Must Implement In True Spirit Cashless Scheme For Accident Victims, SC To Centre
The apex court said that the cashless scheme should give details such as the number of beneficiaries who received cashless treatment under it.

By Sumit Saxena
Published : May 13, 2025 at 6:29 PM IST
New Delhi: The Supreme Court on Tuesday said the cashless treatment scheme for road accident victims, who would be entitled to a maximum amount of Rs 1.5 lakh per accident per person, must be implemented in true letter and spirit by the central government.
The matter came up before a bench comprising justices Abhay S Oka and Ujjal Bhuyan.
The bench directed the government to file an affidavit by the end of August 2025, setting out the implementation of the scheme. The bench said the scheme should give details such as the number of beneficiaries who received cashless treatment under the scheme. "We direct the central government to ensure that the scheme is implemented in its true letter and spirit," the bench said.
The Centre informed the top court about framing the scheme, which came into effect on May 5.
According to a gazette notification issued by the Ministry of Road Transport and Highways, "any person being a victim of a road accident arising out of the use of a motor vehicle, occurring on any road, shall be entitled to cashless treatment in accordance with the provisions of this scheme".
On April 28, the apex court had criticized the Centre over the delay in formulating a cashless scheme for treating motor accident victims and observed despite its January 8 order, the Centre neither complied with the direction nor did it ask for an extension of time.
The apex court noted that Section 164A of Motor Vehicles Act was brought into force on April 1, 2022 for a period of three years. The apex court said that the Centre did not implement it by framing the scheme for the interim relief to claimants.

