Bid to liquidate dealership

Inland Revenue has applied to liquidate a car dealership that is facing possible legal action and risks being fined up to $200,000.

Quay Cars in Nelson has been ordered by the Motor Vehicles Disputes Tribunal to refund three customers a total of $50,000 this year alone and is also accused of trading while banned.

Ryan Durry, director, could also receive a fine of up to $50,000 for the latter issue.

An application by Inland Revenue to liquidate Quay Cars was filed in the High Court at Nelson in May and was published in the New Zealand Gazette this month.

It comes after customers have taken the dealership to the MVDT 12 times since 2011, with eight of those disputes decided in the past two years, reports the Press.

Durry and Quay Cars were banned from trading vehicles in October last year after failing to comply with a $13,500 refund order and an air conditioning repair order.

Despite this, the dealership sold a 2006 Toyota Hiace van for $17,000 in January  but never delivered it and has yet to pay the consumer after her successful MVDT case.

MVDT adjudicator David Jackson noted the respective bans for Durry and Quay Cars and referred his decision to the Motor Vehicle Traders Register “for possible enforcement action”, reports the Press.

A spokesperson for the register says it is assessing the tribunal’s decision before deciding whether to take further action. Trading while banned can result in a fine of up to $50,000 for an individual, or $200,000 for a company.