GANDHARA TRANSPORT CO. LTD., vs THE STATE OF PUNJAB AND OTHERS

The Supreme Court held that the order of the Regional Transport Authority granting a regular permit to Manohar Singh was unlawful due to grave procedural errors. The authority improperly entertained an application for renewal of a temporary permit, misled parties regarding the nature of the application, and failed to consider necessary factors under Section 47 of the Motor Vehicles Act, 1939. The Court set aside the High Court's order and declared the Transport Authority's decision invalid, emphasizing that the benefit of Section 58(2) should not accrue to those without lawful permits.