TN State Transport Corporation Not Exempted From Toll Fees In Kerala, Reciprocal Agreement No Basis For Exemption: Kerala High Court

The Kerala High Court recently observed that the Tamil Nadu State Transport Corporation's (TNSTC) vehicles are not exempted in Kerala from paying toll fees as per the Toll Act and operating based on a reciprocal agreement does not exempt them from paying the fees.

Justice Mohammed Nias C.P thus added that the contractor responsible for toll collection has the right to demand payment of toll fees from TNSTC.

"The agreements were produced as Exts.R4(a) and R4(b). The buses of the Petitioner Corporation were never exempted. Even as per Toll Act amended in 1990 only those motor vehicles belonging to the Government of Kerala or the Government of India and any stage carriage operated by the KSRTC were exempted. It is clear from Ext.R4(a) list that the petitioner's vehicles are not exempted from paying the toll. Nothing produced by the petitioner enables them to get any exemption from payment of toll." 

There were two petitions in this case. TNSTC filed the first petition arguing that they were entitled to operate their vehicles in Kerala without paying toll fees. Advocate Subhash Cyriac appearing for TNSTC claimed that the reciprocal agreement between the two States should grant them the same benefits as the Kerala State Road Transport Corporation (KSRTC).

For 2013-2014, the right for toll collection at the Amaravila Bridge near Neyyattinkara was awarded to the highest bidder B.Anilkumar. Only KSRTC vehicles and categories specifically mentioned in the Schedule were exempted from toll. TNSTC buses were not exempted from paying the toll as per the list.

The second petition was filed by Anilkumar against TNSTC for non-payment of toll fees. Appearing through Senior Advocate N. N Sugunapalan and Advocate S. Sujin, he contended that the toll amount comes to around 5000 per day, which has not been paid since April 2013. Thus, he sought a direction to compel TNSTC to pay the toll fees owed with interest at 12%.

Senior Government Pleader Vinitha B also appeared in the matter. 

The Court noted that as per Toll Act, only those motor vehicles belonging to the Government of Kerala or the Union Government and any stage carriage operated by the KSRTC were exempted. Thus, it was clear that TNSTC vehicles were not exempted from paying the toll.  Accordingly, the Court dismissed the first petition stating that the TNSTC's vehicles were not exempted from paying toll fees as per the Toll Act, and no evidence was provided to support their claim for exemption.

The Court partly allowed the second petition and held that TNSTC and other respondents are liable to pay the toll fees. However, the exact amount payable required further factual adjudication and the petitioner was directed to approach the civil court to determine the quantification of the owed amounts.

Case Title: Tamil Nadu State Transport Corporation v State of Kerala & Ors.

Citation: 2023 LiveLaw (Ker) 342

Click Here To Read/Download The Order