Failing to display Supplier Information Notices on used vehicles cost Ladies Mile Cars Limited and its Director Mr Sam Alsabiry $3,140 following a hearing in the Auckland District Court.

Supplier Information Notices (known as SIN cards) must be displayed on used motor vehicles offered for sale. The SIN card shows important information about the motor vehicle, such as the car's cash price, age and odometer reading, together with the trader's registration number.

The case is the first ever prosecution for failure to display SIN cards.

The court also found that Mr Alsabiry attempted to deceive the Commission in the course of its investigation.

Mr Alsabiry admitted to the court that he had not placed SIN cards on any of the used motor vehicles offered for sale during January and September 2004, and pleaded guilty to four charges of failing to display the cards.

As well as displaying the cards, the Consumer Information Standards (Used Motor Vehicles) Regulations 2003 also require the trader to provide a copy of the SIN card to the purchaser, and retain a copy signed by the purchaser to prove they have seen the card.

Mr Alsabiry had not provided the cards to purchasers. Once the Commission's investigation started, he created false paperwork to try and convince investigators that purchasers had received and signed a copy of the SIN card. He sent his customers SIN cards created after the fact, and backdated forms for them to sign.

"These cards were made mandatory because buyers of second-hand cars have a right to know important facts about the car they're looking at," said the Commission's Director of Fair Trading, Deborah Battell.

"Not only did Mr Alsabiry fail to give buyers the information they are entitled to, he aggravated his offence by faking paperwork after the event."

"The Commission's message to used car dealers is simple," Ms Battell said. "Be honest and upfront - with your customers and with us"

An extensive information campaign has been run since the regulations were introduced in December 2003, and the Commission has made numerous visits to car yards throughout the country to inform traders of their obligations.

The conviction of Mr Alsabiry should alert all dealers that the regulations were being enforced and must be complied with, Ms Battell said.