Centre proposes authorisation certificates for car dealers to check malpractices

To promote ease of doing business and transparency in the sale and purchase of registered vehicles through dealers, the Ministry of Road Transport and Highways (MoRTH) has issued a draft notification to promote ease of doing business and transparency in the sale and purchase of registered vehicles through dealers.

The pre-owned car market in India has been gradually gaining ground. In recent years, the advent of online marketplaces, which are involved in buying and selling of pre-owned vehicles, has further given a boost to this market.

In the current ecosystem, many issues were being faced, including during transfer of vehicle to subsequent transferee, disputes in regard to third party damage liabilities, difficulty in determination of defaulter etc, the MoRTH said in a statement.

The ministry in a draft notification has proposed amendments in chapter III of Central Motor Vehicle Rules, 1989 to build a comprehensive regulatory ecosystem for the pre-owned car market.

The key provisions of the proposed rules are as follows:

1. An authorization certificate for the dealers of registered vehicles has been introduced to identify the authenticity of a dealer.

2. Furthermore, the procedure for intimation of delivery of vehicle between the registered owner and the dealer has been detailed.

3. The powers and responsibilities of a dealer in possession of registered vehicles have also been clarified.

4. Dealers have been empowered to apply for renewal of registration certificate/ renewal of certificate of fitness, duplicate registration certificate, NOC, transfer of ownership, of motor vehicles in their possession.

5. As a regulatory measure, maintenance of an electronic vehicle trip register has been mandated which would contain details of the trip undertaken viz. trip purpose, driver, time, mileage etc.

As per the Ministry, these rules are expected to aid in recognising and empowering intermediaries/dealers of registered vehicles as well as provide adequate safeguards against fraudulent activities to the selling or purchasing of such vehicles.

Comments and suggestions have been invited from all stakeholders within a period of 30 days.

Latest Articles

Australian Army Contingent For Joint Exercise “Austra Hind – 22” Arrive In India

The bilateral training exercise “AUSTRA HIND 22” between contingents of the Indian Army and the Australian Army is scheduled to take place at Mahajan...

IFFI 53 witnesses Asian premiere of the film ‘Interaction’ produced by ‘ART for the World’

Interaction is ART for the World’s latest anthology film production. Comprising of 12 original short films of 6-to-8-minute duration, the film was screened for...

English rendering of PM’s address in the 95th Episode of ‘Mann Ki Baat’ on 27.11.2022

I extend a warm welcome to you all in 'Mann Ki Baat', once again. This programmme is the 95th episode. We are fast moving...

India reiterates its commitment on conserving tortoises and fresh water turtles at CoP19 in Panama

The 19th Meeting of the Conference of the Parties (CoP 19) to the Convention on International Trade in Endangered Species of Wild Fauna and...