Punjab commission orders car dealer to refund money for blacklisted vehicle
A consumer commission directed a pre-owned car dealer to refund Rs 2.51 lakh plus interest after a buyer discovered the car was blacklisted.
A Punjab district consumer commission has ordered a pre-owned car dealer to refund Rs 2,51,700 to a man who bought a blacklisted Maruti WagonR. According to a report by The Times of India, the commission found the dealer guilty of deficiency in service for failing to verify the vehicle's legal status.
The complainant, Pardeep Kumar, purchased the second-hand car from True Value on July 1, 2022. He had previously deposited Rs 2,000 as security and later took a loan of Rs 2.38 lakh from Cholamandalam Investment and Finance Company to complete the purchase.
On December 6, 2022, Kumar was notified by the Vehicle Registration Authority in Ahmedgarh that the car was blacklisted due to proceedings in the Punjab and Haryana high court. Kumar alleged the dealer promised to resolve the matter but failed to do so.
The dealer argued that Kumar had inspected and test-driven the car before purchase. However, the commission, led by president Naveen Puri, ruled that a test drive cannot reveal pending legal proceedings or blacklisting orders.
The commission directed the dealer to pay the refund of Rs 2,51,700, subject to the vehicle remaining in its possession, along with 6 per cent annual simple interest and Rs 7,500 in litigation costs.
The dealer must comply with the order within 45 days. If they fail to do so, the refund will carry an enhanced simple interest of 4 per cent per annum from the date the complaint was filed.