A Timaru man has been fined $10,000 after selling 40 cars while being banned from doing so.
Kenneth James Michael Cumming was sentenced at the Timaru District Court last week, after he pleaded guilty to charges of participating in motor vehicle trading while banned.
It was the second time Cumming had been prosecuted for unlawful trading. He had previously ignored a five-year ban imposed in 2021 for selling 38 vehicles illegally.
While banned, Cumming continued to trade vehicles, selling 19 in 2022, eight in 2023 and 13 in 2024 – which was more than six times the legal limit for unregistered traders.
An investigation into Cumming was launched by the Ministry of Business, Innovation and Employment after an anonymous complaint was made about large-scale sales on Facebook Marketplace.
The ministry sent a compliance letter to Cumming in March 2025, which he ignored.
He was then charged and pleaded guilty. On October 9, he was ordered to pay a $10,000 fine.
“While the court acknowledged that a higher penalty would ordinarily be warranted given the seriousness of Mr Cumming’s repeat offending, the final amount was ordered in consideration of his personal circumstances,” an MBIE spokesperson said.
Jyoti Issar, investigations manager, occupational regulation at MBIE said the ministry had observed a “concerning increase” in unregistered trading, particularly online.
Issar said illegal trading “puts consumers at risk and damages the reputation of legitimate traders”.
“The Motor Vehicle Sales Act has certain provisions to safeguard the public when they purchase a motor vehicle, and offers consumers greater protection when they purchase a car from a registered motor trader.
“Unregistered traders undermine consumer trust and the integrity of the motor vehicle industry. When you buy from an unregistered motor vehicle trader you are not able to settle any issues via the Motor Vehicle Disputes Tribunal.
Issar said the case “sends a clear message that repeated offending will not be tolerated, and significant penalties will apply to those who ignore the law”.
