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Toronto, January 25, 2010
- The Ontario Motor Vehicle
Industry Council (OMVIC) reports
Eric Stiles and his numbered
company have plead guilty to 30
counts of trading in a motor
vehicle without the benefit of
registration (known in the
industry as curbsiding). Stiles
was sentenced to one year in
prison and the company was fined
$375,000 (inclusive of victim
surcharge).
Stiles was charged under the previous Motor Vehicle Dealers Act (MVDA) and his one-year prison sentence represents the maximum sentence under that Act. A new MVDA, which increases minimum fines to $2,500 per count and doubles maximum jail sentences, went into effect January 1, 2010.
“Curbsiders have made a business out of selling damaged vehicles to unsuspecting car buyers. Stiles’ fine is a significant win for Ontario’s consumers and registered dealers and makes a very clear statement that curbsider activity is not tolerated in the province,” says Council spokesperson Brenda McIntyre.
Stiles was the subject of a prior OMVIC investigation related to his unregistered activities. Fines imposed on him and his companies in 2004 totalled $159,375.
In Ontario, all motor vehicle dealers and salespeople must be registered under the MVDA before engaging in the trade of a motor vehicle.
Curbsiders are unlicensed dealers in the business of selling cars, but who pose as private sellers. The vehicles they sell are often misrepresented, accident-damaged, odometer-tampered, stolen, or have liens against them. Few consumers realize curbsiders represent more than 25% of used car classifieds.
Consumers who purchase vehicles through unregistered dealers are not protected by provincial legislation. Consumers can identify registered dealers by the blue and yellow "Ontario-registered dealer" decal posted on dealership doors or windows, or by asking dealers for their OMVIC registration. Consumers can also find out if a dealer is Ontario-registered by contacting OMVIC or by searching for a registered dealer online at
BuyWithConfidence.ca.
About OMVIC
OMVIC licenses 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 fair,
safe and informed marketplace by
ensuring registration of dealers
and salespersons, inspecting
dealerships, maintaining a
complaint line for consumers,
conducting investigations and
enforcing the Act and its
associated rules and
regulations. 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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