CAG Report Uncovers Major Flaws in Assam Transport Department Operations

A CAG report has found deficiencies in the functioning of the state’s Transport Department and suggested several remedial measures.
CAG Report Uncovers Major Flaws in Assam Transport Department Operations
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Staff Reporter

Guwahati: A Comptroller and Auditor General (CAG) report has found deficiencies in the functioning of the state’s Transport Department and suggested several remedial measures.

The report, pertaining to the period between 2019 and 2024, was tabled in the Assembly today. In the report, it is mentioned that the CAG found many lacunae during inspections carried out.

The report stated that the CAG examined the operational efficacy of the District Transport Offices (DTOs) in Assam, as governed by the Motor Vehicles Act, 1988, and its subsidiary regulations. The Transport Department is the fourth-largest revenue-generating department for the state, accruing income through vehicle taxation, licensing fees, permit charges, and penalties. The audit identified systemic inefficiencies, regulatory non-compliance, and revenue leakage across critical operational domains.

Against a significant proportion (7.85 per cent) of issued Learner’s Licenses and Driving Licenses, no dates of driving tests were recorded, raising concerns regarding licensing practices without due evaluation. Analysis of driving test slots revealed improbably high daily testing numbers in 24 of 40 cases during 2019-24, indicating potential procedural lapses or compromised assessment rigour.

The report pointed out the absence of Accredited Driving Training Centres (ADTCs) in Assam, which resulted in DTOs conducting driving tests at available locations without standardized facilities. This led to incomplete evaluations due to inadequate permanent tracks and the absence of essential infrastructure across seven test-checked districts.

The report also stated that non-compliance in weighbridge licensing and inspection under the Central Motor Vehicles (CMV) Act and Assam Motor Vehicles (AMV) Rules, 2003, resulted in a revenue loss of Rs 22.38 crore.

The audit observed systemic inefficiencies in vehicle registration at the dealer’s point, leading to delays in registration ranging from one to 1,417 days beyond the stipulated timeframe in eight selected districts during April 2019 to June 2023. Additionally, addresses in respect of 35 per cent of registered vehicles were not duly linked to address proof documents. Delays in converting temporary registrations to permanent registrations affected 1,23,102 vehicles (2019-24), with processing delays ranging from 50 to 560 days. Absence of penalty provisions under AMV Rules for delay in obtaining a permanent registration number necessitates regulatory reforms to strengthen enforcement mechanisms.

Of the sampled 72 migrated vehicles, 55 remained registered in two states, causing taxation and enforcement discrepancies. Non-imposition of penalties on 4,200 delayed reassignment cases resulted in a revenue loss of Rs 6.42 crore, calling for stricter oversight.

In the course of a test check of records of the VAHAN database for the seven states of the Northeast (NE) Region with that of Assam, it was observed that a total of 15,849 vehicles having the same chassis number and engine number were registered in multiple states. Out of these 15,849 vehicles, 12,112 vehicles (76 per cent) were allowed subsequent registration in Assam without NOC, which was irregular.

Significant deficiencies were observed in the issuance of transport vehicle permits across eight test-checked DTOs, with only 26,105 permits (21.87 per cent) issued against 1,19,369 registered vehicles (2019-24). The lack of stringent permit enforcement led to revenue losses, regulatory gaps, and proliferation of unregulated commercial transport operations.

School buses across eight districts (2019-24) were issued contract carriage permits instead of Educational Institution Bus (EIB) permits, which resulted in the bypassing of mandatory fitness tests, thereby defeating the purpose of EIB permits, which are specifically designed to ensure enhanced safety standards for school transportation. The absence of recorded reasons for this deviation raises concerns about regulatory lapses and possible procedural irregularities by the DTOS.

Citing a good example for the implementation of the guidelines of the Supreme Court of India and the directives of the National Commission for Protection of Child Rights for Safety in School Transportation, DTO, Kamrup, conducted meetings with Kendriya Vidyalaya Sangathan and educational institutions of Kamrup district. The DTO, Kamrup, impounded several school buses for non-compliance with the Supreme Court’s directions. A safety audit of 403 school buses of 20 schools, covering permit condition, emergency door, fire extinguisher, camera, and other safety parameters, was also carried out during 2022-23, the report said.

The report further stated that Outstanding One-Time Tax (OTT) in the selected eight districts amounted to Rs 23.80 crore from 1,396 vehicles (2015-22) as of March 2024. The absence of documented demand notices for outstanding OTT highlights enforcement deficiencies, leading to potential revenue losses.

It was observed that out of 1.29 lakh commercial vehicles, 29,560 did not remit Motor Vehicles (MV) tax, leading to a tax deficit of Rs 261.28 crore and a fine accrual of Rs 224.53 crore as of March 2024. Due to non-collection of fines for delay in payment of MV Tax in respect of 1.51 lakh vehicles in eight selected districts, there was a loss of revenue amounting to Rs 3.79 crore to the Exchequer.

Also, 64 per cent of recorded offence penalties (2,71,388 cases) remained uncollected (2019-24) in seven DTOs, impairing enforcement efforts.

Deficiencies in pollution control enforcement were also noted. Directives issued by the Pollution Control Board of Assam regarding emission standards and vehicle phase-out were inadequately implemented, raising concerns about regulatory effectiveness in air quality management.

The exponential increase in Assam’s vehicular population has outpaced the Transport Department’s workforce capacity, with vacancy ranging from 30 per cent to 57 per cent, adversely impacting enforcement capabilities. Manpower augmentation is imperative to ensure regulatory efficiency and road safety compliance.

The CAG report made several recommendations: The proper infrastructure may be made/created for driving tests for granting driving licences as well as for fitness tests for issuance of Fitness Certificates for vehicles in all districts; the department may invoke the enabling provisions in the Acts and Rules to bring the weighbridges in the ambit of licensing; Proper monitoring may be done while granting/renewing licences to the Driving Schools and the Pollution Testing Centres and also periodical inspections may be carried out by the competent authority.

The other recommendations include stricter control on the permit, fitness and safety measures for the buses of educational institutions, and that the system be modified so that Outstanding Tax, Fine, Fitness Test, Pollution Control Test, Insurance, Permits, etc. may be linked to each other for better compliance.

Also Read: ECI Approves 16,500 More EVMs for Assam's Upcoming Assembly Polls

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