The Road Transport Corporations Act, 1950

(1) This Act may be called the Road TransportCorporations Act, 1950. (2) It extends to the whole of India 1***: 2[Provided that on and from the commencement of the Delhi Road Transport Laws (Amendment)Act, 1971, this Act, as amended by the said Act, shall extend to, and be in force in, the Union territory ofDelhi:] 3[Provided further that on and from the commencement of the Road Transport Corporations(Amendment) Act, 1982, this Act, as amended by the said Act, shall extend to the Union territory ofMizoram.] 4* * * * *

In this Act, unless the context otherwise requires,-- (a) "ancillary service" means any subsidiary service which provides amenities or facilities topersons making use of any road transport service of a Corporation; 1[(aa) "Board" means the Board of Directors of a Corporation;] (b) "Corporation" means a Road Transport Corporation established under section 3; 1[(bb) "Director" means a member of the Board;] (c) "extended area" means any area or route to which the operation of any road transport serviceof a Corporation has been extended in the manner provided in section 20; (d) "prescribed" means prescribed by rules made under this Act; (e) "road transport service" means a service carrying passengers or goods or both by road invehicles for hire or reward; (f) "vehicle" means any mechanically propelled vehicle, used or capable of being used for thepurpose of road transport, and includes a tram-car, a trolly-vehicle and a trailer; (g) words and expressions used but not defined in this Act and defined in the Motor VehiclesAct, 1939 (4 of 1939), have the meaning assigned to them in that Act; 2* * * * *

The State Government havingregard to-- (a) the advantages offered to the public, trade and industry by the development of road transport; (b) the desirability of co-ordinating any form of road transport with any other form of transport; (c) the desirability of extending and improving the facilities for road transport in any area and ofproviding an efficient and economical system of road transport service therein, may, by notification in the Official Gazette, establish a Road Transport Corporation for 1[the whole or anypart of the Union territory of Delhi] under such name as may be specified in the notification.

Every Corporation shall be a body corporate by the name notified under section 3having perpetual succession and a common seal, and shall by the said name sue and be sued.

1[5. Management of Corporation and Board of Directors.--(1) The general superintendence,direction and management of the affairs and business of a Corporation shall vest in a Board of Directorswhich, with the assistance of its committees and Managing Director, may exercise all such powers and doall such acts and things as may be exercised or done by the Corporation. (2) The Board shall consist of a Chairman and such other Directors, being not less than five and notmore than seventeen, as the State Government may think fit to appoint. (3) The State Government may, if it so thinks fit appoint one of the other Directors as theVice-Chairman of the Board. (4) Rules made under this Act shall provide for the representation, both of the Central Governmentand of the State Government concerned, on the Board in such proportion as may be agreed to by both theGovernment and of appointment by each Government of its own representatives thereto and where thecapital of a Corporation is raised by the issue of shares to other parties under sub-section (3) ofsection 23, provision shall also be made for the representation of such shareholders on the Board and themanner in which the representatives shall be elected by such shareholders. (5) The term of office of and the manner of filling casual vacancies among the Directors shall be suchas may be prescribed.]