Bengaluru: Illegal ‘handling charges’ levied by auto dealers in the jurisdiction of Transport Departments of Delhi, Kerala and Telangana are currently under the scanner, the (Regional Transport) RTO, authorities in Bengaluru seem to be sleeping over the issue.
Despite the Supreme Court, in one of its observations, terming this particular charge illegal, this ‘standard practice’ by dealers continues unabated.
Members of an NGO, Drive Without Borders, have sent a representation and a follow-up representation pertaining to the issue to the city transport department, but have not received any response so far.
Out of every vehicle brand sold in the city, auto dealers charge customers between Rs 5000-30,000 in the case of four-wheelers and Rs 2000-5000 in the case of two-wheelers -- as handling or logistic or incidental charges.
Subsequently, the NGO has started an online petition with its website change.org urging the Union Transport Minister, to put a stop to handling charges, but they are now deciding to approach the High Court of Karnataka as well as the National Consumer Forum.
Memon, a member of the NGO, said, “These charges are not part of the price of the vehicle. They are neither authorized by the manufacturer nor by the transport department. This collection is not sanctioned by any law. These charges are illegally collected by dealers to enrich themselves at the cost of gullible customers.”
DC, managed to get to proforma invoices from five dealers across the city that reveal customers are blissfully and unwittingly paying staggering prices for their vehicles.
Tafe Access Limited, located at St. Marks Road, stated that for a Skoda Rapid style-plus, apart from insurance, drive assure economy, essential kit, road tax, one has to pay Rs 10,000 as handling charges.
At Shahwar Motices Pvt Limited located at Kasturba Road, for a Nissan Terrano, the handling charge is Rs 8000, at Trident Automobiles at Sankey Road the handling charge is Rs 11,000. Again at Nandini Toyota at Museum Road, the charge is Rs 6000 and last but definitely not the least, at Renault Whitefield at KR Puram, for a Duster one has to shell out Rs 7000 more.
Meanwhile, the transport departments of Delhi, Kerala and Telangana have issued a public notice to all dealers and have sent circulars to the public warning them that these erring dealers will be booked and their trade licenses cancelled if they continue to fleece customers.
Officials from Maruti Suzuki said, that handling/logistics charges are not allowed. They have apparently requested their dealers to stop charging the fee, while, officials from Skoda and Hyundai have said that these charges are allowed as per company norms.
