Consumer Body Orders Dealer: Register Electric Bike or Refund Rs 1.59 Lakh

The District Consumer Disputes Redressal Commission in Kangra, Himachal Pradesh, has directed an electric motorcycle dealer to either complete the registration of a vehicle sold to a consumer or refund Rs 1.59 lakh with interest. The order came after the commission found that the dealer failed to provide mandatory registration documents and refused routine servicing, amounting to deficiency in service and unfair trade practice.

Presiding over the complaint filed by Kangra resident Nikhil, the commission comprising president Hemanshu Mishra and members Arti Sood and Narayan Thakur ruled against M/s Saini Auto Mart and Pratishtha Automobiles Comp Limited on June 1. The consumer had purchased a blue Kratos R electric motorcycle on May 5, 2025, for Rs 1.60 lakh. At the time of sale, the dealer allegedly assured that the registration process with the regional licensing authority (RLA) would be completed and all documents handed over.

Despite paying the full amount and taking delivery, Nikhil never received the registration certificate (RC), permanent number plates, or other statutory documents. He claimed to have driven the motorcycle for nearly 5,984 kilometres without valid registration because the process remained incomplete. Additionally, the dealer refused to perform periodic servicing.

The commission noted that collecting regulatory fees but delivering an unregistered vehicle violated Section 39 of the Motor Vehicles Act, 1988. It stated, “By failing to fulfil their explicit assurance to process the registration and subsequently withholding the RC and high-security registration plates, the opposite parties have committed a gross deficiency in service and indulged in unfair trade practices. Furthermore, the wilful refusal to perform routine maintenance servicing on a newly sold vehicle compounds this deficiency.”

The commission also observed that forcing a consumer to ply an unregistered vehicle on public roads exposes them to criminal liability, law enforcement penalties, and forfeiture of insurance coverage. It termed this a severe deficiency in service and unfair trade practice causing unwarranted legal risks and mental agony.

Despite notices being served, both opposite parties did not appear before the forum, leading to an ex parte proceeding. The consumer supported his allegations through an affidavit and documentary evidence, which the commission found credible. It awarded Rs 15,000 as compensation for mental agony and Rs 5,000 towards litigation costs, in addition to the registration or refund order.

The commission directed the dealer to complete the registration of the motorcycle within a stipulated period or refund Rs 1.59 lakh (the purchase price minus a nominal deduction) with 9% interest from the date of complaint until payment. The order aims to protect consumer rights and ensure compliance with motor vehicle laws.