Dodgy Queensland backyard car dealers have been caught in a sting by the state’s Fair Trading Office.
Compliance spot checks were carried out at southeast Queensland locations as part of an MTAQ operation.
A total of 32 illegal car dealers in were raided as part of a joint operation with the Motor Trades Association of Queensland (MTAQ) to expose widespread unlicensed dealing.
MTAQ general manager Kelly Dewar said the crackdown was aimed at licensed traders posing as private sellers and unlicensed backyard operators ripping off Gold Coast motorists.
“Unlicensed backyard operators make their living selling cars but pose as private sellers to avoid legal, tax and safety obligations,” she says.
“Consumers who buy cars from these operators are deprived of their legal rights, including a cooling-off period and warranty.
“The MTAQ has seen cases of customers trading in a car only to discover, after doing some background checks, that they unwittingly purchased a repairable write-off that has been very poorly repaired.”
The Office of Fair Trading (OFT) said 38 sites on the Gold Coast, Brisbane and Sunshine Coast had been identified as suspicious.
A reputable mechanic on the southern Gold Coast said although backyard operators had been active for years, it had become more prevalent recently.
“I find a lot of backyard guys will go to the auction, buy two or three cars a month, come home, clean them up and advertise them as their mum’s car,” he told the Gold Coast Bulletin.
“I know people who even go out and print service stickers, stick it on the window and put a date on it. People think the car’s been serviced regularly and it hasn’t. It’s a dodgy sticker that the guy’s printed out on his computer, wrote a rego and mileage on it and stuck it on the window.
“There’s no service book, no warranty book in the glove box.”
The small business operator said there was also an issue with dodgy operators purchasing cars deemed repairable write-offs in NSW before registering them on the Gold Coast and selling them.
Illegal operators could face infringement notices of up to $10,800 for a corporation or court action which could involve fines of up to $220,000 for an individual.
To report a dealer to OFT, visit qld.gov.au/fairtrading or call 13 74 68.
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