Logistic / Handling Charges By Dealers Are Illegal

[Akash1886]

Re: My fight for illegal handling charges

Sir, members like you set the right example with the honest efforts for the entire community of automobile enthusiasts. A Big Thanks to Tata Motors for taking prompt action after receiving your concern and directing the concerned dealer to refund the charges to you. Ethics at it's best I would say. Thanks a lot for sharing your valuable experience with us all.

All the best for your car ownership

Regards

Akash

 

[AbhisekVerma]

Removal of Handling charges from Suzuki Gixxer SF

Hi, I am interested to buy Suzuki Gixxer SF FI ABS but the dealer in Sarjapur Road, Kaikondrahalli, 9 Star Suzuki is asking 1200/ as handling charges. Although a couple of dealers I called agreed to waive it off or reduce it to a minimum, they are quite far away from home. I have requested the same Kaikondrahalli dealer to reduce the Handling charges and he asked me to wait for a day to confirm with his GM. Suzuki customer care registered a complaint but didn't act accordingly. I have had much better experience with Tata customer care in comparison. Any pointers how shall I take it forward?

 

[Akash1886]

Re: Removal of Handling charges from Suzuki Gixxer SF

Hi, I am interested to buy Suzuki Gixxer SF FI ABS but the dealer in Sarjapur Road, Kaikondrahalli, 9 Star Suzuki is asking 1200/ as handling charges. Although a couple of dealers I called agreed to waive it off or reduce it to a minimum, they are quite far away from home. I have requested the same Kaikondrahalli dealer to reduce the Handling charges and he asked me to wait for a day to confirm with his GM. Suzuki customer care registered a complaint but didn't act accordingly. I have had much better experience with Tata customer care in comparison. Any pointers how shall I take it forward?

Show them this attached pic and I am sure they'll remove the entire value. Under no circumstance, the handling charges are to be charged by dealer and paid by buyer.

​

Regards

Akash

 

[AbhisekVerma]

Re: Removal of Handling charges from Suzuki Gixxer SF

Show them this attached pic and I am sure they'll remove the entire value. Under no circumstance, the handling charges are to be charged by dealer and paid by buyer.

View attachment 242077​

Regards

Akash

I told them about the Supreme Court order then the executive even went so far to say that this law does not abide them. One other Dealer said that this is taken for paying bribe to RTO. If I show them this attachment then they would certainly say that this is for Delhi only.

 

[Akash1886]

Re: Removal of Handling charges from Suzuki Gixxer SF

I told them about the Supreme Court order then the executive even went so far to say that this law does not abide them. One other Dealer said that this is taken for paying bribe to RTO. If I show them this attachment then they would certainly say that this is for Delhi only.

The underlined part, this statement is utterly irresponsible on dealer's / SA's part. I think then the other way out is getting the bike registered by yourself through RTO. It will take a bit of time and effort but you'll not pay anything that's illegal. Apart from this you may get in touch with the RTO Office to know the process and actual charges involved for registering the bike. If you still want to go with the dealer's process, suggest you to ask the SA to provide you a duly stamped receipt for the handling charges that he is charging on the dealer's letterhead. Later on, if you feel like, you may raise your concern in the consumer forums.

Regards

Akash

 

[AbhisekVerma]

Re: Removal of Handling charges from Suzuki Gixxer SF

The underlined part, this statement is utterly irresponsible on dealer's / SA's part. I think then the other way out is getting the bike registered by yourself through RTO. It will take a bit of time and effort but you'll not pay anything that's illegal. Apart from this you may get in touch with the RTO Office to know the process and actual charges involved for registering the bike. If you still want to go with the dealer's process, suggest you to ask the SA to provide you a duly stamped receipt for the handling charges that he is charging on the dealer's letterhead. Later on, if you feel like, you may raise your concern in the consumer forums.
SA said he would provide a receipt for handling charges as well.

Regards

Akash

Knowing BBMP (Bangalore Muncipality) and RTO I suppose doing it by myself is also going to be a hassle and without paying bribe and not being a localite doing is very much a pain. Another issue is that the RTOs are atleast 15kms from my home so running there is going to be a big job for me as Mon-Sat I have office.

 

[Akash1886]

Re: Removal of Handling charges from Suzuki Gixxer SF

Knowing BBMP (Bangalore Muncipality) and RTO I suppose doing it by myself is also going to be a hassle and without paying bribe and not being a localite doing is very much a pain. Another issue is that the RTOs are atleast 15kms from my home so running there is going to be a big job for me as Mon-Sat I have office.

Then as mentioned in my above post, take a duly signed & stamped receipt from Dealer of these illegal 1200 bucks you'll pay and then if you feel fine then raise it with authorities later on.

Regards

Akash

 

[vikyjoshi]

MycarHelpline has reported that Tata motors have waived off Handling charges across all the vehicles effective 10th Aug 2020. Hope other OEMS too follow this suit.

