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JK exchequer loses lakhs, courtesy Transport Deptt
Non-renewal of licenses
6/15/2021 12:33:15 AM
Early Times Report

Jammu, June 14: Years have passed and the Transport Department here has not placed an adequate monitoring mechanism to ensure that licences of Motor transport service providers are renewed without delay, resulting in non-realisation of revenue of Rs 73.86 lakh.
Documents in possession of Early Times reveal that the loss incurred by such a practice includes renewal fee of Rs 41.16 lakh and Late fee of Rs 32.70 lakh.
Out of 180 Motor Transport services licences issued by the Transport Commissioner, 109 licence holders have not renewed their licences after delays ranging between 1 to 20 years, which has resulted in non-realisation of revenue of Rs 73.86 lakh.
It was informed further that out of 103 Pollution Control Licences, the licences of 26 Pollution Checking Centres haven’t been renewed for periods ranging between one to six years resulting in non-recovery of revenue to the extent of Rs 1.80 lakh.
Furthermore, out of 169 Driving Institute licences issued by two RTOs, 70 licence holders have not renewed their licences. Also, there was no records of inspection available with the respective RTOs showing that these institutes were non-functional. Thus, the non-renewal of these licences has resulted in non-recovery of licence renewal fee of Rs 10.67 lakh. Various audit reports conducted in the past have highlighted how there was a risk that these institutes may have unauthorisedly carried on their business during the periods when they were not possessing the valid licences. In Jammu division, in 18 cases of the licences of driving schools, the licences were renewed either without charging any fee or by using the same Demand draft/ GR on multiple occasions and resulted in short charging of renewal fee of Rs 0.77 lakh.
Pertinent to mention that CMV Rules, 1989 envisage that no person shall establish or maintain any Driving School or establishment for imparting instructions for hire or reward in driving motor vehicles, without a licence granted by the Licensing Authority.
The licence granted shall be in force for a period of five years and has to be renewed in not less than sixty days before the date of its expiry on payment of prescribed fee.
Also, JKMV Rules, 1991 envisages that persons/ firms having Motor Transport Service licences have to get the licences renewed after one year on submission of an application in the prescribed form to the State Transport Authority after payment of fee at the rate of Rs 5,000 per annum.
Licence holder shall apply for renewal of his licence to the Registering Authority not less than 30 days before the date of expiry of his licence, failing which the licence holder was to be charged Rs 200 per day as a fine for late renewal. Further, any person/ persons or firm/ firms found dealing in transport business without any valid transport service licence shall be imposed a fine up to Rs 30,000 as per the SRO 190 dated 28 April 2010.
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