Govt May Take Action Against Maruti For Unfair Trade Practice


MUMBAI: Be it any car company, the usual practice that everyone follows is first display the car in the showroom along with it price and features. But the popularly known Maruti Suzuki has adapted something new. They have started taking orders for the new mid-size sedan Ciaz even before publicly displaying the car or revealing its technical specifications or price. Hence, the consumer affairs ministry is taking into account a legal action against Maruti Suzuki reports ETAuto.com.

The recent move is followed by a complaint filed by former Railways Minister and MP Dinesh Trivedi, who claimed to have received many complaints from the public about the company taking pre-launch booking. According to the ministry what Maruti Suzuki one of the largest units of Japanese auto maker Suzuki Motor has done is called as an unfair trade practice.

The government move is likely to have a wide-ranging impact, as other carmakers also adopt similar marketing strategies to rustle up interest in new products.

It called the company's response to Trivedi as unacceptable. According to Trivedi, a Maruti executive had responded to his complaint by informing him that the customers had the option of considering newspaper reviews and not booking the car. The ministry has asked the company to provide complete details of the pre-launch booking programme, and explain why action under the Consumer Protection Act, 1986, such as filing a suit by the central government should not be taken.