A Motor Accident Claims Tribunal (MACT) in Delhi has raised serious concerns over the illegal transfer of commercial vehicles without updating ownership records, calling for urgent policy intervention by the Delhi Police and State Transport Authority (STA).
The observations were made by Judge Abhilash Malhotra of the MACT-02, Patiala House Courts.
While allowing the claim petition and passing an award, the court examined the ownership trail of a Gramin Seva vehicle, which was involved in an accident and found to be uninsured at the time of the incident.
According to the court order, the vehicle had allegedly changed hands multiple times — from registered owner Sikander to Karamvir, then to Manoj Kumar, and finally to Vivek Kumar — without any corresponding update in the Registration Certificate (RC) records as mandated under Section 50 of the Motor Vehicles Act, 1988. The Tribunal observed that it was “difficult to gobble” how a public utility vehicle like a Gramin Seva could continue operating despite repeated transfers without statutory compliance.
The Tribunal further noted that such unauthorised transfers not only violate Section 50 of the Motor Vehicles Act but also amount to breach of permit conditions, since permits issued for commercial passenger vehicles are not freely transferable during the prescribed period.
The court also questioned the role of the transport authorities during annual fitness checks and permit renewals, asking why the change in possession was not detected despite mandatory regulatory procedures.
Expressing concern over administrative lapses, the Tribunal highlighted the “absolute lack of coordination” between the Delhi Police and the State Transport Authority. It remarked that investigating agencies often fail to inform Regional Transport Offices (RTOs) about violations relating to illegal sale or purchase of vehicles discovered during investigations.
The Tribunal emphasised the need for a dedicated mechanism through which the Delhi Police can share details of violations of Section 50 of the Motor Vehicles Act with the transport authorities for initiating appropriate legal action.
Calling the issue a major loophole in enforcement, the Tribunal directed the offices of the Commissioner of Delhi Police and the Commissioner of the STA to deliberate urgently and formulate a feasible policy framework to ensure stricter compliance with ownership transfer and permit regulations governing commercial vehicles.
A copy of the order has been directed to be sent to both authorities for necessary action and compliance.
