Auto drivers get nudged under wheeler-dealers’ machinations

Hyderabad: Following the recent approval from the state government for new auto rickshaws in the city, local auto rickshaw drivers have raised serious allegations regarding a major scam involving auto dealers.

They claimed that the showrooms, in collusion with auto financiers, auto brokers are selling vehicles at inflated prices. Also, the drivers alleged that those who applied individually were denied vehicles, while those who applied through dealers got vehicles in their names.

Hundreds of auto rickshaw drivers in the city have been making a serious allegation of corruption and black-marketing in the implementation of the Telangana government’s auto-rickshaw distribution scheme, with drivers accusing the automobile dealers for charging exorbitant prices.

The Telangana government, in its order sanctioned 65,000 new auto-rickshaws, including 20,000 electric, 10,000 CNG, 10,000 LPG, and 25,000 retrofitted autos under ORR limit. The initiative required applicants to apply online with selected beneficiaries directed to purchase autos from authorized automobile dealers at fixed prices.

The City Auto & Motor Cab Drivers Welfare Society President Mahmood Hussain Makke said that the auto showrooms, auto financiers, auto brokers are involved in Rs 10 crore scam under the name of issuing autos in the government scheme. “The auto scheme made for the public was misused by auto financiers, showroom dealers and brokers who illegally encashed the scheme by looting the drivers.” The union pointed out that the drivers, especially those who applied individually, did not get autos but all those who applied through dealer, and auto brokers got vehicles in their name.

“Nearly 4,000 autos have been sold illegally with excessive charges. Also, the people from outer ORR limits from districts – Nalgonda, Bhongir, Mahbubnagar, Vikarabad and other districts also applied through brokers and got benefited but drivers under ORR limits did not get autos,” said Mahmood.

A victim, Mohammed Gaus who got CNG auto at a price of Rs 2,82,000 said that he had an invoice price of Rs 2,47,546, insurance of Rs 8,200 and Rs 3,800 TR fees with a total Rs 2,59,546. “I had been overcharged by more than Rs 22,000,” said the victim.

Multiple complaints have emerged against the dealers for charging Rs 22,000 to 50,000 more than the fixed rates of Rs 2,59,000 for CNG and Rs 2,47,000 for LPG autos.

The LPG auto price is Rs 2,47,000 including invoice amount of Rs 2,30,000 to Rs 2,35,000, insurance amount of Rs 8,200 and Rs 3,800 TR fees but the same is sold between Rs 2.70 lakh and Rs 3.20 lakh and Rs 2.59 lakh priced CNG auto is being sold for Rs 2.86 lakh and Rs 3 lakh without specifying any quotation and when asked, the dealers are rejecting the application, say drivers.

Moreover, these agents also charge from Rs 2,000 to Rs 10,000 for booking slots for obtaining auto, which is another way of scamming auto drivers.

Mahmood Makke said that the union also gave representation to the Chief Minister, transport minister, transport commissioner and others and urged them to take immediate action against the showrooms.