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Toronto, March 30, 2010
- The Ontario Motor Vehicle
Industry Council (OMVIC) reports
unregistered auto dealer Empire
Auto Sales -- and its owners
Dinesh Gathani, Alpa Gathani,
Amit Gathani and Ankit Gathani
-- were fined $7,000 for selling
salvage vehicles without
disclosure.
Charges were laid under the Consumer Protection Act following an investigation by OMVIC that determined vehicles sold by Empire were insurance write offs, branded as salvage. Although the vehicles had incurred major collision damage, the only disclosure made to consumers was that the vehicles had “small dents.”
“When purchasing a large ticket item like a vehicle, it’s important to know what you’re buying and who you are buying it from,” explains OMVIC spokesperson Brenda McIntyre. “Ensure your dealer is Ontario-registered so you are protected by the Motor Vehicle Dealers Act. Under the Act dealers are obliged by law to disclose to potential buyers and material fact about a vehicle’s history that may affect the buyer’s decision. In certain circumstances, consumers are even entitled to contract cancellation and return of their money by their dealer.”
Consumers who purchase vehicles privately or through unregistered dealers are not able to take advantage of the provisions of the Act, including a dealer-supported consumer protection fund. The fund provides a safety net in the event a consumer runs into problems with their purchase or lease.
Purchasers can verify dealer and salesperson registration by contacting OMVIC at 1-800-943-6002 or visiting
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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