In a move aimed at bringing greater transparency and accountability to the used vehicle market, the Pune Regional Transport Office (RTO) has made it mandatory for all individuals and establishments engaged in the purchase, sale, or exchange of registered vehicles to obtain official authorisation. The directive was issued last week in accordance with a central government notification, and authorities have warned of strict action against anyone conducting such business without the required approval.
Under the new regulations, all used vehicle dealers must obtain a ‘certificate of authorisation for registered vehicle dealers” under form 29C. Without this authorisation, no individual or business will be permitted to engage in the trade of used vehicles. All used vehicle dealers operating within the Pune RTO jurisdiction have been instructed to submit applications immediately. Once an application is received, motor vehicle inspectors will conduct inspections of the concerned establishment. Only those dealers meeting the criteria laid down in the government notification will be granted the form 29C authorisation certificate.
Pune has a large and active second-hand vehicle market, with numerous dealers operating across the city and handling substantial volumes of two-wheelers and four-wheelers. As per the information shared by the Pune RTO, the new system is intended to address long-standing issues in the sector. In many cases, vehicles sold through used vehicle dealerships are not immediately transferred in the name of the final purchaser. Frequently, the original owner provides a no-objection certificate (NOC) and hands over the vehicle for sale, but ownership records are not updated, leaving the vehicle registered in the previous owner’s name even though it is being used by someone else. Such situations often lead to legal complications, liability concerns for original owners, and instances of fraud. The government had earlier introduced a policy framework for licensing used vehicle dealers, but implementation remained limited. The latest order seeks to enforce those provisions more effectively and establish a formal mechanism for monitoring vehicle transactions.
Explaining the benefits of the new system, Swapnil Bhosale, deputy regional transport officer, Pune, said, “Under the revised procedure, dealers engaged in the purchase and sale of used vehicles must first apply to the Pune RTO in form 29A. After verification and approval, the RTO will issue an authorisation certificate under form 29B, enabling them to function as authorised registered vehicle dealers. Once authorised, dealers will be able to transfer ownership of vehicles purchased from customers in the name of their dealership or business entity. This will create a proper chain of ownership and significantly simplify the process of transferring the vehicle to the final buyer.”
“The new framework will help eliminate several issues that have persisted in the used vehicle market for years. It will reduce the risk of fraud, prevent the circulation of stolen vehicles, ensure that ownership records remain updated, and protect both sellers and buyers from legal complications. The system will also benefit genuine used vehicle dealers by providing them with a recognised and transparent mechanism for conducting business. We urge all dealers to obtain the required authorisation at the earliest to avoid regulatory action,” he said.
