Two car sales businessmen and their firm are facing sentencing and a financial probe after admitting misleading motorists about their consumer rights.
Firm Rockbank Motors Ltd, which runs Peter Ashton Car Sales at Southgate Works, Southgate, Preston, and Eccles Hill Motors, Lower Eccleshill Road, in Darwen, entered guilty pleas to seven offences relating to unfair commercial practice.
The allegations relate to misleading statements and paperwork given to customers.
Preston Magistrates’ Court heard how the garages gave consumers paperwork headed “spares/repairs invoice” which was likely to deceive them.
They also issued invoices to customers which claimed any car returned to them would incur a “£395 restocking charge”, Lancashire Trading Standards found.
Directors Mubasshar Azam, 47, of Meins Croft, Blackburn, and Amar Ahmed, 33, of Arran Braeside, Blackburn, admitted four charges each.
But further charges relating to untrue verbal statements as to the condition of vehicles such as “a good runner”, “a good car”, “good working order”, “mechanically sound” or “would last at least a year” were withdrawn.
The men and the firm will now appear before Preston Crown Court for sentencing on October 13.
It is expected a Proceeds of Crime Act hearing will take place.