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Adams: Car dealers misled by ACT

Adams: Car dealers misled by ACT

Parliament's only licensed motor vehicle dealer, United Future's Paul Adams, today slammed a letter to dealers by ACT's Deborah Coddington as "scare mongering".

In the letter, Ms Coddington tells dealers that an amendment to the Motor Vehicle Sales Bill, currently before the House, will enable a levy, or "tax", to be imposed on them.

"The fact is that what is proposed in the Bill will see dealers contributing about 30 percent of the cost to a fund that will replace our existing fidelity fund for which any topping up today is paid 100 percent by dealers," Mr Adams said.

"Ms Coddington is wrong to imply that this is new, as every dealer in the country contributes to the existing fidelity fund and really, it is replacing one for the other," he said.

"I've been in the business for most of the past 30 years, and I'm telling you that this is actually a big plus for dealers, and a big plus for the buying public. "The fund being proposed, as with the existing fidelity fund, gives a unique safeguard to anyone buying from a licensed dealer, and I can tell Ms Coddington that most dealers are pleased that the safeguard will continue under the new Act," he said.

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