This State Is Offering 80% Discount On Traffic Fines: Pay Just 1K Instead Of 5K

Written By: Shatrughan Jha
Published: September 20, 2025 at 09:05 AMUpdated: September 20, 2025 at 09:05 AM
odisha 80 percent discount on traffic fines featured

Odisha has introduced a one-time settlement scheme that allows vehicle owners to clear pending traffic fines at sharply reduced rates. Discounts reach up to 80 percent, meaning drivers can now settle penalties for serious violations at ₹1,000 instead of the usual ₹5,000.

How The Scheme Works

karnataka traffic police

The programme applies to all e-challans issued up to July 31, 2025. It runs for six months from the date of notification. Motorists can use it to clear cases involving offences such as overspeeding, red light jumping, using a mobile phone while driving, and dangerous driving.

Cases already taken to court are excluded. The state has made it clear this is a one-time opportunity. Once the scheme ends, violators will need to pay the full penalty as prescribed under the Motor Vehicles Act. Vehicles with unpaid challans after this period may also face transaction restrictions.

Flat Rates For Common Offences

karnataka traffic offence fine

Under the revised structure, minor violations covered by Section 177 of the Motor Vehicles Act, usually carrying fines of up to ₹500, can now be settled at half the amount. Overspeeding has been standardised at ₹1,000 for Light Motor Vehicles and ₹2,000 for Heavy Motor Vehicles.

The steepest discounts apply to violations that earlier carried a ₹5,000 penalty. Dangerous driving, mobile use behind the wheel, and red light jumping can now be cleared for just ₹1,000 each. For drivers with multiple challans, this provides immediate financial relief, sometimes cutting dues from tens of thousands to a fraction of the original amount.

Why Odisha Is Doing This

traffic fines increased by 10x

High fines often result in motorists ignoring challans altogether, which clogs up the system and reduces actual collections. By lowering penalties, the state aims to recover more revenue while also clearing a backlog of pending challans. Officials have said that enforcement against repeat offenders will continue, and anyone caught again will face full penalties without settlement options.

The scheme also frees administrative resources. Processing thousands of old, unpaid challans takes time and manpower. Clearing them in bulk allows the Transport Department to shift focus back to active enforcement and road safety measures.

The other thing is about the state trying to mop up revenues. Such a measure of offering discount to motorists may see a large number of those penalized coming forward and paying the fines to become compliant with the law. It's a win for both the state as well traffic rule violators.

What It Means For Motorists

For drivers, this is a chance to wipe the slate clean. Those with multiple violations can settle them at far lower amounts. But the state has stressed this window will not reopen. After the six-month period ends, unpaid fines will return to full value.

The government expects this move to boost actual fine collection while also nudging drivers toward better behaviour on the road. Other states may watch closely to see if Odisha’s approach works. If successful, similar schemes could follow elsewhere.