Man banned from car hire industry

The owner of an Australian car rental firm has been banned from running a car hire business for two-and-a-half years.

Over 100 complaints had been received by the Office of Fair Trading about Abel Rent a Car and launched actions against the owners Nathan and Stephen Conn.

The Supreme Court banned Nathan Conn on Thursday, and alterations were ordered to the Abel Rent a Car vehicle hire contracts to prevent other customers from being ripped off.

Peter Lawlor, Minister of Fair Trading said the changes to the car hire contracts had included a cap on deductions made to consumers’ credit cards in the event of an accident.

He went on to say that after the Department of Fair Trading’s exhaustive investigations, a great outcome was achieved and a message has been sent that misleading and deceptive business practices would not be tolerated.

He also said complaints received about the business included unauthorised deductions on credit cards and disagreements regarding insurance liability.

A further Office of Fair Trading hearing next year will seek to have compensation paid to customers who have made complaints about Abel, according to a statement from Mr Lawlor.

The investigation conducted by the Office of Trading found that Abel Rent A Car did not hold an insurance policy over its vehicles, which left some car hirers in situations without protection.

Insurance policies have been taken out by the company since legal proceedings commenced.

Legal action against Stephen Conn has not yet been finalised.