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29 March 2024

New mechanism for impounded vehicles

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By Staff

Dubai Courts in cooperation with Dubai Police has launched a new mechanism for disposing off impounded vehicles to reduce them from piling up.

The new mechanism will also help maintain value of the vehicle, reported Al Bayan newspaper.

The new system will expedite selling the vehicle at auction in case of non-payment of dues by the owners.

Ibrahim Al Hawsani, Director of Implementation Department at Dubai Courts, said the impounded vehicle files during the first half of this year reached 2,823 but the numbers are likely to increase to more than 5,680 by the end of this year as compared to 4,493 in 2014.

Al Hawsani pointed out that the impounded vehicles which are pawned to the banks will be in accordance with the new mechanism.

He said if the bank wants to sell the pawned vehicle it will have to file a request to sell it.

The request will include an undertaking to receive the vehicle within 15 days from the date it is seized by the police and also notify the owner or the bank about the impounded vehicle.

He said the bank has to complete all documents required at Dubai Courts and also the sale of the vehicle within 15 days from the date of receipt.

It also has to hand over the vehicle to Emirates Auction 10 days before the sale date.

Under the new mechanism, the judge will have the authority to cancel the delivery of vehicle to the owner in the absence of the receiving bank.

But if the bank fails to respond in time, the lender will have to open a new file again in the court for the impounded car.

Al Hawsani explained that in relation to the reserved vehicles, Dubai Police will conduct inventory of the seized vehicles at the request of the bank and then the bank will be notified about the vehicle within 15 days.

In case of non-receipt from the banks, the impounded vehicles will be referred to the judge in order to deliver it to the owners.

He told the newspaper that the Dubai Police will make an inventory and provide the court with the list of the number plates for an appropriate action.

He said this decision does not apply on personal vehicles.

Colonel Mohammad Ahli, Director of Criminal Tracking Department at Dubai Police and member of the Committee of Vehicle Sale in Dubai Police, said adoption of the new mechanism composed by Dubai Police and Dubai Courts will contribute to reduce the number of impounded and neglected vehicles.

He added that the mechanism will also keep the market value of the seized vehicles.

He added that the previous mechanism contributed to the accumulation of vehicles while the new system will compel the owners of the seized cars to pursue legal action and sell off the vehicle within a specific period.