India, July 3 -- The Delhi State Transport Authority (STA) has approved a major relaxation in penalties for overloaded commercial vehicles by reducing the impounding period from 90 to seven days and introducing a Rs.15,000 compounding fee in lieu of permit suspension or vehicle impounding, officials said on Friday.

Under the Motor Vehicles Act, permit holders are responsible to ensure that vehicles do not exceed the permissible laden weight. Currently, overloading vehicles attract a fine of Rs.20,000 under Section 194 and Rs.2,000 for each extra tonne. It also includes action under Section 86, including permit suspension and vehicle impounding for up to 90 days.

In its recent meeting, the STA noted that it had been directed to dispose o...