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Used Car Sales Scam Uncovered

Nearly a hundred people in Alberta have discovered cars they bought privately over the last two years weren’t even supposed to be on the road.

Nirmal Singh Bhui bought a 2000 Honda Accord in 2004 for 14 thousand dollars after seeing an ad in the classifieds.

He’s learned the car had been written off in a crash and rebuilt.

“They find out the car is built half and half. The front half is from one car and the back half from a different car. They even showed me the welding seam on the frame.”

Police and Provincial motor vehicle inspectors have discovered 99 cars, sold illegally in the past two years.

The cars had all been written off in the U.S., imported to Ontario, rebuilt, issued phoney paperwork and moved to Alberta.

Once they were here, they passed an “Out of Province” inspection, were registered and all sold privately.

Bob Hamilton, the head of Alberta’s Motor Vehicle Industry Council says the original work done to rebuild the cars was so good; a mechanic could easily miss the warning signs.

“We’ve never seen one of this magnitude before. These guys were obviously organized and had intent of deceiving people.”

Out of Province inspections are normally done by certified mechanics, not auto body technicians.

Hamilton says many victims never checked the vehicle history with a registry office and didn’t get an independent inspection before buying the cars.

Here are some tips for anyone buying a car privately.

Ask to see the registration and insurance and compare it to the name on the seller’s driver’s license, to prove they own it.

Ask to see service records, get an independent inspection by your own mechanic or auto body technician.

Get a Vehicle Information Report from a registry agent to check registration and liens.

Check the history of the vehicle on websites like carfax and carproof.

In this case, some of the cars were actually listed as salvage vehicles on U.S. records but no one checked.

Go see the car at the sellers’ home, don’t meet at another location like a parking lot and don’t be rushed into buying.

Matthew Stathonikos has seen his share of used car horror stories at his auto body shop.

He can’ stress enough how important it is to do your homework and get a second opinion.

“The more information you can get on the car, how long he’s owned it, what kind of stuff has he done for upkeep, all that will help you build a better idea as to where this vehicle came from, how it was treated and what kind of shape it’s in when you get it.”

He says when you get an inspection done on the car, the engine and brakes, ask the mechanic to look for body gaps, how the hood, fender panels and doors line up.

He also says watch for paint overspray or signs of any previous work done.

Some of the cars have already been taken off the road and others must be repaired before they’re roadworthy again but the owners are on the hook for all the costs.

Police are still looking for the suspects.

For more information on how to buy a car go to the Motor Vehicle Industry Council web site http://www.amvic.org

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