Supreme Court allows dealers to sell 10% unsold BS-IV Car Stock
BS-IV vehicles sold before lockdown have to be registered within10 days after lockdown is over.
Automotive dealers can sell 10% of their unsold BS-IV inventory within 10 days after lockdown.
In Delhi-NCR region no BS-IV vehicles can be sold from 1st of April 2020.
Supreme Court Decision
As we had reported earlier that FADA had approached the Honorable Supreme Court seeking some kind of relief in the sale of and registration of unsold BS-IV vehicles which were hit due to the pandemic of COVID-19. The Honorable Supreme Court has taken note of the plea and they have now permitted automotive dealerships to sell 10 percent of their unsold BS-IV vehicles in their inventory.
This will only be applicable for 10 days post the 21 day lockdown which will end on the 14 of April 2020. In addition to this, the BS-IV vehicles which were sold before the lockdown have to be registered within these 10 days.
The bench of Justices that included Arun Mishra and Deepak Gupta heard this matter through a video conference. They have made an exception that none of the BS-IV compliant vehicles will be permitted to be sold from the 1st of April 2020 in Delhi-NCR region.
Problems faced by dealers and OEM’s
Unsold BS-IV vehicles have been a major problem for both the automotive dealerships and the OEM’s in the nation. As per a survey, we get to know that stock worth Rs 6,000 crore has been lying unsold in the country and with the nation wide lockdown due to COVID-19 pandemic also known as Coronavirus has further hampered the sales of these unsold stock.
With this permission coming into place from the Honorable Supreme Court it surely gives some kind of breather to the automotive dealerships as well as the OEM’s.
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