Motor Vehicles Act: Section 48 – No objection certificate

(1) The owner of a motor vehicle when applying for the assignment of a new registration mark under sub-section (1) of section 47, or where the transfer of a motor vehicle is to be effected in a State other than the State of its registration, the transferor of such vehicle when reporting the transfer under sub-section (1) of section 50, shall make an application in such form and in such manner as may be prescribed by the Central Government to the registering authority by which the vehicle was registered for the issue of a certificate (hereafter in this section referred to as the no objection certificate), to the effect that the registering authority has no objection for assigning a new registration mark to the vehicle or, as the case may be, for entering the particulars of the transfer of ownership in the certificate of registration.

(2) The registering authority shall, on receipt of an application under sub-section (1), issue a receipt in such form as may be prescribed by the Central Government.

(3) On receipt of an application under sub-section (1), the registering authority may, after making such inquiry and requiring the applicant to comply with such directions as it deems fit and within thirty days of the receipt thereof, by order in writing, communicate to the applicant that it has granted or refused to grant the no objection certificate: Provided that a registering authority shall not refuse to grant the no objection certificate unless it has recorded in writing the reasons for doing so and a copy of the same has been communicated to the applicant.

(4) Where within a period of thirty days referred to in sub-section (3), the registering authority does not refuse to grant the no objection certificate or does not communicate the refusal to the applicant, the registering authority shall be deemed to have granted the no objection certificate.

(5) Before granting or refusing to grant the no objection certificate, the registering authority shall obtain a report in writing from the police that no case relating to the theft of the motor vehicle concerned has been reported or is pending, verify whether all the amounts due to Government including road tax in respect of that motor vehicle have been paid and take into account such other factors as may be prescribed by the Central Government.

(6) The owner of the vehicle shall also inform at the earliest, in writing, the registering authority about the theft of his vehicle together with the name of the police station where the theft report was lodged, and the registering authority shall take into account such report while disposing of any application for no objection certification, registration, transfer of ownership or issue of duplicate registration certificate.

Simplified Explanation

Section 48 mandates that before a motor vehicle can be registered or re-registered in another state or transferred, the owner must obtain a No Objection Certificate (NOC) from the original Regional Transport Office (RTO) where the vehicle was initially registered. The NOC certifies that there are no pending issues or liabilities related to the vehicle, such as unpaid road taxes or criminal activities, and that the vehicle is eligible for transfer to another jurisdiction.

Key Points

  1. Purpose of a No Objection Certificate (NOC):
    • A NOC ensures that the vehicle has no liabilities, such as:
      • Unpaid taxes (road tax, registration fees).
      • Any involvement in legal cases or criminal activity.
      • Outstanding fines or penalties.
    • The NOC certifies that the original RTO has no objection to the vehicle being transferred to another state or owner.
  2. When NOC is Required:
    • Re-registration in another state: When a vehicle is moved permanently to another state for more than 12 months (as per Section 47), a NOC is required from the original RTO before the vehicle can be re-registered in the new state.
    • Sale of the vehicle: If the vehicle is sold to someone in a different state, the seller must obtain a NOC to enable the buyer to re-register the vehicle in their state.
    • Transfer of ownership: A NOC is also required when transferring ownership of the vehicle if it is registered in a different jurisdiction than where it will be used.
  3. Application Process for NOC:
    • The vehicle owner must submit an application to the original RTO where the vehicle was registered.
    • Documents required typically include:
      • Form 28 (application for NOC).
      • The vehicle’s Registration Certificate (RC).
      • Proof of identity and address of the owner.
      • A valid pollution under control (PUC) certificate.
      • Insurance papers of the vehicle.
    • The RTO will verify if there are any dues or legal issues concerning the vehicle. If everything is in order, the NOC will be issued.
  4. Issuance of the NOC:
    • Once the RTO confirms that all liabilities have been cleared and there are no pending issues, it will issue the NOC.
    • The NOC allows the vehicle to be legally re-registered in another state or transferred to a new owner without complications.
  5. Validity of NOC:
    • The NOC is usually valid for a limited period (often six months). If the vehicle is not re-registered in the new state or transferred within that time frame, the process may need to be restarted.
  6. Refusal of NOC:
    • The RTO may refuse to issue a NOC if:
      • There are pending taxes or fines on the vehicle.
      • The vehicle is involved in any legal disputes or criminal cases.
      • The vehicle has not been properly maintained or inspected.
    • In such cases, the vehicle owner will need to clear the pending issues before a NOC can be issued.

Example Scenario

A person living in Mumbai decides to relocate to Bangalore and plans to take their car with them. Since they will be living in Bangalore for more than 12 months, they need to re-register the car in Karnataka as per Section 47. To do this, they must first apply for a NOC from the Mumbai RTO, ensuring there are no pending dues or legal issues. Once the NOC is issued, the car can be re-registered with the Bangalore RTO.

Importance

The NOC is crucial for ensuring that all dues related to the vehicle, such as road taxes, fines, and other liabilities, are cleared before the vehicle is transferred to a new jurisdiction. It prevents any legal or financial issues from being carried over to the new state or new owner and helps maintain a proper record of vehicle movement across states.

Conclusion

Section 48 of the Motor Vehicles Act ensures that a No Objection Certificate (NOC) is obtained from the original RTO before a vehicle can be re-registered in another state or transferred to a new owner. The NOC certifies that there are no outstanding liabilities or legal issues with the vehicle, making the transfer or re-registration process smoother and legally compliant.

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