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Toronto, March 26, 2009
- An Etobicoke
man has received a jail term
after being convicted of
curbsiding (illegal vehicle
sales).
Olaekan SHITTU, 48 years
old, was found guilty on March
23, 2009 in the Ontario Court of
Justice – Scarborough Provincial
Offences Court, of 26 counts of
selling cars without
registration, contrary to the
Motor Vehicle Dealers Act. He
was sentenced by His Worship
Justice of the Peace William
Turtle to seven days in jail on
each count (to be served
consecutively) and two years
probation.
The charges stemmed from an
investigation by the Ontario
Motor Vehicle Industry Council
(OMVIC) into cars being
purchased from a salvage
auction, repaired and sold to
consumers. The cars were all
“total loss” vehicles that had
been written-off by insurance
companies due to their damaged
condition. The cars were
repaired and resold by the
accused to customers in Toronto,
who were often acquaintances.
These customers were referred to
the accused by word-of-mouth
from friends.
In Ontario, all motor vehicle
dealers and salespeople must be
registered under the Motor
Vehicle Dealers Act (MVDA)
before buying, selling or
leasing vehicles. In the
industry, unregistered
individuals selling vehicles are
known as "curbsiders" and are
subject to prosecution by OMVIC.
OMVIC lays over 1,000 curbsiding
charges annually.
“Recent research reveals 61 per
cent of Ontario consumers are
unaware of curbsiders,” explains
Brenda McIntyre of OMVIC. “When
buying privately, consumers need
to be wary of vehicles that may
be stolen, odometer-tampered, or
have liens against them. Before
buying from a private seller
ensure you’re provided with a
Used Vehicle Information
Package, purchase a vehicle
history report from CarProof or
CARFAX, ask for ID and proof of
ownership from the seller and
get an inspection from a trusted
mechanic.”
Consumers are also encouraged to
keep the benefits of buying
through an Ontario-registered
dealer in mind when considering
their next vehicles purchase:
- All dealers and
salespeople in Ontario must
be registered with OMVIC. To
verify registration, visit
www.omvic.on.ca or call
1-800-943-6002.
- 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 licences and regulates
motor vehicle dealers in Ontario
and enforces the Motor
Vehicle Dealers Act on behalf
of the
Minister of Consumer Services.
OMVIC's mandate is to maintain a
safe and informed marketplace by
ensuring registration of dealers
and salespeople, regularly
inspecting dealerships,
maintaining a complaint line for
consumers and conducting
investigations. OMVIC is also
responsible for administering
the Motor Vehicle Dealers
Compensation Fund on behalf of a
Board of Trustees.
For more information, please
contact:
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