MVD Raids Cars24 Dealership For Selling Cars Illegally: Multiple Vehicles Blacklisted [Video]

The used car market has been growing steadily in India over the last 10 years. Thanks to affordable prices and easy financing options, many buyers now prefer a used vehicle over a brand-new one. The used car market has become so popular that many manufacturers have even started selling certified pre-owned cars through their dealerships. We recently came across a report from Kerala where the Motor Vehicles Department (MVD) raided a Cars24 dealership in Thiruvananthapuram after receiving complaints that it was allegedly selling cars illegally.

The video was shared by Reporter News Channel. In the video, we see Kerala Motor Vehicles Department officers inspecting a Cars24 dealership in Thiruvananthapuram’s Aakkulam area. The MVD officers had received complaints alleging that the used car dealership was selling vehicles without proper documentation and in violation of the rules.

Upon inspection, the officers reportedly found that the allegations in the complaint were true. The complainants were the people from whom Cars24 had purchased the vehicles. According to the owners, the dealership was not transferring the ownership of the vehicles even after purchasing them.

Usually, when a used car dealer purchases a vehicle from an owner, the dealer acts as an intermediary, finds another buyer, and sells the vehicle to that person. However, many dealers simply park these vehicles in their yard and transfer the ownership only after they find a buyer. During this period, the vehicle continues to remain registered in the name of the previous owner.

If the vehicle is involved in an accident or used for any illegal activity during this period, the previous registered owner could face legal complications. Many people assume that their responsibility ends once they hand over the vehicle to a dealer, but that is not always the case. If the vehicle is involved in an accident or the new user commits a traffic violation before the ownership is legally transferred, the registered owner may still be held responsible.

To avoid such situations, it is advisable to sell your vehicle to an authorised used car dealer who has the necessary authorisation, including Form 29B and Form 29C. Form 29B provides the dealer with the authorisation to deal in used vehicles, while Form 29C facilitates the temporary transfer of responsibility for the vehicle to the dealer.

This helps ensure that if the vehicle is involved in any legal issue before being sold to the next owner, the original seller is not held liable. The government has also made most of these procedures available online, making it easier to initiate ownership transfer without having to visit the RTO.

In this particular case, the Cars24 dealership reportedly had several vehicles in its yard for which Form 29B had not been obtained. The Motor Vehicles Department officers recorded the details of such vehicles and stated that they would contact the registered owners and blacklist the vehicles until the necessary documentation is completed.

The registered owners have been advised to get in touch with the Cars24 dealership and ensure that the required paperwork is completed so that the vehicles can be legally sold to the next buyer. The MVD is also conducting similar inspections at several used car dealerships across the city.