An unregistered trader who was carrying on the business of selling motor vehicles and sold 11 vehicles within a year on a social media platform was found guilty and fined by court. The conviction comes following an investigation by the Ministry of Business, Innovation and Employment (MBIE).
Jessie Gettins was sentenced at the Auckland District Court to a $13,000 fine after being found guilty of one charge of carrying on the business of motor vehicle trading without being registered, in breach of the Motor Vehicle Sales Act 2003 (MVSA).
Gettins had previously been before the Courts for similar offending in 2016, having been found guilty of unregistered motor vehicle trading and fined $18,000.
Gettins was also at one stage a registered motor vehicle trader so was well aware of the requirements, according to MBIE.
Under section 95 of the MVSA, it is an offence for unregistered to sell more than six vehicles in a 12-month period, and those found breaking the law could face fines of up to $50,000 for an individual or $200,000 for a company.
“Ms Gettins sold 11 vehicles in 12 months. Individuals can sell up to six vehicles in 12 months without being required to register as a motor vehicle trader, ” says Duncan Connor, Registrar of Motor Vehicle Traders.
Registered motor vehicle traders are assessed by the Registrar of Motor Vehicle Traders as being suitable to be registered, and they must comply with obligations under the MVSA, Consumer Guarantees Act 1993, and Fair Trading Act 1986. These obligations offer greater protection to consumers when purchasing a car.
Connor says Facebook Marketplace is a common platform for unregistered persons who sell motor vehicles.
“Consumers should take precautions when purchasing vehicles from people online. Precautions may include organising a pre-purchase check and inspection on the vehicle to identify any money owing or mechanical issues.”
Buyers can check whether the person they are purchasing from is a registered motor vehicle trader by accessing the public register at https://www.motortraders.govt.nz/.
As of 30 April 2023, there were 2,860 Registered Motor Vehicle Traders in New Zealand.
