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Chandigarh man sold banned BS-III bike gets ₹50,000 compensation
The consumer court also directed the dealer, Bedi Auto Wings LLP, Industrial Area, Phase 3, Mohali, to refund ₹91,440, the price of the motorcycle, to the Chandigarh resident
The sale of a Bharat Stage-III vehicle, which is not permitted on Indian roads, has cost a motorcycle manufacturer, its authorised dealer and the financing bank dear.
The District Consumer Disputes Redressal Forum, Mohali, has directed the dealer, Bedi Auto Wings LLP, Industrial Area, Phase 3, Mohali, to refund ₹91,440, the price of the motorcycle, along with 12% interest, to the complainant, a resident of Colony Number 4, Industrial Area, Phase 1.
The dealer; the manufacturer, Suzuki Motorcycle India Private Ltd; and IDFC First Bank Limited, that financed the vehicle, have also been told to jointly and severally pay ₹50,000 as compensation to the complainant within 30 days.
From April 1, 2017, the Supreme Court had banned the sale and registration of Bharat Stage (BS)-III vehicles to make way for more eco-friendly BS-IV vehicles.
However, the complainant, Rakesh Yadav, was sold a BS-III motorcycle by the automobile dealer on April 11, 2017.
Yadav was caught unawares when the registration of the two-wheeler was rejected by the Registering and Licensing Authority, Chandigarh, in line with the SC directions. When he approached the dealer for a refund, his requests fell on deaf ears.
Disposing of his complaint, the forum observed that the dealer made a fool of the complainant by taking advantage of his innocence and sold a vehicle which was not permitted by law.
Holding the manufacturer guilty as well, the forum said, “We feel that manufacturer is equally liable for the nefarious activities of authorised dealer…It was incumbent upon the manufacturer to immediately call back or withdraw all vehicles lying in various agencies throughout India, as and when it came to know about the ban on the sale and registration of these vehicles. Manufacturer cannot escape its liability by providing us with an agreement with authorised dealer.”
The order also said that IDFC First Bank Limited should also not have financed the vehicle and claimed interest on it, as it was very much aware that this specific vehicle was not permissible on the roads and its registration had been banned.
