Canadian Dealer Banned for Life

In a case that has gone through several investigations, hearings, twists and turns, a British Columbia dealership has had its dealer license cancelled by the Registrar of Motor Dealers after authorities ruled the store had not only sold an unsafe vehicle, but also tried to cover up the fact that one of the store owners had previously been rejected for a salesperson’s license.
Matrix Auto Sales Ltd. of New Westminster has lost its license and is no longer allowed to sell cars to consumers. If someone buys a vehicle from the dealership, the buyer will not have protection via Motor Vehicle Sales Authority of British Columbia.
Ramin Karamali — who authorities say had obtained 75-percent ownership of the store and did not report ownership change to the VSA — was given a “lifetime ban.” Another individual at the store received a three-year license cancellation.|
The 46-page judgment from Deputy Registrar Ian Christman follows what have been several investigations and hearings into a case involving the sale of a 2006 Toyota Tundra by Matrix.
A Nelson, British Columbia, resident had purchased the Tundra for cash after seeing it advertised online. The customer had several problems with the vehicle and the dealership made several attempts to correct the issues.
However, the issues continued and a VSA complaint was filed in 2009.
Officials discovered in their investigation that the vehicle was brought into Canada from the U.S. After it had arrived in Canada, it was involved in an accident and was deemed a “total loss” by the Insurance Corp. of British Columbia.
The dealership rebuilt the vehicle after buying it as a salvage unit.
“They managed to get the Tundra inspected for compliance with the Motor Vehicle Act, licensed once again and available for resale. Subsequent investigations determined that among many areas of concern, the wheels and tires were too large for the vehicle. Ultimately, Matrix gave the customer a full refund, including certain expenses,” authorities noted.
“Of concern during the proceedings was the involvement of Ramin Karamali, previously denied a salesperson license after being convicted in Provincial Court for deceptive practices, odometer tampering, operating as an unlicensed dealership and aiding and abetting evasion of taxes,” they added.
Apparently, the dealership’s registration was in Karamali’s wife’s name (Madana Mansouri Tehrani) as well as two other individuals: Reza Mohammad Foroghi and another salesperson.
But authorities found evidence suggesting that Karamali was majority owner.
Officials noted that “evidence indicated that Karamali had acquired 75-percent equity and became the driving force within the company. The law required Matrix to report any change of ownership to the VSA, but this was not done.”
Christman’s judgment found that the store sold an unsafe vehicle and hid Karamali’s ownership on purpose, pointing to a “doctored” sales agreement as evidence of the cover-up.
“Christman imposed a ‘lifetime ban’ on Mr. Karamali and made it clear that any dealership application in the future demonstrating his involvement would be looked upon with disfavor,” officials stressed.