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Unlicensed car dealer fined for odometer tampering

15 April 2011

Fair Trading Minister Anthony Roberts today said an unlicensed motor dealer from Botany had been slugged with more than $37,000 in fines and penalties arising from odometer tampering and the illegal sale of 20 vehicles.

Mr Roberts said the penalties imposed on Michael Monajed, trading as Moseley Auto Repairs and Tyre Service at Tenterden Rd, Botany, included $25,926 in forfeiture of net proceeds arising from his unlicensed dealing.

“NSW Fair Trading investigated Michael Monajed after a consumer complaint was received and found that between July 2007 and August 2009, he sold 20 vehicles, without being licensed,” he said.

“A number of these vehicles were offered for sale on popular auction and vehicle sales websites.

“Mr Monajed also interfered with the odometers of two cars, deceiving buyers into believing the cars had travelled a lot less than they actually had.

“Odometer readings can play a big part in a consumer’s decision about a second hand car and they need to be confident the reading is accurate.”

Mr Roberts said the penalty was appropriate.

“Dishonest people should not profit from illegal activity,” he said. “Accordingly the court ordered Mr Monajed forfeit profits of these sales.

“Regulation of motor vehicle sales under the Motor Dealers Act 1974 protects consumers from traders like this.”

Mr Roberts said consumers should remember the risks in buying cars privately.

“Consumers who purchase vehicles privately are not covered by the protections afforded when they buy from licensed dealers,” he said.

“People can find themselves deeply out of pocket when the vehicles they buy turn out to be lemons.”

“Unlicensed motor vehicle dealers are committing an offence.”

Breaches of the Motor Dealers Act can attract penalties of up to $110,000 for unlicensed motor dealing and $11,000 for odometer interference.

Further information about the regulation of the motor vehicle sales industry is available from the Fair Trading website.

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