The Supreme Court allowed the civil appeal, setting aside the Division Bench, Single Judge, and State Transport Appellate Tribunal (STAT) orders which had gone against the appellant-transport operator. The Apex Court held that the Division Bench committed a grave error of law by dismissing an intra-court appeal on the ground of maintainability under the misconception that a challenge to a tribunal’s order falls exclusively under Article 227 rather than Article 226 of the Constitution. Furthermore, the Court clarified the wide amplitude of writ jurisdictions, ruled on stage carriage permit allocations under the Motor Vehicles Act, 1988, and issued systemic guidelines to High Courts to curb the menace of “bench-hunting”.
- Factual Background: The appellant applied for a stage carriage permit on the joint route of Bikaner-Suratgarh and Suratgarh-Ganganagar following a 2015 notification by the Government of Rajasthan. The State Transport Authority (STA) and subsequently the STAT rejected his application on the grounds that he could not hold multiple permits or had not surrendered a previous one. A Single Judge dismissed his writ petition under Article 226, and an intra-court appeal was subsequently dismissed by a Division Bench solely on the grounds of maintainability under Rule 134 of the Rajasthan High Court Rules, 1952, assuming the matter arose under Article 227.
- Distinction Between Articles 226 and 227:
- Article 226 is the repository of judicial review, enabling High Courts to issue writs, orders, or directions (including Certiorari and Mandamus) against statutory tribunals and state authorities for breaches of fundamental rights or other legal purposes.
- Article 227 is the repository of supervisory jurisdiction meant to keep subordinate courts and tribunals within their bounds.
- The Court reaffirmed that orders of statutory tribunals (like the STAT under the Motor Vehicles Act) can be challenged under Article 226, Article 227, or both, and the choice of invoking Article 226 cannot be arbitrarily disregarded.
- Removal of Permit Caps under the Motor Vehicles Act: The Court noted that Section 71(4) of the Motor Vehicles Act, 1988, which previously capped individual stage carriage permits, was completely omitted by the 1994 Amendment Act. Therefore, there is no legal ceiling on the number of permits an individual can hold, and courts cannot re-introduce caps.
- Possession of Vehicles and Mandatory Reasons: Possession of a ready vehicle is not a mandatory prerequisite at the exact time of submitting an application, as long as the vehicle’s registration certificate is produced within the permitted time after sanction under Rule 5.11 of the Rajasthan Motor Vehicles Rules, 1990. Additionally, under Section 80, the STA must record mandatory and sufficient reasons when rejecting an application.
- Currbing Bench-Hunting: Expressing serious concern over systemic “bench-hunting” where litigants pick and choose benches when orders can be challenged under either Article 226 or 227, the Supreme Court commended High Courts to frame appropriate rules or practice guidelines (such as assigning specific Division Benches for tribunal-related writ matters). The Registry was directed to circulate this judgment to all High Court Chief Justices.
Final Ruling: The Supreme Court set aside the judgments of the Division Bench, Single Judge, and STAT, and restored Appeal No. 168/2019 to the STAT for a fresh decision on merits within six months.
2026 INSC 733
Ajit Singh v. State of Rajasthan & Ors. (D.O.J. 13.07.2026)
