PACP cracks down on a company selling used parts as new

Muscat: The Public Authority for Consumer Protection (PACP) in cooperation with the Public Prosecution and the Royal Oman Police, cracked down on a commercial establishment involved in the re-making of spare parts and selling them as new to some 35 institutions in the Sultanate including big oil companies.

Disclosing details about the case, Al Fadl bin Naseer al Yahmadi, Acting Director of Commercial Fraud Department said: “PACP received information of a company involved in manufacturing and selling fake spare parts, metal products, machinery and other equipment used in construction, civil engineering, oil and heavy equipment.

“Our investigations – extending over three weeks – resulted in the detention of 40 workers belonging to various nationalities who were found working in breach of stipulated health and safety requirements,” the official stated.

The workers were found to be repurposing and refurbishing used pieces of equipment and spares and offering them to unsuspecting companies as new pieces.  Serial numbers were filed away and other identifying marks were painted over in order to hoodwink customers into believing that the goods were brand new.  A number of workers confessed to their part in the fraud, which was perpetrated for over three years, Al Yahmadi said.

“While the workers were arrested, a variety of machine parts and equipment on site were seized.  Furthermore, some of the workers were found to be in violation of the Omani Labour Law.  The case has been handed over to Public Prosecution for further action,” Al Yahmadi stated.

According to Omar bin Faisal al Jahdhami, PACP Vice Chairman for Consumer Services and Market Control, said that “The company’s actions contravene Article (7) of the Consumer Protection Law issued via Royal Decree No. 66/2014, which penalizes any trade or promotion of counterfeit or corrupt goods. Accordingly, PACP has initiated legal action against the company.”