BHUBANESWAR: The Commerce and Transport department has announced a one-time settlement (OTS) scheme for pending e-challans across the state to reduce such backlogs and encourage voluntary compliance to Motor Vehicle laws.
Department officials said the special OTS scheme has been announced ahead of the National Lok Adalat 2026 calendar set by the National Legal Services Authority (NALSA) to allow motorists to settle their outstanding dues at reduced rates, while avoiding court proceedings and additional fine and penalties.
As per the gazette notification issued on March 12, the government has offered settlement of pending challans at a reduced rate for a wide number of offences under the Motor Vehicles Act, 1988. The notification states that general offences under section 177, offence of travelling without ticket under section 178 and disobedience of order of authorities and refusing to supply information willfully under section 179 (1) and (2) can be settled at 50 per cent of the prescribed penalty.
The penalty for driving LMV with excess speed has been restricted to Rs 1,000, while fine for oversized vehicles have been capped at Rs 5,000. Challan for driving HMV and LMV with excess speed and driving without registration can be settled for a fine of Rs 2,000 each, while driving vehicle without valid licence and allowing others to drive without valid licence can be compounded for Rs 2,500 each.
Fine for driving without seatbelt, helmet or pillion riding more than one on a two-wheeler has been capped at Rs 500 each. Not providing way to emergency vehicles or using vehicle without permit will be charged Rs 5,000 while overloading vehicles will attract a penalty of Rs 10,000 plus Rs 1,000 per each tonne of excess load.
As per the notification, the traffic challan matters will be taken up in National Lok Adalat, subject to violater’s consent and will be disposed of upon payment of the reduced compoundable amount against the specified offences. The government will also not submit any prosecution report and will withdraw those already submitted to the court.
The National Lok Adalats this year will be held on second Saturdays of March, May, September and December.