Residents and small businesses in the capital may soon face higher financial penalties for civil violations, even as several minor offenses are proposed to be decriminalized under the Jan Vishwas (Sentencing Amendment) Bill, 2026, introduced in Parliament on Friday.
The amendments cover the Delhi Municipal Corporation (DMC) Act, 1957, and the New Delhi Municipal Corporation (NDMC) Act, 1994. They replace fines of less than $25 with higher penalties, with the abolition of imprisonment for minor violations.
“The aim is to rationalize outdated provisions and enhance ease of living and doing business by shifting to a sanctions-based regime,” an MCD official said.
Under the DMC Act, it is proposed to replace nominal fines with structured penalties. Failure to remove the filth, currently attracts a fine of $50, a warning will be called for the first violation and $500 after that. Public urination or nuisance, he was previously fined up to $50, may attract now $500. Penalties for other violations will also rise sharply.
For example, the fine for allowing a dog to roam without a leash will increase $50 l $1000, while the distortion of the house number will also rise to $1000 of $50.
Fines for failing to vacate a dangerous building and occupying a building without a completion certificate will increase from $200 l $1000. Erecting structures that obstruct open streets or roads without a permit will result in penalties ranging from $100 l $5000.
to livelihood violations
Operating food vendors or stalls, such as tea shops, without a license could result in a £1,000 fine. $1000 under review, above $100. Fishing or working as a butcher, fishmonger, or poultry seller without a license will increase the number of people $100 l $200.
Penalties for restraining animals or milking livestock on public streets will increase tenfold $100 l $1000, while fines for keeping animals in violation of the rules will double $200.
“In many cases, it is proposed to replace daily fines with one-time penalties. For example, the use of unlicensed slaughterhouses or markets, early to attract $500 plus daily fines, you will now be charged a flat $“500 penalties,” the official said.
The draft law also abolishes prison sentences for minor crimes. It is proposed to delete a clause allowing imprisonment of up to one month for municipal sanitation workers who leave the service without warning. Likewise, violating a municipal bylaw, which was previously punishable by imprisonment of up to three months with fines, will now attract a penalty of up to $500. It is proposed to completely decriminalize some minor offences, by eliminating fines altogether. These actions include throwing garbage in the streets, washing clothes in unauthorized places, not reporting vacant properties, and damaging street lighting.
It is also proposed to delete several provisions relating to market regulation and information compliance.
The parallel changes in the NDMC Act follow a similar approach. An official note indicates that 145 provisions have been decriminalized, including 68 provisions where fines or imprisonment were converted into penalties and 26 provisions where penal provisions were completely abolished. Under NDMC rules, selling without a license or selling in municipal markets without a permit will result in a warning on the first violation and a penalty $200 after that. Operating restaurants without a license will result in a fine $1000, and the misuse of domestic water supplies for commercial purposes will increase from $100 l $1000 after the first warning.
It is also proposed to remove prison sentences under NDMC. The NDMC amendments also introduce structural reforms to property taxes by enabling the Unit Area Method (UAM) to replace the annual rental value system.
“This aims to reduce the top tax rate from 30% to 20%, providing relief to property owners,” an NDMC official said.
Officials noted that by increasing penalties and removing criminal liability, the framework seeks to balance implementation.
