Summary
The Court upheld Chandigarh’s reclassification of internal inter-sectoral roads from State highways to major district roads. It held that this did not breach the highway liquor-sale directions in K. Balu, while the National Highway and Madhya Marg connecting neighbouring States retained their classifications. The order clarified the directions’ municipal-area application.
Issues
- Whether reclassification of Chandigarh’s internal roads circumvented the Court’s highway liquor-sale directions.
Held
- The earlier highway nomenclature was an administrative maintenance-and-funding arrangement for roads essentially serving the city. Reclassifying those internal roads, while leaving the actual connecting highways unaffected, violated neither the terms nor purpose of K. Balu. (¶ 5–6)
- The Court explained that its directions addressed highways properly understood as connecting cities, towns and villages, and stated that the order did not prohibit licensed establishments within municipal areas. This clarification was extended to other municipal areas. (¶ 7)
Result
Special leave petition dismissed; intervention application disposed of. Chandigarh reclassification left undisturbed.