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Ludhiana MC told to consider contractor’s application for bus fare hike
Hike had been sought citing increase in fuel rates
Amid a tussle between municipal corporation (MC) and the city bus service contractor over the proposed hike in fare, the court of additional district judge Atul Kasana has stated that the civic body can consider the application of the contractor in which he has sought a fare hike.
Meanwhile, the court continued the stay on termination of the contract.
Earlier this year, the contractor: Horizon Connect Transways Private Limited had submitted an application with the MC in which he had sought an increase in the fare by
₹2 to 5, citing the increasing fuel rates.
The MC refused to increase the fare stating that the court had ordered a stay in the case.
The contractor, however, had stated that the court had only ordered a stay on termination of contract and that the application could be entertained.
As the civic body remained adamant, the company moved court.
The court has now ordered that municipal corporation can consider the application seeking fare hike as no stay had been issued for the same.
Last year, the civic body had served a termination notice to the company as it had failed to submit dues to the tune of around ₹4 crore and its failure to run the service at full capacity.
Following this, the company had moved the court against Ludhiana City Bus Service Limited, after which the court ordered a stay on termination of the contract.
MC commissioner Pardeep Sabharwal said that a meeting regarding the city bus service had been scheduled for Friday, wherein the matter will be discussed.
The city bus service was put to a halt in March after the imposition of the curfew and, it resumed in July.
As per the information, the MC had purchased 120 buses under the project, of which 83 have been transferred to the company.
The remaining 37 buses are gathering dust in the depot situated at Tajpur road. At present, only 27 buses are plying on city roads.
