Car company fined for selling defective vehicle

The district consumer disputes redressal forum, north Chennai, has slapped a fine of 55,000 on Volkswagen India and its authorised dealer for causing mental agony to a customer by not accepting responsibility for selling a car with a manufacturing defect and instead of blaming him for rash driving and causing accidental damage to the car.
 
According to S G Ramesh Kumar of Chinmaya Nagar, he purchased a Volkswagen car from Abra Motors at Anna Nagar on April 19, 2012. Eight months later, he noticed oil-leakage in the display board of the car. He contacted the toll-free number, following which Abra Motors towed the car to its service station. Kumar visited the service station where he was informed the oil sump was leaking. After consultations with the service advisor, Kumar received a message on January 10, 2013, that the insurance surveyor had, after inspection, declined insurance. The service manager told him that the car model was being modified and he had to bear 50% of the cost - around 2 lakh - for the repairs. He then issued a legal notice demanding that the engine be replaced along with the oil sump. As the notice went unreplied, Kumar filed a complaint against Volkswagen India Pvt Ltd, Pune, Volkswagen Group Sales India Pvt Ltd, Mumbai and Abra Motors, Chennai, seeking a direction to the trio to replace the engine and the oil sump along with a compensation for suffering mental agony.
 
In its counter, Volkswagen India Pvt Ltd, Pune, said there was "no cause of action" against it as the company had "assigned its entire rights and claims in favour of Volkswagen Group Sales India Pvt Ltd" - the authorised dealer for direct sales of cars to customers. The group sales company said it dealt with marketing, sales and servicing of Volkswagen vehicles through its dealers.The car had accidental damage, not a manufacturing defect, which was outside the ambit of warranty.
 
Fixing negligence on Kumar, Abra motors said his car had hit a boulder and damaged the oil sump. He then drove the vehicle without sufficient oil, which resulted in 'engine cease.' 
 
A bench said there was no proof on behalf of the three parties that the car suffered accidental damage afer it hit a boulder while being driven in a rash manner. "They have taken a stand ...and are bound to prove the same." In the absence of evidence for accidental damage, there was the "irresistible conclusion" that the engine got damaged because of manufacturing defect. But, as Abra Motors was only a dealer/service provider, it had to absolved from deficiency in services, said the bench.
 
It directed Volkswagen India and its group sales company to pay 50,000 as compensation for causing mental agony along with 5,000 as litigation expenses. Both had also to provide for a new engine and oil sump, the bench said.

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