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HomeNEWSCAR DEALERSHIP FINED £50k FOR CONSUMER BREACHES

CAR DEALERSHIP FINED £50k FOR CONSUMER BREACHES

Just to let the industry know that the authorities are watching: a second-hand car dealer based in Keighley has been ordered to pay £53,567 for secondhand vehicle sales that misled consumers. The fines were handed down at Leeds Magistrates Court on 30 April after the company entered guilty pleas relating to six breaches of the Consumer Protection from Unfair Trading Regulations.  

Motorsure Limited which trades under the name Motorhub at Damside, Oakworth Road, Keighley, was investigated by National Trading Standards following complaints from customers who had purchased vehicles from the car sales company between August 2017 and May 2018. The company misled consumers through a range of practices to conceal a quality and safety issues with the vehicles. The complaints included: 

·         Selling vehicles with covered or disconnected dashboard  warning lights to conceal faults with the vehicle 

·         Failing to disclose recorded mileages were incorrect 

·         Not declaring that a vehicle had been subject to accident damage 

·         Failing to disclose a vehicle had previously been used as a taxi. 

The company also relied on ‘No warranty’ claims to refuse to make refunds or repair vehicles when legally obliged to do so, and staff exhibited intimidating, aggressive and threatening behavior when complaints were made. 

The company entered guilty pleas to six offences at York Magistrates’ Court on 18 December 2018 following an investigation by the National Trading Standards Regional Investigation Team based at City of York Council.

Lord Toby Harris, Chair, National Trading Standards, said: “The business misled consumers about the cars they were buying, concealing quality and safety issues. If you suspect other illegal activity like this is going on, I urge you to report it to the Consumer Advice helpline on 03454 040506.”

District Judge D J Bouch, Leeds Magistrates Court, said: “I find the culpability to be reckless… There is harm from both the financial loss to each individual and distress and inconvenience caused to all. I impose a fine of £10,000 for each offence but after credit for a guilty plea this is reduced to £6600 on each offence”.

The company was also ordered to pay £13,797.95 in prosecution costs and a victim surcharge of £170.

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