Nagpur RTO Implements Digital Tracking for Used Vehicle Dealers

The Nagpur City Regional Transport Office (RTO) has launched a digital tracking initiative for second-hand vehicle dealers, requiring them to secure official authorization and maintain online records of vehicles in their possession. This new system is designed to enhance accountability and assist authorities in tracing vehicle transfers, identifying intermediaries, and investigating cases of stolen vehicles and other offenses.

The enforcement of this digital tracking system is expected to impact major used-vehicle markets in Nagpur, particularly those located on Ghat Road for four-wheelers and in the Chitnis Park area for two-wheelers. Kiran Bidkar, the Regional Transport Officer for Nagpur City, stated, "We are bringing used-vehicle dealers into the tracking system so that vehicle handovers and their subsequent use can be monitored and accountability fixed."

This initiative follows the Central Motor Vehicles (Twenty-Sixth Amendment) Rules, 2022, which were notified on December 22, 2022, and came into effect on April 1, 2023. The Nagpur RTO has already communicated the new requirements to local dealers and conducted meetings to explain the rules and application process. Feedback from dealers has been positive, indicating a willingness to adapt to the changes.

Under the new regulations, dealers involved in the buying and selling of registered vehicles must obtain an authorization certificate in Form 29B from the registering authority. Applications must be submitted online using Form 29A, accompanied by a fee of Rs 25,000. The authorization certificate is valid for five years and must be displayed prominently at the dealer's business location. Additionally, dealers are required to submit various business and identity documents, including GST registration and PAN details, along with information about their business premises.

The digital tracking system mandates that vehicle handovers be recorded electronically. When a vehicle is sold, both the owner and dealer must submit Form 29C, while Form 29D is necessary if the owner retrieves the vehicle. Dealers are also required to maintain an electronic inventory using Form 29E. Once Form 29C is submitted, the dealer assumes ownership responsibilities for the vehicle, clarifying accountability during the period the vehicle is in their custody.

Furthermore, vehicles held for sale cannot be parked on public roads, and their usage is limited to specific purposes such as test drives, repairs, and visits to inspection centers. Dealers must document these journeys in an electronic trip register, Form 29F, and their authorization number must be visible from at least 15 meters when a vehicle is on public roads. Buyers are advised to verify registration documents, insurance, pending fines, and ownership transfer status before making a purchase.