KARACHI, Dec 21: The Excise and Taxation Department, Sindh has showed its inability to implement the request of the Engineering Development Board to prohibit the transfer of newly booked vehicle for six months from the date of delivery to curtail the malpractice of premium.

Secretary Excise and Taxation, Aftab Ahmed Memon said that the EDB’s request was examined and it was found that it cannot be implemented as the same was in consistent with the statutory provisions of Motor Vehicle Ordinance 1965 and Motor Vehicle Rules which governs the registration of motor vehicles, says a press release.

Aftab responded on the complaint made by Chairman All Karachi Motor Dealers Association (APMDA), H. M. Shahzad that two officials of Motor Registration Department had threatened the dealers of stamping six months restriction of sale as was proposed earlier if Rs5,000 for big cars and Rs2,000 for small cars was not paid to them. This threat was materialised just two days before Eid holidays and 86 cars were registered on December 2 and 166 cars on December 3.

The secretary said it is also apprehended that such restriction on transfer of ownership of vehicles as proposed by EDB can open up another flood gate of complaints as some unscrupulous elements may harass motorists under the garb of such advice.

In this contest, he referred to the complaint of APMDA regarding extortion in MR Wing in the process of registration of motor vehicles and ordered an enquiry in the matter. The secretary had also sought report within seven days from the officials.

He said the law provides certain specific grounds on which request for registration or transfer of vehicles can be refused and such order of refusal has to be passed by the Motor Registration Authority and handed over to the applicant. The existing ground of refusal in the law does not contain such conditions as laid down by the EDB, he said adding that the implementation of such advice may also cause heavy loss of revenue to the provincial exchequer.