New Delhi: With the start of the new financial year, traffic authorities have issued a firm warning to motorists: failing to clear pending fines could result in severe consequences, including suspension or confiscation of driving licenses.
Under the newly enforced regulations, vehicle owners who do not settle e-challan fines within three months risk having their driving licenses suspended for a minimum of three months.
Additionally, individuals accumulating more than three serious e-challans for violations such as red-light jumping or reckless driving within a financial year could see their licenses confiscated for at least three months.
In a bid to enhance compliance, authorities plan to link higher insurance premiums to unpaid challans. Vehicle owners with at least two unpaid fines from the previous financial year may face increased costs when renewing their insurance policies.

These stringent measures align with a Supreme Court mandate ensuring adherence to the Central Motor Vehicles Act under Section 136A, which mandates electronic monitoring for traffic law enforcement.
Compliance data, however, indicates troubling trends: Delhi reports the lowest e-challan fine recovery rate at just 14 percent, while Odisha follows with a slightly better rate of 29 percent.
To expedite enforcement, authorities will issue e-challan notices within three days, granting recipients a 30-day period to either pay or challenge the fines. Failure to pay within three months may lead to the suspension of driving licenses until the dues are fully cleared.
By enforcing these regulations, the government aims to instill a culture of responsible driving and heightened accountability on the roads.