The Madras High Court on Tuesday directed the Transport Commissioner to spell out the number of private omnibuses plying in the State, cases booked for alleged violation of licence conditions and the nature of action initiated against bus owners.
Justice D. Krishnakumar called for the details when a writ petition filed by All India Bus Owners and Operators Association came up for admission.
The association filed the case accusing transport officials of unlawfully collecting ₹5,000 per month for every vehicle under the guise of compounding fee.
During the course of hearing, it was contended that though termed as ‘compounding fee,’ the collection was in the nature of penalty or spot fine, invariably done during night hours when the vehicles were laden with passengers.
However, Special Government Pleader V. Shanmuga Sundar refuted the charge. He contended that compounding fee was being confused with penalty and undertook to file a detailed report on the issue by March 6. In its affidavit, the petitioner association claimed that the demand by transport officials was virtually killing the omnibus operations which provide employment to hundreds.
Association general secretary A. Anabalagan said imposition of compounding fee was becoming burdensome for omnibus operators who had to pay the motor vehicles tax at the rate of ₹3,500 per seat during every quarter. Further, they had to bear ever increasing cost of diesel as well as insurance premium.
Under these circumstances, the bus operators were unable to bear an additional burden of ₹ 60,000 every year under the head of ‘compounding fee,’ and the burden, if passed on to the passengers or tourists, would result in loss of business, the association said and urged the court to restrain the officials from demanding such fee.