Insisting Presence Of MD/CEO Merely For Disposing Traffic Challans On Vehicle Registered In Company Name Uncalled For: Delhi High Court

The Delhi High Court has observed that a Trial Court's direction requiring the physical presence of a company's MD/CEO emrely for the purpose of disposing traffic challans was irrational. Benetton India Private Ltd. filed the petition to quash the orders passed by a Trial Court, where it directed the MD/CEO of Benetton to appear in the proceedings relating to the disposal of traffic challans. The challans were issued for over speeding with respect a vehicle registered in Benetton's name. An 'Authorized Representative' of Benetton appeared before the Trial Court for disposal of two traffic challans issued in the company's name. The challans were required to be disposed of prior to the initiation of the process for scrapping of the vehicle owned by Benetton. However, since the Authorized Representative was in possession of a stamp of Benetton which was similar to the stamp affixed on the authority letter by which the representative was authorized by the MD/CEO, the Trial Court directed the presence of the MD/CEO for making an inquiry in this regard. A single judge bench of Justice Anoop Kumar Mendiratta remarked that the presence of CEO/MD was not required as Benetton may be in possession of several vehicles for running its business operations and that it may not be feasible for the CEO to appear merely for purpose of disposal of traffic challans.The Court opined that the Trial Court's order was “unfounded, uncalled for and irrational, since the Authorized Representative was duly authorized and the said fact has been admitted on behalf of the petitioner.”The Court thus set aside the Trial Court's order and directed it to dispose of the challans on the appearance of the Authorized Representative of Benetton. Additionally, the Court observed that in view of the amendments in the Motor Vehicles Act implemented in Delhi, multiple options have been provided for disposal of challans, including online payment, e-courts and settlement through Lok Adalats in case of compoundable offences.The Court noted that it had sought a response from the State authorities about certain deficiencies with respect to the disposal of challans.It noted that the status report filed on behalf of the Delhi Traffic Police indicated that he option for updation of mobile numbers in respect of old vehicles as well as in case of sale/transfer of vehicles is already available on Vahan portal of Ministry of Road Transport and Highways of India. The Court further noted that the Delhi Traffic Police has issued directions concerning complaint/grievance with respect to the notice/challans issued for violations captured through the electronic monitoring. It remarked, “This Court appreciates…the stand taken on behalf of Delhi Traffic Police for providing an alternative effective mechanism for resolution of grievance, as observed herein above and directs that the order dated 03.10.2024 issued by Shri S.K. Singh, Deputy Commissioner of Police: Traffic (HQ-II), Delhi in this regard be given wide circulation along with the link provided by e-Parivahan website for updation of mobile numbers, for information of the citizens.”The Court thus disposed of the petition.Case title: Benetton India Private Limited vs. State NCT of DelhiCitation: 2024 LiveLaw (Del) 1202Click Here To Read/Download Order

Insisting Presence Of MD/CEO Merely For Disposing Traffic Challans On Vehicle Registered In Company Name Uncalled For: Delhi High Court

Sanjana Dadmi

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