Car Importer Carasso Motors Fined Over 11.5 Million Shekels for Parallel Import Service Failures

The Israeli Competition Authority announced that Carasso Motors will pay over 11.5 million shekels following an investigation into difficulties faced by owners of parallel imported vehicles seeking service at Carasso's authorized garages. The authority found that Carasso Motors required these owners to present original warranty certificates even though the company often already had this information in its systems, creating unnecessary barriers to service.

As part of a draft consent order published for public comment, Carasso Motors agreed to pay the fine and implement measures to ease service access for parallel import vehicle owners. These measures include allowing vehicle registration in advance at authorized garages to facilitate quicker and simpler service.

Parallel import refers to vehicles purchased through importers other than the brand's official importer in Israel. Israeli law mandates that official importers must provide service to such vehicles without undue obstacles. This case marks the fifth enforcement action since amendments to the Competition Law aimed at preventing official importers from hindering parallel imports and promoting market competition.