J&K makes authorisation mandatory for dealers handling registered vehicles to curb misuse

The transport commissioner's office issued a circular detailing the operational guidelines for "registration, authorisation of dealers of registered vehicles” pursuant to a recent notification of the Union Ministry of Road Transport and Highways, an official said.

He said the framework mandates compulsory authorisation for any entity dealing in resale, stock or handling of registered vehicles, with complete digital traceability through the ‘VAHAN' platform.

The key provisions include online application with mandatory premises verification, five-year validity of authorisation, real-time reporting of vehicle transactions, secure custody of vehicles, and maintenance of buyer/seller KYC and digital records, the official said.

He said the regional transport officers (RTOs), assistant RTOs and enforcement officers have been directed to conduct inspections, verify entries on VAHAN and initiate strict action against the unauthorised dealers.

After 21 days, assistance will also be sought from district police and state taxes authorities to seize vehicles being sold without valid authorisation, he said, adding that the existing dealers must obtain authorisation within 30 days.

No vehicle transaction will be permitted through non-authorised dealers, the official said.

Transport Commissioner Vishesh Paul Mahajan said the guidelines will curb fraudulent vehicle transactions, prevent misuse of vehicles by anti-social elements, and bring greater transparency to the registered vehicle resale ecosystem in J&K.

Meanwhile, Transport Secretary Avny Lavasa has asked the department for effective implementation of the Registered Vehicle Scrapping Policy (RVSF), which targets vehicles that are 15 years old or more, as well as those that are unfit for road use due to accidents, disasters or natural wear and tear.

The scrapping process will be carried out in a scientifically sound manner to promote recycling and minimise environmental impact, in line with the Environment Protection (End of Life of Vehicle) Rules, Lavasa said.

She added that the implementation of the policy is expected to create a thriving business ecosystem in the vehicle scrapping and recycling industry.

“This will not only contribute to the economic development of J&K but also create significant employment opportunities in various sectors, including automotive dismantling, recycling, and logistics,” she said.

To facilitate the scrapping process, the official said the government would provide incentives and land bank support for setting up RVSFs across the UT.

"The Registered Vehicle Scrapping Policy is a forward-thinking initiative that will benefit both vehicle owners and the economy. It is crucial that we engage with the public and businesses to make this a success," Lavasa said.