Bhubaneswar, March 15: The Odisha government has introduced a One-Time Settlement (OTS) scheme in 2026, offering vehicle owners the chance to settle long-pending e-challans issued for Motor Vehicles Act violations.
Under this scheme, motorists can pay significantly reduced penalties, with some fines slashed by up to 50% or even reduced to ₹1,000 for serious offences. The scheme applies to pending tickets, typically those issued up until July 31, 2025.
This initiative, launched by the Odisha Commerce and Transport Department, aims to reduce backlogs and promote adherence to traffic laws. It also offers an opportunity to resolve cases through National Lok Adalat or online portals, avoiding lengthy court proceedings.
As per the March 12 gazette notification, fines for a range of offences under the Motor Vehicles Act, 1988, can now be settled at 50% of the usual penalty. Offences such as travelling without a ticket, ignoring authority instructions, or overspeeding are eligible for settlement, with fines capped at ₹1,000 for Light Motor Vehicles (LMVs) and ₹2,000 for Heavy Motor Vehicles (HMVs). Additionally, penalties for violations like not wearing a seatbelt or helmet have been reduced to ₹500.
The processing of these e-challans will take place during the National Lok Adalats, held on the second Saturdays of March, May, September, and December. Once the violators agree to the settlement, the government will withdraw any prosecution reports, providing a clean slate for those involved.
