THE IMPORTATION from Japan of motor vehicles which are older than advertised by local dealers, is being investigated by the Revenue Protection Division of the Ministry of Finance.Mike Surridge, head of the division, said two cases under investigation involve a Toyota Townace minibus and a Toyota car, both of which were purchased in Japan.
He said the complaint reaching his department was that the vehicles were not manufactured in the year the accompanying documents said they were. He said checks made with one of the vehicle manufacturers revealed that it was three years older than that described in the entry form. It was advertised as a 1997 unit but was manufactured in 1994.
Mr. Surridge admitted that the RPD had problems ascertaining the details of the vehicles, thus making it difficult to determine whether the problem originated in Japan or locally.
He expressed concern that the easing of regulations by Government in the early 1990s, which resulted in a flood of motor vehicles into the island with dozens of dealers entering the market, could be a factor because of the level of competition. "We wouldn't like to believe that people are circumventing this," he said of recent moves by the Government to partly reverse this decision by imposing age limits on used vehicles imported.
He stressed that there was as yet no evidence to suggest that local dealers deliberately misled the public.
John Crosby, chairman of the Automobile Dealers Association which represents new-car dealers, was more forthright with his views. "I think people are actually doctoring some of these invoices coming into the island," he charged yesterday. He noted that this was probably an attempt to mislead the Trade Board which he said was usually stringent in ensuring no vehicle older than four years old, or in the case of commercial vehicles, five years, is allowed into the country.
The board, he said, recently issued a notice stating that cars that will not meet this requirement will not be allowed into the island after December 31. "I suppose if a man has them bought he might try to beat the system," Crosby said.
He distanced the ADA from the practice, pointing out that it was "not a new-car problem". He however pointed to competition among used car dealers along with competition from brokers as major contributing factors.
The ADA chairman said that to avoid being ripped off, persons buying motor vehicles should get a valuation from a recognised valuator who would be able to examine the chassis number to ensure it coincides with the accompanying paperwork.
The Bureau of Standards has warned that it will soon be requiring certification for all used vehicles coming into the island.