A car dealer company, its director and salesman were sentenced today (March 25) after being convicted at Fanling Magistrates' Courts of supplying a second-hand light goods vehicle with a false trade description, in contravention of the Trade Descriptions Ordinance (TDO). The company was fined $60,000 while the director and salesman were each sentenced to six months' imprisonment.
Acting on a complaint, Customs officers initiated an investigation into the car dealer located in San Tin, Yuen Long in November 2013. The investigation revealed that the company sold a second-hand light goods vehicle, bearing an odometer reading (travel mileage) of 55 000 kilometres on the day of sale in September 2013. However, it was confirmed that at the material time the actual travel mileage of the vehicle was more than 280 000 kilometres. The travel mileage as indicated on the vehicle was thus a false trade description. Customs took enforcement action and initiated prosecution.
A Customs spokesperson said that travel mileage is one of the important factors in determining the market value of a second-hand vehicle. An understated mileage record may get a higher market value for the vehicle.
Under the TDO, any person who supplies goods with a false trade description in the course of trade or business, or that has in his possession for sale any goods with a false trade description, commits a criminal offence. The maximum penalty upon conviction is a fine of $500,000 and imprisonment for five years.
Members of the public may report any suspected violations of the TDO to Customs' 24-hour hotline 2545 6182.
Ends/Wednesday, March 25, 2015