The Supreme Court Tuesday gave its nod for the government's decision to make it mandatory for over 80 million cars in the country to have high-security tamperproof number plates from Jan 1, 2005.
Implementing the move is estimated to cost Rs.45 billion ($1.01 billion).
A three-member bench comprising judges Y.K. Sabharwal, D.M. Dharmadhikari and Tarun Chatterjee dismissed petitions filed by the Association of Registration Plate Manufacturers of India (ARPMI), challenging the tender conditions for making the tamperproof number plates.
After the new scheme comes into force, it will be obligatory for vehicles to switch over to the new number plate system within two years.
The bench upheld the government's contention that only those manufacturers who fulfilled the stringent conditions would be allowed to make the number plates.
The manufacturers had alleged the conditions were imposed to grant monopoly in the manufacture to foreign companies, which was detrimental to the interests of domestic firms.
The high-security number plates were to be implemented from Oct 1, 2001 but various litigations before high courts and later in the Supreme Court resulted in the postponement of the deadline.
The bench dismissed the ARPMI's objections, saying these were being imposed as a certain kind of expertise was needed to make the tamperproof registration plates.
The previous National Democratic Alliance government had framed the policy in keeping with practices worldwide to prevent the theft of vehicles, the use of vehicles by terrorists and other illegal activities.
The movement of vehicles having tamperproof number plates could be constantly monitored through electronic gadgets by the licence issuing authority.
--Indo-Asian News Service