Unlicensed Motor Vehicle Dealers – Katherine

Northern Territory Police recently uncovered and prosecuted a number of unlicensed motor vehicle dealers operating in the Katherine region.

A 36-year-old man was recently convicted for selling 11 motor vehicles within a 12-month period from his residence in Katherine, which he had set up to look like a caryard. Another 58-year-old man has been charged by summons for the sale of six motor vehicles in nine months, and a 20-year-old man was cautioned when police interrupted his fourth sale in less than six months, Northern Territory Police say.

Police remind the public that pursuant to section 128 of the Consumer Affairs and Fair Trading Act it is an offence for a person other than a licensed motor vehicle dealer to sell four or more motor vehicles during any period of 12 months. The maximum penalty for this offence is 500 penalty units ($77,000) for a person, or 2500 penalty units ($385,000) for a body corporate.

“Anyone wishing to buy and on-sell motor vehicles needs to ensure that they apply to Licensing NT for a Motor Vehicle Dealer Licence and wait for that licence to be granted prior to engaging in such business,” Senior Constable First Class Rhys Studders said.

“And it’s a case of buyer beware for those purchasing second-hand motor vehicles. Unlicensed dealers provide no warranty for the vehicles they sell; the vehicles may not be in a roadworthy condition, and they do not comply with other business rules designed to protect you, the consumer. When purchasing a second-hand vehicle look for a LMVD number on the premises as all Licensed Motor Vehicle Dealers must have their LMVD number clearly displayed.”

Further information for consumers can be found on the Northern Territory Consumer Affairs website, www.consumeraffairs.nt.gov.au/ForConsumers/MotorVehicles

Anyone who has any information regarding the sale of motor vehicles without a licence, or suspects that they may have bought a vehicle from an unlicensed dealer, can report it to Police by calling 131 444, or Crime Stoppers.

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