Registrar's Decision 08-70472

Issues:

• Dealership was called to a hearing for infractions under the Motor Dealer Act and the BPCPA.
• Salesperson was called to a hearing for infractions under the Motor Dealer Act and the BPCPA.
• Dealer was also called to a hearing regarding a claim adjudicated by the Motor Dealer Customer Compensation Fund Board on June 26, 2008.
• Dealer’s licence lapsed on or about July 15, 2005 and there had been no contact from the Dealer or its principal, Keanu Senobari.
• The VSA held a $5,000 irrevocable letter of credit which was demanded on June 10, 2008 and payment was received.

Outcome:

• Pursuant to the MDA, a motor dealer is liable to reimburse the Motor Dealer Customer Compensation Fund for any claims paid because of its conduct.
• The VSA is entitled to its investigation and hearing costs.
• The Registrar’s decision was that $5,000 be distributed as follows: $1090 be paid to the Customer Compensation Fund; The VSA recover its investigation costs and the Board recover its hearing costs which was set at $1,000; the balance is to be returned to VanCity Savings Credit Union to the credit of Van Royal Auto Ltd.

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