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Toronto, August 2, 2007
- Canada
Flyers Inc. was found guilty on
July 23, 2007 of three counts of
curbsiding (illegal vehicle
sales) and fined $30,000. Owner
Mohammad Mohammadi was also
found guilty on three counts of
curbsiding and faces a 30-day
jail term.
In Ontario, all motor vehicle
dealers and salespeople must be
registered under the Motor
Vehicle Dealers Act (MVDA)
before engaging in the business
of buying, selling or leasing
vehicles. In the industry,
unregistered individuals selling
vehicles are known as "curbsiders"
and are subject to prosecution.
Mohammadi and Canada Flyers Inc.
were found guilty of curbsiding
on previous occasions and fined
more than $10,000, but these
fines remained unpaid at the
time of sentencing.
Curbsiders put unsuspecting
consumers at risk by posing as
private individuals, but are
actually in the business of
selling vehicles illegally. In
many cases the vehicles are
stolen, odometer-tampered or
have liens against them.
Consumers who purchase from a
registered motor vehicle dealer
are afforded significant
protection, including access to
a compensation fund.
The Ontario Motor Vehicle
Industry Council (OMVIC), which
enforces the MVDA, maintains one
of the most aggressive
anti-curbsider campaigns in
North America. In 2006, its
investigations team laid over
2,300 charges, the majority of
which related to curbsiding.
Suspected curbsiders can be
reported to OMVIC by calling
1-888-NOCURBS, or by emailing
nocurbs@omvic.on.ca.
Consumers should keep the
following in mind when
considering a motor vehicle
purchase:
- All dealers and salespeople in
Ontario must be registered. To
verify registration, visit
www.omvic.on.ca or call
1-800-943-6002.
- OMVIC provides complaint
handling services when buying,
selling or leasing through a
registered dealer. For
information, call OMVIC at
1-800-943-6002.
- If you decide to buy privately,
ensure the seller provides a
Used Vehicle Information
Package, and consider having the
vehicle checked by an
independent mechanic you trust.
- Transactions conducted through
registered motor vehicle dealers
are protected through the Motor
Vehicle Dealers Compensation
Fund. The fund is financed by
registered dealers and is
available (under specific
criteria) to consumers who may
have suffered a financial loss
from their motor vehicle
transaction. This protection is
lost if buying privately or
through a curbsider.
About OMVIC
OMVIC administers the Motor
Vehicle Dealers Act – a public
protection statute – on behalf
of the Minister of Government
Services. OMVIC’s mandate is to
maintain a safe and informed
marketplace by ensuring
registration of dealers and
salespeople, regularly
inspecting all of Ontario’s
8,600 dealerships, maintaining a
complaint line for consumers and
conducting investigations.
OMVIC’s Board of Directors
includes nine elected dealers
and three consumer
representatives appointed by
government. OMVIC is also
responsible for administering
the Motor Vehicle Dealers
Compensation Fund on behalf of a
Board of Trustees.
For more information, please
contact:
Brenda McIntyre
Communications
Tell: 416-226-4500
Toll Free:
1-800-943-6002
Email:
Web:
www.omvic.on.ca
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