The Supreme Court on Monday stayed the Madras High Court’s June 3 order that had barred the National Highways Authority of India (NHAI) from collecting toll fees on the Madurai–Tuticorin stretch of National Highway-38 (NH-38) citing poor road conditions.
A bench of Justices Prashant Kumar Mishra and Manmohan admitted the NHAI’s appeal against the high court’s decision and issued notice in the matter. “We are staying the high court order. You file your response,” the bench directed senior advocate P Wilson, who represented the original petitioner, V Balakrishnan.
Representing the NHAI, Additional Solicitor General N Venkataraman argued that halting toll collection was not the correct remedy for addressing the issue of road quality.
Earlier, the Madras High Court had observed that road users are entitled to well-maintained highways in exchange for paying toll fees and noted that the ongoing arbitration between NHAI and its concessionaire had no bearing on the rights of the public.
Petitioner Balakrishnan had alleged mismanagement of funds meant for roadside plantations and raised concerns over the poor state of the highway. He had sought suspension of toll collection until proper road repairs were carried out and demanded action against the concessionaire, Madurai–Tuticorin Expressway Ltd.
Rejecting the NHAI’s claim that the petitioner lacked standing as he was not a contracting party, the high court held that any toll-paying citizen could challenge the state of infrastructure. The court ruled that toll collection without fulfilling infrastructure obligations was impermissible, and directed the NHAI to halt collections until the road met motorable standards.
However, the Supreme Court felt the Madras High Court’s order was contrary to public interest and warranted a stay. The apex court emphasized that halting tolls could have wider administrative and financial implications, making a judicial stay necessary until further hearings.
The high court had posted the matter for compliance reporting on June 18, but this schedule will now depend on the proceedings in the Supreme Court.

