HomeCar NewsKia Dealer Delivers Old Seltos Model - Fined Rs 16 Lakh

Kia Dealer Delivers Old Seltos Model – Fined Rs 16 Lakh

Slow, multi-stage judicial process and mild penalty are reasons why there is hardly any fear of law among people who indulge in unfair trade practices

New Kia Seltos Model
New Kia Seltos. Image for representation purpose.

Cases of users not getting the desired services from car dealerships are quite common. Things become even more problematic, when there’s blatant violation of trust that users have in top brands.

A recent case involves a Kia Seltos owner, who was allegedly delivered an older model by the dealer Nagashanti KIA (Hubballi, Karnataka). The District Consumer Grievances Redressal Forum has found the allegations to be true and passed its order accordingly in favour of the Seltos owner.

Kia Seltos old model delivered

On May 28, 2020, Nagaraj Patil had booked Kia Seltos HTK+G Smartstream 1.5 litre petrol car with Facelift+ Muffler Bumper. Delivery was made on July 02, 2020 and there were no problems reported by the owner. The owner even got his first service done at the dealership.

However, after around a month’s time, the owner felt suspicious. After searching on the internet, he came to know that the car delivered to him was the old Seltos HTK+ 1.5 model and not the new model that was officially launched on June 02, 2020.

Seltos owner files case against Kia India dealer
Seltos owner files case against Kia India dealer

Subsequently, the owner got in touch with the dealer and requested for a replacement. Initially, there were assurances that the matter will be investigated and a resolution will be provided. However, the dealer later refused to replace the vehicle. They made some offers such as extended warranty worth Rs 23,000 and equipping the car with the same features, as available with the new model. However, the owner insisted on a replacement, which was denied by the dealer. That’s when the owner decided to approach the District Consumer Forum.

Consumer forum order – Kia dealer fined Rs 16 lakh

After listening to both parties, the District Consumer Forum has ruled in favour of the complainant. The following points were noted by the consumer forum, which indicate unfair trade practices and deficiency in services on part of the Kia dealer.


  1. Receipt of the booking amount does not mention the model booked. The dealer could not provide any document that could prove that the customer had booked the old model. According to the owner, a verbal assurance was given to him that he will be getting the new model.

  3. As the new model was officially launched just 5 days after booking, it will be natural human tendency to choose the newer model.

  5. Old model was readily available with the dealer, so why customer was made to wait for more than a month to get delivery.

  7. It is normal practise for dealers to accept unofficial bookings, even before official launch of a new model.

  9. Telephonic conversations recorded by the complainant reveal that the dealership staff had initially accepted their mistake.

The consumer forum has provided the following options to the dealership, as a means to compensate the Kia Seltos owner.


  1. Take back the old model and deliver the new model, as the complainant had mentioned.

  3. If a new model is not available, deliver another new variant that the complainant may choose. Any additional amount applicable on the new variant can be taken from the complainant.

  5. Refund the entire amount of Rs 14,85,110 with 8% interest per annum, applicable from date of delivery till final payment date

Additionally, the dealer has been directed to pay Rs 1 lakh to the complainant for inconvenience and mental agony, along with litigation cost of Rs 10,000.

Consumer Court order
Consumer Court order

This case again highlights the importance of conducting a thorough pre-delivery inspection (PDI). It can help rectify mistakes and omissions at an early stage. And avoid the tiring process of fighting court battles. Government should also do its bit by introducing new laws with stricter punishment for entities that intentionally cheat customers.

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