The government of Jammu and Kashmir has taken an appropriate and long-awaited step by issuing operational guidelines for the registration and authorization of dealers of registered vehicles pursuant to a recent notification of the Union Ministry of Road Transport and Highways. The implementation of these guidelines is expected to streamline the resale of vehicles in the Union Territory while making the entire process of sale and purchase more transparent, accountable and hassle-free. For a sector that has for years operated in a largely unregulated space, this policy intervention brings much-needed clarity, discipline and digital oversight.
In this context, it is pertinent to recall that just last week the Federation of Automobile Dealers Associations (FADA) Jammu urged the J&K Government to frame stringent regulations for the used-car business, highlighting the alarming scale of unauthorized operations and the consequential loss of revenue to the public exchequer. Many such operators, functioning without licences or monitoring, had become a source of concern not only for genuine buyers and sellers but also for law-enforcement agencies. It is therefore appreciable that the government has responded positively to this genuine demand by coming up with a comprehensive framework mandating compulsory authorization for any entity dealing in resale, stock or handling of registered vehicles. A major highlight of this framework is complete digital traceability through the VAHAN platform, ensuring that every transaction leaves an auditable trail.
The key provisions include online application for authorization with mandatory premises verification, five-year validity for authorized dealers, real-time reporting of vehicle transactions, secure custody and storage of vehicles, and proper maintenance of buyer/seller KYC and digital records. Such measures are vital for streamlining the entire gamut of vehicle resale operations, and it is no surprise that they have been welcomed by FADA and other stakeholder groups.
Under these guidelines, regional transport officers (RTOs), assistant RTOs and enforcement officers have been directed to conduct regular inspections, verify entries on the VAHAN system and initiate strict action against unauthorized dealers. It is laudable that the new norms categorically restrict any kind of vehicle transaction through unlicensed operators. Once these guidelines come into full operation, the chances of fraudulent transactions will be minimized, and misuse of vehicles by anti-social elements can be effectively curbed.
Now that the guidelines are public, the next crucial step for the government is to ensure their strict implementation on the ground without exceptions or selective enforcement. Any laxity can dilute the very spirit of this constructive reform. Law-enforcement agencies will thus have to play a decisive role by taking firm action against those showing reluctance to adopt the guidelines in letter and spirit.
