Automobile dealers body approaches SC seeking extension of BS-IV vehicle sale deadline

The Federation of Automobile Dealers Associations (FADA) on Tuesday said that it has approached the Supreme Court seeking an extension for the sale of BS-IV engine vehicles in the country as the March 31 deadline approaches.

FADA, in an application, said that there are huge unsold BS-IV vehicle inventory due to the impact on sales amid the ongoing coronavirus pandemic.

"The Federation of Automobile Dealers Associations (FADA) on behalf of its members has once again approached Hon'ble Supreme Court and has filed an interlocutory application along with an application seeking modification in the order directing the deadline," an official statement said on Tuesday.

In the statement, FADA President Ashish Harsharaj Kale said that post the 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.

"Following the coronavirus spread, in the past weeks, there has been a drastic drop in sales and customer walk-ins have reduced to a trickle as caution sets in due to fear of spreading of the Virus. Counter sales have fallen by 60-70 per cent across auto dealerships in these past few days," the statement said.

FADA said that the situation has worsened in the past three-four days with partial lockdown situations in many towns and cities and added that few district magistrates have started issuing notices for the closure of shops and establishments including auto dealerships.

This comes after as many as 126 confirmed cases of coronavirus have been reported in the country, according to the Ministry of Health and Family Welfare.