The defence lawyer said it was the first time that the ministry had appeared in court as a defendant.

The plaintiff, Qiao Zhanxiang, argued the ministry had violated the nation's Price Law when certain railway tickets were increased during the 2001 Spring Festival.

But the Beijing No 1 Intermediate People's Court yesterday found against him, ruling the price rises of up to 30 percent were legal.

A philosophical Qiao accepted the decision but maintained the ministry had not listened to public opinion.

According to the Price Law which came into effect on May 1, 1998, the ministry should first hold a hearing before making a decision on the price of tickets, he maintained.

"The pricing of railway tickets affects many passengers and the ministry should hear their voices," he said. "Otherwise, such a decision will harm people's interests."

But the ministry successfully argued their actions were justified. Defence counsel Zhang Changjiang said the price of railway tickets is not included among items that require hearings.

"The plaintiff and the defendant have a different understanding of the law, and the State Development Planning Commission is now making a catalogue of things that should hold hearings," Zhang said.

The Ministry of Railways issued a notice on December 21 that some railway ticket prices would be increased by 20-to-30 percent during the Spring Festival holiday. This meant Qiao had to pay 9 yuan (US$1.08) more for the two tickets he bought on January 17 and 22.

As the number of passengers swell close to the Spring Festival holiday, the ministry enforced the price rise to balance the pressure brought by demand for railway tickets and transport capacity.

The ministry had earlier reported to the State Development Planning Commission, which is authorized by the State Council, and later secured its approval.

"The price rise has followed the normal process and is legal," said the defence lawyer.

(China Daily November 6, 2001)