Licence Appeal Tribunal
Tribunal File Number: 12788/MVDA
Appeal from a Notice of Proposal by the Registrar, Motor Vehicles Dealers Act, 2002 to Revoke Registration
Between:
Kalsi Motor Wholesale Inc. and Anit Pal Singh Appellants
and
Registrar, Motor Vehicle Dealers Act, 2002 Respondent
CONSENT ORDER
Order Made by: Ian Maedel, Vice Chair
Date of Order: March 23, 2021
BACKGROUND
1This is an appeal from a Notice of Proposal issued by the Registrar under the Motor Vehicles Dealers Act, 2002 (“Act”), to revoke the registration of Kalsi Motor Wholesale Inc. as a motor vehicle dealer and revoke registration of Anit Pal Singh as a motor vehicle salesperson pursuant to s. 9 of the Act respectively.
2The parties have advised the Tribunal that they were able to agree upon a settlement of all outstanding issues in this matter and have requested that the terms of settlement be incorporated into a Consent Order disposing of this proceeding.
ORDER AND DIRECTION
3Accordingly, on the consent of the parties and upon having reviewed the agreement signed by the appellants and the Registrar, the Tribunal, pursuant to Motor Vehicles Dealers Act, 2002 directs and orders that the Appellants shall be bound by the terms of the consent agreement signed and executed by all of the parties.
4The signed agreement is appended as Schedule “A” to this Order.
5The hearing scheduled for June 7-11,15-16, 2021 shall be vacated.
6This Tribunal file shall be closed.
LICENCE APPEAL TRIBUNAL
Ian Maedel, Vice Chair
Released: March 23, 2021
Schedule “A”
TO: Licence Appeal Tribunal Tribunals Ontario Safety, Licensing Appeals and Standards Division PO Box 250 Toronto, ON M7A 1N3
FROM: The Registrar Motor Vehicle Dealers Act, 2002 Ontario Motor Vehicle Industry Council 65 Overlea Blvd., Suite 300 Toronto, ON M4H 1P1
AND FROM: Kalsi Motor Wholesale Inc. c/o Verbeek & Verbeek Barristers and Solicitors 12 – 1020 Matheson Blvd. East Mississauga, ON L4W 4J9
AND FROM: Anit Pal Singh c/o Verbeek & Verbeek Barristers and Solicitors 12 – 1020 Matheson Blvd. East Mississauga, ON L4W 4J9
Pursuant to subsection 6(2) of the Motor Vehicle Dealers Act, 2002 (“MVDA”), Kalsi Motor Wholesale Inc. (the “Dealer”) and Anit Pal Singh (“Singh”) and the Registrar, Motor Vehicle Dealers Act, 2002, (“the Registrar”), in accordance with section 4.1 of the Statutory Powers Procedure Act, do hereby waive the requirements of a hearing and consent to an Order of the Licence Appeal Tribunal based upon the following conditions:
REGISTRATION
The Dealer and Singh will ensure that their registrations will not be used to trade in motor vehicles where they know, or ought to know, that trading these motor vehicles will facilitate an illegal or unethical practice.
The Dealer and Singh will not conduct business with any person acting as a motor vehicle dealer and trading in motor vehicles without first confirming that the person is actively registered as a motor vehicle dealer in accordance with the MVDA.
PREMISES
- The Dealer agrees not to change its registered premises without first obtaining the Registrar’s approval, in writing, pursuant to section 31 of Ontario Regulation 333/08.
BOOKS AND RECORDS
The Dealer will maintain all books and records at its registered premises in accordance with the MVDA and pursuant to section 52 through to and including section 60 of Ontario Regulation 333/08.
The Dealer will maintain records for vehicle repairs, trades and its business operations pursuant to sections 52, 53 and 54 of Ontario Regulation 333/08.
The Dealer will maintain books and records, which accurately record the true nature of transactions involving the trade of a motor vehicle. The Dealer and Singh will not be involved in the creation of books and records, which are false or misleading as to the true nature of a transaction involving the trade of a motor vehicle.
