FADA raises voice against sales of 2Wheelers by unauthorized multi-brand outlets

The Federation of Automobile Dealers Associations (FADA), in collaboration with the Delhi & Mumbai State Transport Department, has expressed concerns over the illegal practices of unauthorized multi-brand outlets (MBOs) selling two-wheelers. FADA has reported that these MBOs are acquiring unregistered vehicles in bulk from dealers and reselling them to customers at discounted rates, higher than the prices offered by original equipment manufacturers (OEMs) through authorized dealers, without any commitment to after-sales service. This has not only impacted the legitimate dealerships but has also shaken customers' confidence in the brand and dealer partners. Furthermore, these MBOs indulge in evasion of GST, income tax, issuance of fake/ undervalued insurance policies, delivery of vehicles without registration/ HSRP and helmets, resulting in revenue loss on various fronts. FADA has reached out to Shri Eknath Shinde, Honorable Chief Minister, Government of Maharashtra, Mr. Vinod Aggarwal, SIAM President, and the Transport Commissioners of Mumbai and Delhi, urging them to take stringent action against these MBOs and ensure their compliance with industry standards and regulations. The Hon'ble Chief Minister of Maharashtra and Transport Commissioners of Mumbai and Delhi have initiated action against this illegal practice. The Delhi transport department is also taking stringent action against the outlets operating such illegal trade practices. The