 

[bitanshudas]

MycarHelpline has reported that Tata motors have waived off Handling charges across all the vehicles effective 10th Aug 2020. Hope other OEMS too follow this suit.

They removed the Handling fees of 9500 and increased the prices of the models by 15000

 

[vikyjoshi]

They removed the Handling fees of 9500 and increased the prices of the models by 15000

Oh, is that so? Well it can be argued that they would increase the cost of vehicle gradually. but then looking at the amount, 15000 is 10K to Dealers and 5K to company voila everyone happy,, Dealers , company and customer (coz he doesn't have to pay for logistic charges.

 

[bitanshudas]

Yeah. I had booked the vehic

Oh, is that so? Well it can be argued that they would increase the cost of vehicle gradually. but then looking at the amount, 15000 is 10K to Dealers and 5K to company voila everyone happy,, Dealers , company and customer (coz he doesn't have to pay for logistic charges.

I had booked Tata Nexon on 9th Aug. The ex showroom price for the model was 10.4 and 9500 Rs logistics fee was added in the final on road price. On 10th Aug I received call from the sales representative saying that TATA had hiked prices for the models and sent me the updated. list. The ex showroom price was now 10.545 and there was no logistics feed that was added.

 

[allhyundaicars]

Oh, is that so? Well it can be argued that they would increase the cost of vehicle gradually. but then looking at the amount, 15000 is 10K to Dealers and 5K to company voila everyone happy,, Dealers , company and customer (coz he doesn't have to pay for logistic charges.

You will just say about anything to save Tata. You don't see the extra amount the customer has to pay ?

Let's tax people all their wealth so that they don't have to pay for anything ? Government should start charging 1 lakh for hatchbacks so customer doesn't have to pay for registration charges.

 

[rajanysvv]

Update on my case regarding "Illegal Handling or Logistic charges by Dealers"

Nov 2014 Booked a Scorpio from Koncept Mahindra, Lajpat Nagar, Delhi
Dec 2014 Vehicle arrived and told to pay the balances of payments.
Objected to the Illegal handling/logistic charges of Rs 7500, Dealer said this was a valid charge as per a positive court order in favor of them.
Jan 2015 Vehicle delivered but unconvinced of the illegal charges wrote to Mahindra who forwarded my issue back to dealer. They produced a court order but upon reading the content it was a irrelevant order to my cause.
Wrote back to Mahindra but no solution as they supported the Dealer.
Now turned to the Delhi Transport Dept but no respite as they directed me to an RTO out of Jurisdiction, The MLO heard my complaint verbally and said he will look into it.Further follow up resulted in no result.
May 2016 filed a case in the Delhi Consumer Forum against Mahindra and Koncept Automobiles, what normally would be a 2-3 year time period turned out to 6 long years due to Covid and Delhi Govt's Non appointment of Members/President to the Quorum.
During the case Mahindra dusted itself off from any responsibility as it stated that this is btw the Customer and Dealer and have received any part or share of these charges and also acknowledged that these charges are illegal in nature.
Dealer produced a letter written by Mahindra which was vaguely acknowledging that its aware of dealers collecting such charges and to address the RTO
Mahindra later issued a notification advising all dealers pan India to stop collecting such illegal handling/logistic charges


June 2022 The case was completed and orders issued as follows:-
Dealer to return Rs 7500 with 9% interest from date of invoice
Dealer to pay Rs 2 lakh as compensation or penalty for mis leading the Forum that Mahindra allowed them to collect these charges (within 2 months from order else a interest of 10% till realization)
Mahindra may also consider for cancellation of its dealership of its products as Koncept Mahindra has tried to put blame on the manufacturer.
The Transport Dept, Govt of Delhi has to take necessary action against the Dealer for undue charges.

Its been around 40 days so far and no response from Mahindra or Dealer, so what should i do hereon, any suggestions or advice

 

[rajanysvv]

Also observed in majority of cases either one of the party would be absent leading to further dates resulting in longer tenures for case resolutions, inspite of all the difficulties found the Forum to be very friendly and patient enough to hear all parties to a case.

Special thanks to friend and Supreme and High Court Lawyer Mr Abhinav Jain for helping out with the formalities of filing and proceedings during the case.

any suggestions or advice on the below 2 parts:-

Part 1

If in case the Dealer does not appeal at the State Commission;

1. Will the refund be made directly to me or through court?
2. Is the compensation payable to me or payable to court as penalty as in Order pronounced as Compensation or penalty?

3. Will Mahindra stand to ethics and look to cancel the dealership? How will I know what action has been taken?

4. The RTO has not been a party to case and do not know wether an order copy has been forwarded to them, so is it my duty to inform them?



Part 2

In case the Dealer does not adhere to the court order within the stipulated time should I approach a civil court for execution of the order or should i go back to the same District Consumer Redressal Forum for future course of action?