ND
Singapore's Land Transport Authority (LTA) and the Singapore Police Force (SPF) impounded 91 deregistered vehicles in an islandwide enforcement blitz in September, the agencies announced on Monday, 5 October.
The announcement drew wide attention. "Vehicle impoundment" was among the most-searched terms in Singapore on Tuesday, with more than 5,000 searches, according to Google Trends data viewed by NDNews.
The crackdown comes as Parliament prepares to debate a Bill that would tighten the rules on what happens to vehicles after they are taken off the road.
What happened
The joint operation took place across Singapore during September 2026. Both cars and motorcycles were seized, according to LTA and SPF. The agencies did not publish a breakdown by vehicle type.
"The use of deregistered vehicles poses a serious road safety risk as they are neither roadworthy nor have valid insurance," the agencies said.
What is a deregistered vehicle?
In Singapore, every vehicle on the road needs a valid Certificate of Entitlement (COE), road tax and insurance. When a COE expires or an owner chooses to take a vehicle off the road, the vehicle must be deregistered and then disposed of, usually by scrapping it or exporting it.
A deregistered vehicle that is kept and driven has no valid COE, no road tax and no insurance. If it is involved in an accident, victims may have no insurance cover to claim against. Such vehicles have also been linked to other offences.
A sharp rise in cases
Detected cases of deregistered vehicles being used illegally have climbed quickly:
| Year | Detected cases |
|---|---|
| 2022 | 40 |
| 2023 | 39 |
| 2024 | 75 |
| 2025 | 245 |
| Jan–May 2026 | 122 |
Sources: Ministry of Transport, The Straits Times via Yahoo News.
Transport Minister Jeffrey Siow, then Acting Minister for Transport, said in a written parliamentary reply in February that more than 80 cases of crime and traffic violations in 2025 involved such vehicles, according to the Ministry of Transport.
In a written reply in April, he said there had been "about 2,500 violations annually over the last three years," and that "for most of them, prosecutions have been commenced or concluded," according to the ministry.
These figures measure different things: detections of illegal use, crimes linked to such vehicles, and broader violations involving deregistered vehicles.
Penalties now
Tougher penalties took effect on 27 February 2026. A first-time offender who keeps or uses a deregistered vehicle illegally faces:
- a fine of up to S$20,000, or
- jail of up to two years, or
- both.
Repeat offenders face double the penalties. Owners convicted of failing to submit proof that their deregistered vehicle has been disposed of are liable to a further daily fine of up to S$500 until proof is submitted, according to LTA.
Since September, enforcement has also included wheel-clamping and seizure of vehicles, and more joint roadblocks and patrols at known hotspots.
The new Bill: what would change
The Land Transport and Related Matters (No. 2) Bill was read for the first time in Parliament on 8 September 2026. Key proposals on deregistered vehicles, according to a Ministry of Transport factsheet:
- Authorised Exporter Scheme. Deregistered vehicles meant for export would have to go through exporters approved by LTA, with secure premises. A transition period of at least one year is planned.
- Shorter deadline. The time allowed to dispose of a vehicle after deregistration would be cut from one month to 14 days.
- Continuing liability. Owners would remain liable, including for daily fines, until they submit proof of disposal.
- Restrictions on high-risk individuals. The government could block the registration or transfer of vehicles to individuals at high risk of non-compliance, such as those with previous offences or people under 18.
- A new offence for sellers. Selling or supplying a deregistered vehicle while knowing, or being reckless as to whether, it will be used illegally would carry a fine of up to S$20,000, jail of up to two years, or both, with penalties doubled for repeat offenders, according to the joint MOT, LTA and SPF release.
The same Bill also covers other transport changes, including extending the autonomous vehicle road sandbox to 31 December 2028, plans to raise the cross-border taxi quota from 300 to 500 taxis from each country, and higher maximum penalties for illegally importing non-compliant personal mobility devices and power-assisted bicycles.
What it means for owners and buyers
If you own a vehicle that is being deregistered:
- Complete all deregistration and disposal paperwork, and keep the documents.
- If you sell a vehicle, confirm that the ownership transfer has gone through on OneMotoring.
- Remember that LTA can investigate the last registered owner if a vehicle is later misused.
If you are buying a vehicle:
- Be wary of cars or motorcycles offered very cheaply without a valid COE or road tax. They may be deregistered.
- Check a vehicle's status before paying.
- Under the proposed law, sellers who supply such vehicles for illegal use could face prosecution.
Members of the public can report suspected misuse of deregistered vehicles through OneMotoring or the OneService app, LTA said. Coverage by Mothership and AsiaOne carried photos of the seized vehicles.
What happens next
The Bill's second reading, when it is debated in Parliament, is expected in October, according to the ministry. Once passed, the Authorised Exporter Scheme would start after a transition period of at least a year. LTA and SPF said enforcement operations will continue.
Key numbers
- 91: deregistered vehicles impounded in September 2026
- 245: cases of illegal use detected in 2025, up from 75 in 2024
- S$20,000: maximum fine for a first offence, plus up to two years' jail
- 14 days: proposed new deadline to dispose of a deregistered vehicle, down from one month
This article was researched with AI assistance and reviewed by the NDNews editorial team. It is based on official releases and media reports as of 6 October 2026. Proposed rules may change during the parliamentary process.