1Short title, extent and commencement
  This Act may be called the Road Transport Corporations Act, 1950. It extends to the whole of India: 1* * * 2[Provided that on and from...
2Definitions
In this Act, unless the context other wise requires, "ancillary service" means any subsidiary service which provides amenities or facilities to persons ...
3Establishment of Road Transport Corporations in the States
The State Government, having regard to the advantages offered to the public, trade and industry by the development of road transport; the desirability of...
4Incorporation
Every Corporation shall be a body corporate by the name notified under section 3 having perpetual succession and a common seal and shall by the said name su...
5Management of Corporation and Board of Directors
The general superintendence, direction and management of the affairs and business of a Corporation shall vest in a Board of Directors which, with the ...
6Disqualification for being chosen as, or for being, a member of a Corporation
A person shall be disqualified for being chosen as, or for being, a 2[Director of a Corporation] if he is found to be a lunatic or a person of un...
7Resignation of office by the Chairman or a member
The Chairman or any other 4[Director] of a operation may resign his office by giving notice in writing to the State Government and, on such resignation bein...
8Removal of Chairman and members from office
The State Government may remove from office the Chairman or any other 5[Director] of the Corporation who- is or becomes subject to any of the disquali...
9Vacancies amongst members or defect in the constitution
 No act or proceeding of a 3[Corporation or its Board] shall be invalid reason only of the existence of any vacancy 3[in its Board] or any defect in the con...
10Temporary association of persons with a Board for particular purposes
A 3[Board] may associate with itself for any particular purpose in such manner as may be determined by regulations made under this Act any person whos...
11Meetings of Boards
A 3[Board] shall meet at such times and places and shall, subject to the provisions of sub-sections (2)and (3) observe such rules of procedure in regard to t...
12Power to appoint committees and delegate functions
2[Board] may form time to time by resolution passed at a meeting- appoint committees 2[consisting of Directors] for performing. such functions as may be s...
13Authentication of orders and other instruments
All orders and decisions of the Board shall be authenticated by the signature of the Secretary or by any such other officer of the Corporation as may be a...
14Officers and servants of the Corporation
[Every Corporation shall have a Managing Director, a Chief Accounts Officer and Financial Adviser, appointed by the State Government. Provided that the same...
15Managing Directors, Chief Accounts Officer and Financial Adviser
The Managing Director shall be the executive head of the Corporation and all other officers and employees of the Corporation shall be subordinate to him.] T...
16General disqualification of all officers servants
No person who has directly or indirectly, by himself or his partner or agent, any share or interest in any contract, by or on behalf of a Corporation, or i...
17Appointment of Advisory Council
The State Government may, after ascertaining the views of the Corporation, by notification in the Official Gazette, constitute one or more Advisory Counci...
17A.Establishment of subsidiary Corporations
Where a corporation (hereafter in this section referred to as the parent Corporation) is satisfied that it is expedient or necessary so to do for the more ef...
18General duty of Corporation
It shall be the general duty of a Corporation so to exercise its powers as progressively to provide or secure or promote the provision of, an efficient, adeq...
19Powers of Corporation
(1) Subject to the provisions of this Act, a Corporation shall have power-(a) to operate road transport services in the State and in any extended area;(b) to ...
20Extension of the operation of the road transport service
If a Corporation considers it to be expedient in the public interest to extend the operation of any of its road transport services to any route or area situ...
21Carriage of mails
Notwithstanding anything contained in the Motor vehicle Act, 1939, (4 of 1939.) a Corporation shall, if so required by the Central Government, carry mails a...
22General principle of Corporations finance
It shall be the general principle of a Corporation that in carrying on its undertaking it shall act on business principles. Subs. by Act 63 of 1982, s. 11 (w...
23Capital to the Corporation
The Central Government and the State Government, may provide to a corporation established by the State Government, in such proportion as may be agreed to by...
24Additional capital of the Corporation
If, after the issue of shares under section 23 a Corporation requires any further capital, the Corporation may, with the previous sanction of the State Gov...
25Guarantee by the State Government
The shares of a Corporation shall be guaranteed by the State Government as to the payment of the principal and the payment of the annual dividend at such mi...
26Borrowing powers
 A Corporation may, with the previous approval of the State Government, borrow money for the purpose of raising its working capital or meeting any expenditu...
27Fund of the Corporation
Every Corporation shall have its own fund and all receipts of the Corporation shall be carried thereto and all payments by the Corporation shall be made the...
28Payment of interest and dividend
Where 5[ the whole or part of the capital of a Corporation] is provided by the Central Government and the State Government under sub-section (1) of section ...
29Provision for depreciation and reserve and other funds
A Corporation shall make such provisions for depreciation and for reserve and other funds as the State Government may, from time to time, direct. The managem...
30Disposal of net profits
After making provision for payment of interest and dividend@ under section 28 and for depreciation, reserve and other funds under section 29, a Corporation ...
31Power of the Corporation to spend
 A Corporation shall have power to spend such sums as it thinks fit on objects authorised under this, Act and such sums shall be treated as expenditure paya...
32Budget
Every Corporation shall, by such date in each year as may be prescribed, prepare and submit to the State Government for approval a budget for the next...
33Accounts and audit
The Corporation shall maintain proper accounts and other records and prepare an annual statement of accounts including the profit and loss account and t...
34Directions by the State Government
The State Government may, after consultation with a Corporation established by such Government, give to the Corporation general instructions to be followed ...
35Returns and reports
Every Corporation shall furnish to the State Government such returns, statistics, accounts and other information with respect to its property or activ...
36Power to order inquiries
The State Government, with a view to satisfy itself that the powers and duties of a Corporation established by that Government are being exercised and...
37Power to control a part of the undertaking of a Corporation
If on receipt of the report of any inquiry held under section 36.or otherwise, the State Government is satisfied that it is necessary so to do in the public...
38Power to supersede a Corporation
If the State Government is of opinion that a Corporation established by that Government is unable to perform, or has persistently made default in the perfor...
39Liquidation of a Corporation
Provided that no such order shall be made by any State Government except with the previous approval of the Central Government....
40Compensation for acquisition of road transport undertakings
Whenever a Corporation acquires under this Act the whole or any part of any undertaking, there shall be paid by the Corporation compensation the amount of w...
41Corporation to be deemed to be a local authority and provision as to third party risks
Rep. by the  Rep. by the...
42Power of entry
Whenever it is necessary for a Corporation to carry out any of its works or to make any survey, examination or investigation, preliminary or incidental to t...
43Members, officers and servants of a Corporation to be public servants
All 1[Directors] of a Corporation, and all 1[officers and other employee] of a Corporation, whether appointed by the State Government or the Corporation, s...
44Power to make rules
The State Government may, by notification in the Official Gazette, make rules to give effect to the provisions of this Act. In particular, and without...
45Power to make regulations
A Corporation may, with the previous sanction of the State Government, make regulations, not inconsistent with this Act and the rules made there under...
46Penalty for breach of rules
The State Government may, by rule, provide that the breach of any rules made by it under section44 shall be punishable with fine which may extend to five hun...
47Special provisions relating to Bombay
The body known as the Bombay State Road Transport Corporation and the Board thereof, referred to in the notification of the Government of Bombay, No. 1780/...
47A.Special provision for reconstitution or dissolution of certain Corporations
Where on account of the re - organisation of States under the States Re - organisation Act, 1956, (37 of 1956.) 2[or any other enactment relating to re - or...
48Transitional provision relating to Bombay State Road Transport Corporation
Not withstanding anything contained in section 47A, it shall be lawful for the Government of the State of Bombay to frame a scheme under sub-section (1) the...
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