Truckers withdraw indefinite strike call from June 1

New Delhi, May 28 (UNI) The proposed nationwide strike by over four million truckers from June one has been withdrawn following an amicable settlement of their demands by the Centre and state governments, a leading truckers' body has announced.

The strike call, in protest against the government's ''indifferent'' attitude to the truckers' demands for streamlining the insurance and tax structure for the industry, was withdrawn following a two-hour meeting between truckers' representatives and Road Transport and Highways Secretary L K Joshi here yesterday.

All India Confederation of Goods Vehicle Owners' Association (ACOGOA) President B Channa Reddy said truckers had decided to withdraw their strike call after all their demands were acceded to by the ministries concerned at the Centre and in the states.

''The proposed suspension of trucking activity indefinitely from June 1 is being called off. This saves 4.5 million trucks from going off the roads,'' Mr Reddy said.

High-handedness by insurance companies in the matter of mandatory third party insurance, arbitrary levying of taxes by states on vehicles passing through their territories, imposition of high toll tax on highways and anomalies in TDS from hire charges paid to goods carriages were the major concerns of truckers.

The ACOGOA had also said insurance companies were increasingly adopting a ''recalcitrant'' attitude in respect of issuing Third Party motor insurance to commercial vehicles, and were defying the IRDA's direction with regard to the issuance of new policies or renewal of existing policies.

It also pointed out that the life of driver, helper and four coolies were previously insured. ''But now in many places, the helper and coolies have been excluded from the ambit of insurance policy,'' it added.

As part of the negotiations, the infamous ''Mechanical Tax'' in Orissa, a variant of double taxation, would be abolished from June 1.

Mr Reddy said truckers strongly favoured the scrapping of all double taxes and free inter-state movement of heavy vehicles.

Initially, the Orissa government had started issuing 'Green Card' to vehicles and charging a fee, which followed with collection of a standard fine from all vehicles transiting through the state, which is known as ''Mechanical Tax.'' It was also agreed that no TDS would be deducted from hire charges paid to small truckers owning up to two vehicles.

''Where TDS is deducted from hire charges and paid to fleet owners, Form 16-A will be issued only in the trucker's name,'' he said.

Following discussions with ACOGOA, the Insurance Regulatory and Development Authority (IRDA) issued directions to all insurers, both in the public and private sectors, directing them not to refuse to renew or issue Third Party Legal Liability Motor Policy. Instead, they will issue the policy on demand at the existing tariff rate.

IRDA also announced that the matrix for loading the renewal premium now stood withdrawn while loading on premium shall be done only in case of adverse claim experience during the preceding year.

The governmment agreed to examine the ACOGOA's demand that toll on highways should be recovered also from the consignors who are the true beneficiaries as users of roads for moving their cargoes.

In addition, it was decided that anti-overloading provisions in the Motor Vehicles Act, 1988 would be reviewed forthwith and strengthened to ensure their compliance by officials of the Transport Department, consignors and truckers.

Besides Mr Reddy, those who attended the meeting included Chittaranjan Das, ACOGOA Vice-President, Saroj Kumar Dash, Joint Secretary (Road Transport), A P Bahadur, Chief Engineer (Roads) and Ramu Gupta, Under Secretary, Ministry of Shipping, Road Transport and Highways.

ACOGOA, at its March 15 national conventionmeeting at Rajamundry, had decided to launch an indefinite strike from June 1 if its charter of demands was not accepted by the Union Ministries of Finance and Road Transport and the state governments.

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