Automobile dealers’ body FADA on Tuesday said it has filed an application with the Supreme Court seeking extension of sale and registration of BS-IV vehicles till May 31, 2020 — an extension of two months from March-end deadline to clear the stock of such models.
The Federation of Automobile Dealers Associations (FADA) on behalf of its members has once again approached the Supreme Court, and has filed an interlocutory application along with an application seeking modification in writ petition dated October 24, 2018.
In the petition, in the matter of M C Mehta versus Union of India and others, the apex court had directed that no motor vehicle conforming to emission standard BS-IV shall be sold or registered in the entire country with effect from April 1, 2020.
“We have submitted an application with the Supreme Court for extension of registration process of BS-IV vehicles till May 31, 2020. We are now seeking an urgent hearing on the matter,” FADA President Ashish Harsharaj Kale said.
The two-wheeler BS-IV inventory at dealerships across the country stood at around 8.35 lakh units valued at around Rs 4,600 crore, he added. “The situation in the passenger vehicle and commercial vehicle segments is much better as compared to two-wheelers,” Kale said.
FADA had filed an application earlier as well which was rejected by the apex court on February 14 this year.
“Post our initial application, necessitated due to huge unsold BS-IV inventory and slowing sales, getting rejected by the apex court on February 14, 2020, there has been a drastic change in circumstances in conducting business as usual,” Kale said.
The spread of coronavirus has led to a drastic drop in sales and customer walk-ins have reduced to a trickle, he added.