CONSUMER WARNING - Ottawa Car Dealer Suspended by Regulator
TORONTO, Sept. 24, 2018 /CNW/ - OMVIC, Ontario's vehicle sales regulator, has ordered the IMMEDIATE SUSPENSION of Marcel Motors Ltd. o/a Eastside Better Used Cars, located at 2925 Bank Street, Ottawa and of the dealership's sole officer and director, Nitin Chopra. As a result, Marcel Motors Ltd. o/a Eastside Better Used Cars and Chopra, may not legally sell, lease, buy or consign vehicles.
According to OMVIC, Immediate Suspensions are only issued when the regulator believes a dealer's conduct may place the car-buying public at risk. John Carmichael, OMVIC's CEO and Interim Registrar explained the immediate suspension of Marcel Motors Ltd. o/a Eastside Better Used Cars was triggered following recent serious consumer complaints and alleged breaches of conditions of registration ordered earlier this year by the Licence Appeal Tribunal (LAT). These include allegations the dealer:
- failed to pay out liens (or pay out liens within seven days as ordered by LAT) on vehicles traded in by consumers
- failed to submit documents/payments to warranty providers (or submit documents/payments within the timeline ordered by LAT) potentially leaving customers with no warranty coverage
- failed to provide a $30,000 letter of credit to the Motor Vehicle Dealers Compensation Fund (or have their law firm do the same) by the date ordered by LAT
- failed to ensure its bookkeeper completed Georgian College's online "Automotive Record Keeping" course, as ordered by LAT
"This type of alleged behaviour and resulting consumer harm will not be tolerated," stated Carmichael.
Note: a dealer may appeal an Immediate Suspension Order and a hearing will be held within 15 days before the Licence Appeal Tribunal (LAT). The Tribunal will determine if the order should be extended until a final determination is made regarding the associated Proposal to Revoke Registration.
Advice to Customers of Marcel Motors Ltd./Eastside Better Used Cars
OMVIC encourages consumers who have traded a vehicle in to Marcel Motors Ltd./Eastside Better Used Cars, where the dealer was to pay out a loan on the trade, to contact their financial institution and ensure this was done.
Customers who have recently purchased a vehicle from the dealer should ensure the vehicle does not have an unexpected lien. This information can be found by consulting a Used Vehicle Information Package (UVIP) available from ServiceOntario, or a CarProof (CARFAX Canada) Vehicle History Report.
Additionally, customers who purchased a vehicle that included an extended warranty should contact the warranty company to ensure coverage is in place.
Customers of Marcel Motors Ltd, Eastside Better Used Cars or Chopra who have questions or concerns should contact OMVIC's Complaints and Inquiries Team at 1-800-943-6002x3942.
The Motor Vehicle Dealers Compensation Fund
Consumers are warned not to buy or lease vehicles from, or sell or consign vehicles to Marcel Motors Ltd./Eastside Better Used Cars or Nitin Chopra, while the dealer's registration is suspended: consumers who trade with an unregistered business or individual are not protected by the Motor Vehicle Dealers Compensation Fund.
The Motor Vehicle Dealers Compensation Fund is funded by Ontario's registered motor vehicle dealers and provides compensation to consumers who have a valid claim against an Ontario-registered dealer. Qualifying consumers may be eligible to receive up to $45,000 for each valid claim to the Compensation Fund. Since its inception on July 1, 1986, the Compensation Fund has paid out more than $6 million to consumers.
About OMVIC Registration
Ontario's Motor Vehicle Dealers Act (MVDA) requires all dealers and salespeople be registered with OMVIC. Unregistered selling (curbsiding) is a serious offence: individuals convicted of curbsiding can be fined $50,000 and/or be jailed for up to two years less a day.
About OMVIC
OMVIC (Ontario Motor Vehicle Industry Council) administers and enforces the Motor Vehicle Dealers Act (MVDA) on behalf of the Ministry of Government and Consumer Services. OMVIC maintains a fair and informed vehicle sales marketplace by regulating dealers and salespersons, regularly inspecting Ontario's 8,000 dealerships and 27,900 salespeople, maintaining a complaint line for consumers and conducting investigations and prosecutions (or discipline proceedings) of industry misconduct and illegal sales (curbsiding). OMVIC also administers the Motor Vehicle Dealers Compensation Fund on behalf of its Board of Trustees.
SOURCE Ontario Motor Vehicle Industry Council (OMVIC)
Terry O'Keefe, Director of Communications, 416-226-4500x3525, [email protected]; Amanda Risser, Senior Communications Officer, 416-226-4500x3172, [email protected]; Daphne Boxill, Communications Officer, 416-226-4500x3185, [email protected]
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