Home Car News Jeep Compass dealer gets Suspension Order over Handling Charges

Jeep Compass dealer gets Suspension Order over Handling Charges

Jeep India Guwahati dealer Mahesh Motors has been accused of charging extra for a Compass in the name of ‘registration handling’ and ‘depot charges’

Guwahati, Assam: The Deputy Commissioner of Transport, Assam has suspended the trade certificate of Mahesh Motors Private Limited, a dealer partner of FCA India’s Jeep brand located by R G Baruah Road, Guwahati. Apparently, the Jeep dealership was accused of charging a ‘Compass’ customer an unreasonable amount in the name of ‘registration handling’ and ‘depot charges’. The suspension notice was issued on 27 May 2020.

As per an official enquiry, the director of the dealership had apologised for wrongly mentioning ‘logistics or handling charges’ as ‘registration or depot charges’. It was stated that the charges reflected on the price chart due to a slight error from the computer operator’s side. The enquiry report dates back to February 17, three days after the vehicle’s delivery.

Under the direction from the Deputy Commissioner of Transport, the Jeep dealership was prohibited from making any sales with immediate effect from the date of receiving the notice. The action was taken in accordance with Section 44 of Central Motor Vehicles Rules, 1989. Upon receiving this piece of information, RushLane tried to contact Mahesh Motors Private Limited regarding its validity. However, the call did not yield any response.

Jeep Compass handling charges
Suspension order. Source – DriveUp

Having consulted with the owner of the Jeep Compass in question, we could understand that the dealership in Northeastern India failed to give a satisfactory customer experience during the entire buying process. The SUV was delivered on February 14 after “a good altercation with the sales team and General Manager”. Owing to the poor service and lack of professionalism from the staff, the owner (who wishes to keep his name private) was even tempted to cancel the deal and book a Volkswagen Tiguan.

Apparently, he paid the standard booking amount of Rs 50,000 before the ex-showroom price of Rs 24.49 lakh. For floor mats, mudguards, insurance and registration, he was charged another Rs 2,00,678. The owner opted not to pay for FASTag and ‘handling’ while an insurance coverage worth Rs 77,631 was secured on his own.

The dealership returned only Rs 9,013 for procuring insurance from an external agency. In total, the Jeep Compass cost him Rs 27,68,296 without a reasonable briefing. Furthermore, the unjustified handling charges were listed effective from February 15 (the day following delivery).

Over the years, there have been several instances of dealership wrongdoings. A good majority of it revolves around hidden or make-believe charges like in this case. We insist potential buyers be careful or at least have an expert opinion while making secondary payments such as registration, insurance, warranty, service packages, etc.

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