SC raps UP transport body for disallowing permit to MP pvt operators

SC Raps UP Transport Body for Disallowing Permit to MP Pvt Operators

The Vagabond News – November 6, 2025

In a sharp rebuke to the Uttar Pradesh State Transport Authority (STA), the Supreme Court of India on Wednesday criticized the body for denying inter-state permits to private bus operators from Madhya Pradesh, calling the move “arbitrary and against the spirit of free movement.”

The Case at Hand

A group of private transporters from Madhya Pradesh had approached the apex court after the UP transport department repeatedly refused to renew or issue permits allowing their buses to operate across the state border. The petitioners argued that such denials violated the Motor Vehicles Act, which ensures reciprocal transport agreements between states.

Supreme Court’s Observation

A bench headed by Justice Sanjay Karol observed that the UP transport body had “no lawful basis” to block entry to duly registered and compliant operators.

“The refusal to grant permits appears discriminatory and undermines the principle of cooperative federalism,” the bench remarked during the hearing.

The court noted that the transport authorities cannot impose restrictions that hinder interstate movement when reciprocal transport pacts already exist between Uttar Pradesh and Madhya Pradesh.

Directive to UP Authorities

The Supreme Court directed the Uttar Pradesh government to immediately review all pending applications and process them in accordance with the law. It also cautioned the state against adopting protectionist measures that favor local operators.

“Public transport must serve citizens, not bureaucratic boundaries,” the bench said, emphasizing that administrative bias must not override commuters’ convenience and legal fairness.

Reaction and Implications

The ruling was welcomed by private transport associations, who have long accused state-level bodies of stifling competition.
“This decision restores faith in fair business practices and ensures better connectivity for passengers between both states,” said Mukesh Tiwari, a representative of the MP Bus Operators’ Union.

Transport experts believe the judgment could set a precedent for similar disputes between neighboring states, especially where economic or political frictions influence permit policies.

Background

Under the All India Tourist Permit and reciprocal transport agreements, vehicles registered in one state are legally allowed to ply in another with mutual consent. However, several state authorities have been accused of selectively withholding approvals to benefit local public sector or political interests.

The Supreme Court’s strong words mark a critical step toward uniform application of inter-state transport laws and reaffirm the court’s stance that administrative power must align with national mobility rights.

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Reported by The Vagabond News Legal Desk