SABC News - Consumer Affairs, Miosa raid second-hand motor dealerships:Friday 29 September 2017

Consumer Affairs, Miosa raid second-hand motor dealerships

Friday 29 September 2017 17:14

Cyril Mnguni

Consumer Affairs and the Motor Industry Ombudsman of South Africa (Miosa) have embarked on a nationwide blitz focussing on second-hand motor dealerships.

Miosa is endorsed by the Department of Trade and Industry.

In KwaZulu-Natal, Miosa has visited areas in Newcastle, Ladysmith and Durban where they found that most motor vehicle dealerships do not comply with the law.  

Miosa's Ibrahim Adat says the excuses given include that they were not aware of the gazetted law. He says they warn the dealerships and if they don't comply they may face legal action.

“Many companies basically give us the normal excuse that we have not been aware of it or it's unheard of. Yet, the law has been out from 2015. It has been highlighted basically on TV, newspapers and it was the only law in the country of South Africa that was gazetted three times over. If there were part of the group or the RMI, there were also advising newsletters that it is a legal requirement to be compliant with also.

"Virtually, what we do we give them all the information that's required to comply. We then do a second visit to ensure if they have questions they might want to know. Then the Head Office will send them a direct invoice bill. Should they fail to comply from that they will be contravening the Act and hence will appear with court.”

Meanwhile, the National Consumer Commission says their presence is to protect consumers after receiving a number of complaints regarding unscrupulous dealerships.

The Commission's Velaphi Mabuza says they need to educate consumers on the law. He warned consumers to be extra-cautious when they sign any deals or when buying goods.

“We are mainly looking at protecting consumers against scrupulous dealers or suppliers. This operation mainly focuses on the second-hand motor dealers, which has been problematic since the inception of the commission. Most of the dealers are still using the old legislation.”

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