Unlicensed Sydney motor dealer fined
5 June 2011
Fair Trading Minister Anthony Roberts today said a Lansvale businessman had been ordered to pay $25,679 by Parramatta Local Court for unlicensed motor dealing.
Mr Roberts said Karunanayaka Perera, owner of Infinity Auto Imports, was last month convicted of unlicensed motor dealing involving 28 vehicles.
Over 17 months, between January 2008 and May 2009, Mr Perera acquired 25 motor vehicles, 21 of them from motor dealer auction houses as repairable write-offs.
During the same period, he sold 28 vehicles to members of the public without being appropriately licensed to do so.
Mr Perera holds a Motor Vehicle Wholesalers licence that only entitles him to sell motor vehicles to financiers or licensed motor dealers.
Mr Perera was fined $1,500 and ordered to pay $23,750 to the Motor Dealers Compensation Fund. Costs equalled $429.
The Minister said Mr Perera should have known the law and operated within it.
“Traders must be appropriately licensed and Fair Trading regularly inspects the market to ensure compliance,” he said.
“Buying a car is a significant investment for consumers and they have a right to honest dealing.
“Motor dealers are expected to adhere to strict obligations to sell vehicles in a reasonable and safe condition, with associated warranties and consumer protections in place.
“Unlicensed motor dealing is bad news for licensed dealers, for the public and for government.”
The Motor Dealers Act 1974 requires a motor dealer’s licence to be held by any person selling or offering for sale to any other person, more than four motor vehicles within a 12 month period.
Breaches for unlicensed motor dealing can attract fines of up to $11,000 in the Local Court and $110,000 in the Supreme Court.
A motor dealers licence check can be done online or call Fair Trading on 13 32 20. For more information on buying a car including a copy of the publication The car buyers handbook visit the NSW Fair Trading website..
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