Tuesday, June 30, 2009

Vehicles purchased in public auction - Issue of R C

In Departments like police, forest the vehicles seized by them are sold in public auction.

Some people buy these vehicles . How to transfer the vehicles to the purchaser.
Three type of cases come out of this situation.We will deal one by one.

Where the R C is available.
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If the vehicle is sold with the RC then the person who purchased it shall produce form 32 with the order copy of the sale, a copy of the order giving his name as a successful bidder and other documents for transfer like residence proof, insurance etc.
Then the Registering authority has to transfer the vehicle in the name of the department which sold the vehicle and then to the name of the purchaser.

Where there is Reg. No. but not the RC
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If there is vehicle number but not the RC, we have to request the O R A of the vehicle informing him the details and if the chassis number and the engine number tallies, we have to advise the successful bidder to get the RC in the name of the department which sold the vehicle from the ORA and then transfer the same to his name.

If the vehicle is held under HP

If there is hire purchase agreement in the RC, we need not worry as when the Govt. confiscates the vehicle, the financier loses his title and he cannot claim anything.  So when  the vehicle becomes a Govt. property, then the HP agreement automatically stands cancelled.  So we have to issue the RC in the name of the Govt. without HP agreement.
Vehicle without Registration Marks.
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If there is no Reg. No or the Reg No is false then we have to register the vehicle afresh in the name of the department and then make transfer entries in the RC book.
How to calculate the Tax
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To calculate the tax we should get an invoice of the vehicle from the dealer and after ascertaining the model we have to work out the percentage (Act 30/2008)
Cost of the vehicle NEVER means the purchase value which the buyer pays to the department.
Cost of the vehicle means the total price paid at the time of purchase as ascertained from the authorised dealer or manufacturer as the case may be (Refer G O Ms 650 Home (Trpt 1) dated 31.7.2003
Also refer Rule 57 of CMVR 1989

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