Vehicle importers threaten to sue Feds

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A BREAKDOWN in a government department computer is at the centre of a ballooning dispute and potential legal action against that department over a freeze on imported vehicles.

In a tit-for-tat play, the Department of Infrastructure, Transport, Regional Development and Communications said the freeze has been caused by importers who it said had breached their vehicle limits.

Businesses are allowed a maximum of 100 vehicles a year under the scheme and must apply using the department’s online “ROVER” application form for approval to import a road vehicle. ROVER is the department’s online system that manages all applications and approvals.

It found limits had been exceeded after visits to some of its 107 national vehicle compliance workshops and noted vehicle numbers were well above that allowed.

It has also admitted that there was a computer failure in its department at some point and when rectified, showed imported vehicle numbers were above the legislated limit.

Importers may or may not have been aware of the computer hiccup and accelerated the number of cars being imported.

The department considers the breach of the limits are the fault of the importers and consequently froze the vehicles’ compliance – which follows the Australian Design Rules for vehicles and allows the vehicle to be licensed – until it sorts through all the imported vehicles.

This has caused a backlog of about 1000 vehicles as the department works through the list, leading to a delay in the delivery of vehicles to their owners by many months.

The associations and individuals who have a car waiting to be delivered are furious.

The Australian Imported Motor Vehicle Industry Association (AIMVIA) says it is taking legal action against the department, seeking compensation for owners – and importers – for delaying the vehicles.

The vehicles include specialist vehicles that are not available in Australia, such as the purpose-built units for the disabled, many of which are made by major car-makers in Japan.

AIMVIA member Kristian Appelt told GoAutoNews Premium that owners and importer businesses have lost money because of the delay.

He said many vehicle importers were small businesses, generally run by families, and the delays are costing them their livelihood.

He said unless the department moves quickly, these businesses may close as soon as within the next few months, while many customers may be left without their vehicle.

“While obviously the workshops are being impacted, AIMVIA’s concern is how these roadblocks affect consumers,” he said.

“These people have purchased and imported cars in good faith believing they would have them on the road in a timely manner.

“With disruptions to supply chains and logistics affecting both new and used vehicles, the last thing buyers need is being tied up by unnecessary red tape.”

GoAutoNews Premium has contacted the department and is awaiting a response.

By Neil Dowling

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