The Dealer will also maintain all pages of any purchase bills of sale; vehicle history reports; retail bills of sale; wholesale bills of sale; repair records; and any receipts for parts.
The Dealer will provide free access to its books and records to an authorized representative of the Registrar in accordance with section 15 of the MVDA.
The Dealer will not withhold any documents or records requested by an authorized representative of the Registrar.
The Dealer and Singh agree that it is their responsibility to provide any requested records to an authorized representative of the Registrar, or to undertake to provide the requested records as soon as possible within reason.
The Dealer will maintain a garage register in accordance with section 60(1) of the Highway Traffic Act (“HTA”) and pursuant to section 57 of Ontario Regulation 333/08.
The Dealer will undertake that in the event its books and records are lost, stolen or destroyed in whole or in part, the Registrar will be advised, in writing, within 5 days of the event pursuant to section 55 of Ontario Regulation 333/08; and will include all relevant documentation. The documentation will include, but is not limited to, police reports, insurance claims and affidavits. The Dealer further agrees to make all reasonable efforts to reconstitute the lost, stolen or damaged records.
The Dealer will obtain a receipt prior to the removal of any records by a government or professional agency; or any other person or entity, from the registered premise. Such receipt will include the recipient's name, address, telephone number, description of records taken, the time of return and signature of recipient. The Dealer undertakes to provide the receipt to OMVIC when requested by the Registrar.
The Dealer will comply with obligations concerning consignment deals and contracts in accordance with section 45 of Ontario Regulation 333/08.
DISCLOSURE
The Dealer will ensure that all trades in motor vehicles are completed in accordance with section 30 of the MVDA and pursuant to sections 39, 40, 41, 42 and 43 of Ontario Regulation 333/08 and section 4 of Ontario Regulation 332/08, where applicable.
The Dealer will disclose all material facts about the motor vehicles for purchase or lease to its customers. The Dealer further agrees that notwithstanding whether or not the Dealer considers a fact to be material, the Dealer will comply with the disclosure obligation. The Dealer further agrees to disclose all material facts on the Bill of Sale, in writing. The Dealer will ensure compliance with the disclosure obligation notwithstanding whether or not the vehicle has been branded through MTO. For greater certainty, a material fact is one that if disclosed could affect the decision of a reasonable person to purchase or lease the vehicle or affect the purchase price. In the case of damaged vehicles, the Dealer further agrees to disclose as much detail as possible regarding the nature and severity of the damage. The Dealer undertakes to research the history of all the motor vehicles under trade to ensure all material facts are disclosed.
The Registrants will comply with all requests made by the Registrar in relation to any failure to comply with disclosure obligations.
OTHER
Singh agrees to take and successfully complete the Automotive Record Keeping Course, offered at The Automotive Business School of Canada at Georgian College, no later than six months from the date of this Order at his own expense.
Singh agrees that he is responsible for ensuring that the Dealer complies with these conditions and its obligations under the MVDA, in addition to ensuring his own compliance with these conditions and the MVDA.
The Dealer and Singh agree to provide truthful information on any and all applications for registration, and in response to any requests for information from the Registrar or his representatives.
The Dealer and Singh agree not to engage in any act or omission that would reasonably be regarded as disgraceful, dishonourable, unprofessional, or unbecoming of a Registrant.
The Dealer and Singh agree to use their best efforts to prevent error, misrepresentation, fraud or any unethical practice in respect of a trade in a motor vehicle.
ACKNOWLEDGMENT AND UNDERTAKING:
The Registrar may take further administrative action, including a proposal to suspend or revoke registration, arising from any matters that have occurred or may occur related to honesty and integrity, financial responsibility or compliance with these terms and conditions.
The Registrar is relying on the accuracy and completeness of all documents, statements or information provided by the Registrants.
Signed in the City of this day of , 2021.
(Print Name)
I have authority to bind the corporation: Kalsi Motor Wholesale Inc.
(Signature)
I have the authority to bind the corporation: Kalsi Motor Wholesale Inc.
Anit Pal Singh (Signature)
These Terms and Conditions are accepted by the Registrar, Motor Vehicle Dealers Act, 2002.
Date:
John Carmichael,
Registrar