THE TRUSTED VOICE OF THE
NZ AUTO INDUSTRY FOR 40 YEARS

Call to report unregistered traders

Regulator appeals for help in clamping down on unlawful activity and ensuring compliance with rules.
Posted on 18 July, 2024
Call to report unregistered traders

Dealers are being encouraged to report people who are unregistered and illegally selling motor vehicles to help protect the public’s trust and confidence in the sector.

Duncan Connor, registrar of motor vehicle traders, has issued the plea in an email update to members of the industry.

He explains a priority of the Motor Vehicle Traders Register, which is part of the Ministry of Business, Innovation and Employment, is to promote and protect the interests of consumers by ensuring compliance with the Motor Vehicle Sales Act (MVSA). 

“We are consistently considering and investigating complaints made via our website however, we can’t see everything, and that’s where you can help,” says Connor, pictured.

“The existence of unregistered traders, and how they often carry out their business with their customers, can harm the interests of consumers and undermine the public’s trust and confidence in traders in general. 

“Registered traders are often well placed to identify those who are unlawfully trading and inform the registrar to make sure appropriate compliance action is taken.”

Connor adds he has recently received a number of referrals from a registered trader who identified individuals selling vehicles without being registered. 

This enabled officials to engage with these individuals to ensure ongoing compliance with the MVSA. 

“Following this engagement, one person has registered as a motor vehicle trader and another, who had not breached the act at the time, was successfully educated before any offence was committed,” he notes. 

The registrar will use the most effective compliance and enforcement tools required to deter, detect and intervene to ensure people comply with the laws around selling vehicles.

Connor says while prosecutions are always an option, bringing an individual into the scheme ensures they must adhere to the same obligations as other registered traders and allows for future monitoring to ensure compliance is ongoing. 

“If you are aware of individuals acting unlawfully in your industry by trading while unregistered, you can make a difference by reporting their behaviour via our website complaint form.”