KUALA LUMPUR: Unscrupulous repossession syndicates are misusing police reports to inflate the prices of repossessed vehicles and assure prospective buyers that the vehicles may be used without much trouble from the authorities.
NST Focus came across many advertisements on social media, one of which read: "2018 Perodua Myvi Gen3 1.5 (automatic) complete with a copy of its registration, (owner's) identification card, report serah (police report) and valid road tax. The car in good condition.
"Selling for RM15,800 nett."
Industry insiders said that filing a report was a standard procedure for repossessors when they wanted to recover vehicles of loan defaulters.
The report, meant for the bank's reference, would include details such as the time and location of repossession, as well as the storage facility where the vehicle would be kept in.
However, these syndicates would demand loan defaulters to lodge reports, using their own template that contained, among others, a waiver of control over the vehicle and responsibility over future summonses incurred.
NST Focus sighted a copy of such a report lodged by an owner under the instruction of these syndicates.
The report read: "On 07/02/2023 around 1900 hours, I, as the owner of the Toyota Hilux plate number VHKxxxx, surrendered the car to a man named "xxx " for his continued use.
"I will not be held responsible for any summonses issued after the handover. I filed this police report for my safety and the car's protection. That's all," the report read.
Apart from these reports, buyers of kereta jalan terus (JT), kereta piang or kereta logo would also receive copies of the vehicle's registration and owner's identification card, either in original or carbon copy.
A repossessor who was previously involved in this illicit trade said vehicles without proper documents were sold at even lower prices.
"They want the police logo (from the report) because it will help inflate the vehicle price.
"Without documents, the price of a kereta JT could be around RM5,000, but with the report and a copy of the owner's identification card, the price could double to RM10,000 as it gives buyers a sense of security," the agent said.
"Road tax insurance can be renewed at any post office and the Road Transport Department as usual.
"Buyers are advised to opt for first-party insurance and all-rider coverage to facilitate insurance claims in case of accidents," the agent said.
