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Registrar's Decision

Registrar's Decision 08-70508

File Number: 08-70508

In the matter of THE MOTOR DEALER ACT R.S.B.C.1996 C.316
and THE BUSINESS PRACTICES AND CONSUMER PROTECTION ACT S.B.C. 2004 c.2

Complainant: REGISTRAR

Licensee/Unlicensed person:

SAFE AUTO SALES LTD.

Issues:

  • Review of Application for registration as a motor dealer.
  • Applicant’s sole shareholder and directing mind was also the sole shareholder and directing mind of Saman Auto Ltd.
  • Saman Auto Ltd. went bankrupt and closed operations in 2005/06.
  • After it closed, two compensation claims were paid totaling $29,500 due to Saman’s conduct.
  • A third claim is pending a review by the Compensation Fund Board.

Outcome:

  • If Saman had been registered at the time the Compensation Funds payments were made, it would have been deregistered.
  • The Registrar is expressly and implicitly authorized by law to look at the corporate structure before granting registration.
  • It would not be in the public interest to grant the registration sought and section 24(2) of the Motor Dealer Act applies in this case.

Click here for the full decision (PDF)