FADA Flags Rise of Illegal Multi-Brand 2W Outlets

Seeking Action

- NITIN KUMAR

The Federation of Automobile Dealers Associations (FADA) has raised serious concerns over the unchecked rise of illegal multi-brand outlets (MBO) in the two-wheeler market, calling them a major disruption to authorized dealership operations and a violation of existing laws.

The dealers' body has warned that these MBOs, which sell two-wheelers from multiple manufacturers under one roof without a valid trade certificate, are technically illegal under the Motor Vehicles Act. Yet their presence is growing rapidly, with over 1,000 such outlets now reportedly operating across the country, particularly in states like West Bengal and Maharashtra.