Fraud Investigations Result in $1M+ Recovered from ‘Unscrupulous’ Auto Dealers, Repair Shops

Fraud Investigations Result in $1M+ Recovered from ‘Unscrupulous’ Auto Dealers, Repair Shops

Photo Courtesy of the Office of the Governor

Gov. Cuomo said New York has “zero tolerance” for businesses that cheat consumers.

By Michael V. Cusenza
Nearly $1.1 million in refunds and repairs from auto dealers and repair shops has been recovered and returned to consumers, Gov. Andrew Cuomo announced last Thursday.
The State Department of Motor Vehicles’ Vehicle Safety Division, which is tasked with investigating consumer complaints, made the recoveries last year on behalf of 603 consumers throughout New York.
According to a regional breakdown of consumer recoveries from repair shops, auto dealers, and inspection stations based on complaints made to DMV in 2016, New York City filed the most complaints (127) and, as a result, received the most in refunds and repairs ($206,868). Long Island was a close second, with $205,133 resulting from 99 complaints.
“When people buy a car or bring their car into a repair shop, they should have confidence that they are being treated fairly,” said DMV Executive Deputy Commissioner Terri Egan. “If an unscrupulous operator tries to take advantage of them, our Vehicle Safety Division has proven it will stand up for consumers and help them recoup their losses.”
When customers make a complaint, DMV first tries to resolve the problem by discussing it with the customer and the business, the agency said. About half of all complaints are resolved directly with consumers having vehicles repaired, getting refunds on faulty repairs, or with dealers buying vehicles back. However, if the problem is not resolved, a DMV inspector further investigates the complaint. If it is found that a dealer or shop violated laws and/or regulations, DMV can impose fines and suspend or revoke business registrations.
DMV receives more than 6,000 consumer complaints every year involving vehicle dealers or repair shops accused of selling vehicles in poor condition, failing to register vehicles, committing inspection fraud, and making faulty repairs.
Cuomo added that his administration “has zero tolerance for those who use unscrupulous business practices to cheat consumers.”

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