Syndicate selling blacklisted cars uncovered

Source: http://thestar.com.my/news (By ALLISON LAI, 27/1/2010)

KUALA LUMPUR: Several used car dealers and middlemen have allegedly been cheated after they were sold blacklisted cars by a syndicate. Some of the cars, which had been resold to customers for up to a year, were recently impounded by police as they were suspected to be stolen.

Cheah Kuai Wah, 39, said between June and October 2009, he purchased 15 imported sedans and MPVs from three individuals and subsequently sold them to several used car dealers. “I did the relevant background checks with the Road Transport Department (JPJ), and checked with the police and insurance companies before purchasing the cars,” he said at a press conference yesterday. Cheah said the vehicles also went through the compulsory inspection at Puspakom before the transfer of ownership was done. However, in mid-December 2009, Cheah said he received a call from a used car dealer that a car he had sold was impounded for suspected theft. “I received similar enquiries from other dealers questioning if I had sold them ‘blacklisted’ cars. “This has affected my reputation as no dealers will buy cars from me now,” lamented Cheah.

Used car dealers Choo Pow Chin, 50, and her son Lee Leong Seng, 26, said three customers who purchased a Toyota Camry, Toyota Alphard and Honda City from her in late 2009 had asked for compensation after their cars were impounded by police last week. “They accused us of tampering with the cars’ identification before selling to them. “But we had checked thoroughly with the authorities before making any purchase and everything was clear,’’ she said, adding she had dealt with the same three individuals as Cheah.

Meanwhile, Segambut MP Lim Lip Eng said he had checked with the police and was told that a man, believed to be the syndicate’s mastermind, was picked up on Tuesday night. He said police have impounded more than 50 cars since January this year. “The owners are the ones suffering the most as they still have to service their loans when their cars are impounded,’’ he said.