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Kerala to Auction Seized Vehicles

Jul 24 2025

In a much-needed and long-overdue move, the Kerala State Government has granted permission to publicly auction 8,362 vehicles currently held by the Excise Department. These vehicles, seized in connection with liquor and drug smuggling cases, have long been lying abandoned in government yards and along roadsides, deteriorating under harsh weather and occupying valuable public space.

While this may seem like a routine administrative decision, it addresses a widespread issue that has plagued Kerala’s public spaces for years. Abandoned, rusting vehicles have become common sights near police stations and excise offices. Most of these vehicles were once used for illegal transport of alcohol or drugs and were either abandoned by smugglers during chases or seized during enforcement operations.


Why This Matters

Until now, there was no clear or efficient mechanism for dealing with such confiscated vehicles. They would sit idle for years, blocking public spaces, becoming safety hazards, and gradually turning into heaps of scrap metal.

To make matters worse, police and excise departments lack dedicated infrastructure to store these vehicles, which often get parked on roadsides or vacant lots, where they suffer further damage or are stripped for parts. In many cases, these vehicles include luxury cars and high-end SUVs, reflecting the growing sophistication of organized smuggling networks.


A Shift from MSTC to Local Auctions

Previously, such auctions were handled by the MSTC Limited (a Government of India enterprise) via its e-commerce platform for seized or confiscated properties. While MSTC has a nationwide presence, the auction process was often slow and costly for bidders. A non-refundable registration fee discouraged many local bidders and scrap dealers from participating.

Recognizing these hurdles, the Excise Commissioner of Kerala requested the state government to allow direct district-level public auctions, a request that has now been approved. This move is expected to speed up the auction process and encourage wider participation from local businesses and individuals.

MSTC Official Portal


Upcoming Auctions – Phase 1 Schedule

According to the new government order, the first phase of auctions will involve 1,400 vehicles. These will be conducted across multiple districts from August 11 to August 21, 2025. The auction terms and conditions have already been published and interested parties can refer to the excise department’s official channels for details.

The Kerala Police and Excise Departments have announced district-wise vehicle auctions to dispose of seized, abandoned, or unclaimed vehicles. These auctions will be conducted either directly by district authorities or through the MSTC e-auction platform.

Below is the full schedule:


Direct Auctions (On-Ground Physical Auctions)

Auction Type District(s) Auction Date Mode
Direct Auction Malappuram & Thiruvananthapuram 11 August 2025 Physical / Offline
Direct Auction Kollam & Kannur 12 August 2025 Physical / Offline
Direct Auction Pathanamthitta 13 August 2025 Physical / Offline
Direct Auction Idukki & Wayanad 14 August 2025 Physical / Offline
Direct Auction Kottayam & Kasargod 16 August 2025 Physical / Offline
Direct Auction Ernakulam 18 August 2025 Physical / Offline
Direct Auction Thrissur 19 August 2025 Physical / Offline
Direct Auction Palakkad 20 August 2025 Physical / Offline
Direct Auction Alappuzha & Kozhikode 21 August 2025 Physical / Offline
  • Inspection & Catalog: Usually 1–2 days prior to the auction at designated yards

  • Eligibility: Open to individuals and authorized vehicle dealers

  • Payment Mode: As per district auction rules (Demand Draft/Cash)


MSTC e‑Auction (Online Auction)

Auction Type District Auction Date Platform Website
MSTC e‑Auction Thiruvananthapuram 29 July 2025 MSTC eCommerce Click Here
  • Registration: Required on MSTC portal as a buyer

  • EMD: Earnest Money Deposit mandatory

  • Digital Bidding: Login & bid online during the specified time window

  • Auction Catalog: Includes vehicle list, reserve price, and inspection details


Key Notes for Bidders:

  • Carry valid ID proofs (for physical auctions)

  • Register in advance on MSTC for online participation

  • Read Terms & Conditions of each auction before bidding

  • Vehicles sold “as-is-where-is” without warranty

Official Excise Department of Kerala:
https://taxes.kerala.gov.in/excise

https://keralaexcise.gov.in/en/


What Can Be Expected from the Auctions?

  • Scrap dealers can bid for vehicles no longer in usable condition.

  • Budget buyers may find functional or repairable vehicles at affordable prices.

  • Government lands currently clogged with abandoned vehicles can be cleared.

  • Public nuisance caused by roadside clutter will be reduced.


What About Police-Seized Vehicles?

Interestingly, this auction only covers vehicles held by the Excise Department. But a far larger number of vehicles are lying with the Kerala Police, also seized in similar cases. Many of these are in worse condition and occupy prime roadside space, creating traffic issues and safety concerns.

The government has been urged to extend the same permission to the Police Department, enabling them to decongest roads and public areas. If done, this could potentially free up thousands of square feet of space across the state.


Why This is a Win-Win

  • Government earns revenue from the auction of long-idle assets.

  • Public spaces are cleared of clutter and potential hazards.

  • Citizens can buy vehicles (or scrap) at lower-than-market prices.

  • Departments can redirect resources toward active cases rather than maintaining seized property.


Stay Informed

Keep an eye on the Excise Department website and local newspapers for:

  • Auction catalogues

  • Bidding instructions

  • Reserve prices

  • Locations of vehicles

For updates, visit:
https://kerala.gov.in (Kerala State Portal)
https://taxes.kerala.gov.in/excise (Kerala Excise)


Final Thoughts

Kerala’s decision to auction seized vehicles is a smart administrative move that balances enforcement, public interest, and resource utilization. While it may have come late, it sets the stage for similar reforms in police and other departments. It’s also a timely reminder that even rusting relics can turn into revenue if managed well.