bench emphasized compliance with national registration laws under the Motor Vehicles Act, asserting the validity of AITPs across states.