High Security Registration Plates : Kerala High Court Hears HSRP Manufacturer's Plea Against Mandate For Vehicle Manufacturer's Approval

The petitioners allege that the advisory letter was issued by the Union Government to help a few influential HSRP manufacturers and to exclude other HSRP manufacturers who are not vendors of OEM (Vehicle Manufacturers).

Justice Dinesh Kumar Singh, who heard the matter, expressed a prima facie view that the Union advisory intended that the dealers of the HSRP manufacturers should have the State's approval and that State approval is not envisaged for the manufacturing facility.

In the order, the bench observed thus:

"Prima facie, I am of the view that the words 'approved by the State Government' in the notification dated 09.06.2023 would mean authorisation of the selected dealers by the State Government. The approval for manufacturing facility is accorded by the Central Road Research Institute (CRRI) and other agencies as mentioned in the Rule itself and there is no approval of the State Government contemplated for manufacturing facility of HSRP under the Rules."

The Court directed the Central Government to clarify its stand. The State was also directed to file an affidavit on behalf of the responsible officer regarding the policy or framework envisaged for selection/authorisation of approved vendors/manufactures of High Security Registration Plates (HSRP) for implementing Rule 50 of the Central Motor Vehicle Rules, 1989 for affixing the High Security Number Plates on vehicles manufactured prior to 01.04.2019.

The matter will be next heard on December 8.

Senior Advocate Aditya Sondhi, appearing for the HSRP manufacturers, argued that the impugned advisory letter issued by the Central Government excludes the petitioners and envisages a vendor selection process by the vehicle manufacturers which is contrary to the law. It was submitted that this vendor selection process was only to aid certain influential HSRP manufacturers contrary to the provisions of law and was ultra vires, arbitrary, untenable and violative of the fundamental rights guaranteed to the Petitioners.

The petition was filed by a registered association of High Security Registration Plates (HSRP) Manufacturers challenging the advisory letter issued by the Central Government by which the state governments were directed to take action against HSRP manufacturers for fixing high security registration number plates without authorization from State Governments or approval from the Vehicle Manufacturers (OEM). Pursuant to this, the Kerala government also issued an order stating that punitive action will be taken against HSRP manufacturers who do not comply with the directions.

As per the plea, neither the Motor Vehicles Act, 1988 nor the Central Motor Vehicle Rules, 1989, mandate a license plate manufacturer to obtain the approval of a vehicle manufacturer /OEM for issuing HSRP on vehicles as it envisages a vendor selection process by vehicle manufacturers by excluding manufacturers like the petitioners. The plea further stated that the Central Motor Vehicle Rules, even after successive amendments, permit the Registering Authority or Vehicle Manufacturers (OEM) and their dealers or the license plate manufacturers to fix HSR Plates on old vehicles without further approval from State Governments, while the said right is given to the dealers of the license plate manufacturers with approval from the State Governments.

The plea prays that all HSRP manufacturers who have Type Approval Certificates issued by competent testing agencies be permitted to supply and fix High Security Registration Plates on old vehicles registered before 1st April 2019 in Kerala.

By way of interim relief, the plea has sought to stay the operation of the advisory letter issued by the central government and the subsequent communication issued by the Kerala government in this regard.

The petitioners were represented by Senior Advocate Adithya Sondhi instructed by Advocate Renoy Vincent, Advocates S.M.Prasanth and P.A.Mohammed Shah.

The Karnataka High Court is also hearing a similar writ petition.

Case title: High Security Registration Plate (HSRP) Manufacturers Association of India v Union of India & Connected Cases

Case number: WP(C) 29866/2023 & Connected cases

Click here to read the order