Mobile wallet firm FreeCharge on Wednesday announced a partnership with Mumbai Traffic Police for cashless collection of fines from traffic violators.
Traffic police personnel will issue an e-challan against the offender's vehicle registration number. The challan would also be sent to person’s mobile phone. Motorists can then pay using FreeCharge by entering their challan or vehicle number on Mumbai Traffic Police's website.
Close to 500 e-challan devices have been rolled out to various traffic chowkies across the city at present.
Freecharge is also in discussion with police authorities of other cities to enable traffic challans to be paid through their app.
According to estimates, Delhi pays about Rs 140 crore in traffic challans annually followed by Mumbai at about Rs 100 crore, while Bengaluru records Rs 70 crore in traffic challans, annually.
Mobile wallet companies like Paytm, Freecharge and Mobikwik are looking to cash in on the government's demonetisation drive. Since Prime Minister Narendra Modi's announcement on November 8, e-wallet companies have been expanding their merchants and use case scenarios.
FreeCharge has also tied up with national oil companies and Indian Railway Catering and Tourism Corporation (IRCTC) to allow users to pay for fuel purchase and railway ticket bookings, using its offering.
The company which is owned by e-commerce firm Snapdeal was also the first firm to launch a wallet-on-delivery concept which allows e-commerce users to pay on delivery by using their e-wallet.