LTSA reviewing systems after Japan recall missed

1.00pm

The Land Transport Safety Authority (LTSA) has denied it failed by not picking up on a recall of Mitsubishi Galant and Legnum cars in Japan more than a year ago.

However, the authority said today it would re-examine how it gets information on vehicle recalls from overseas.

The LTSA is trying to contact the registered owners of 343 imported Galant and Legnum VR4 automatic used cars made in 1996 and 1997.

They were only yesterday ordered off New Zealand roads due to a manufacturing fault in the brake system.

It followed an incident reported by Mitsubishi Motors New Zealand in which a driver was unable to stop at a red light in Auckland, and was lucky to avoid hitting other vehicles.

LTSA director David Wright said today Mitsubishi in Japan had not properly informed overseas authorities of the recall.

"This is the first instance that we are aware of where it appears that if we cannot rely on what (manufacturers) are advising us, then we will have to look at alternative situations," Mr Wright said.

"We are having discussions with the Ministry of Foreign Affairs and Trade to set up a system that identifies these issues."

Mitsubishi Motors NZ told the LTSA on Monday there was a serious problem with imported used Galants.

The LTSA's current system relied on vehicle manufacturers to advise it of safety defects, Mr Wright said.

"We were not made aware of the recall (in Japan) by Mitsubishi Motors NZ.

"My understanding is that Mitsubishi Motors NZ were also not aware of it."

A "vast number" of problems with Mitsubishi vehicles had not been advised as safety defects by the company in Japan and the information had not been on any database, he told National Radio.

"Once we have coped with the current crop of defects that are becoming known, then we will look at what else needs to be done."

The Motor Trade Association (MTA) said today the cost of fixing the brake fault would be between $600 and $700 for a 12-hour job.

Mitsubishi Motors NZ has promised to pay for the parts but only consumers who bought the cars from a Mitsubishi dealer would have labour costs paid by the company.

Mitsubishi Motors NZ spokesman John Leighton said today the company did not initially know the 343 cars were in New Zealand.

"We didn't even know they had come here, nor did Mitsubishi in Japan. When we found there was a problem, we had to go to the Land Transport Registry Office, get a complete list of all the vehicles in New Zealand, send the list to Japan and have them tell us which ones had been recalled," he said.

Mitsubishi NZ would supply more than $3000 worth of parts for the repairs.

"We did not import these vehicles to New Zealand...people who imported them and took the margin have to take some responsibility."

Mr Leighton confirmed Mitsubishi in Japan made the initial recall on the cars "some time ago", and only agreed to reopen it and make a new batch of replacement parts after the cars were discovered to be in New Zealand.

The Independent Motor Vehicle Dealers Association, which represents used vehicle importers, said its members would pay up for the repairs as owners brought back cars, according to current consumer law.

"I can give a categoric assurance that consumers who have purchased these vehicles won't be inconvenienced or put out of pocket," chief executive officer David Vinsen told National Radio.

However, the association believed Mitsubishi should then reimburse dealers, he said.

"When there's a design or manufacturing defect...that can't be ascertained at the time of purchase...they should morally and ethically pick up the bill."

Mitsubishi in Japan recalled about 10,000 vehicles without telling its New Zealand subsidiary.

Mitsubishi Motors New Zealand spokesman Philip Dinniss said yesterday the parent company issued a recall notice for 12,000 vehicles but assumed the missing 2000 vehicles were in wreckers' yards.

In a separate recall, of 843 used-import Mitsubishi Fuso vehicles, 16 trucks and a bus have also so far been ordered off the road since Friday after failing inspections of their front-wheel hubs.

Clutch repairs will also be needed by about 380 of the recalled trucks, and 20 which were imported new by Mitsubishi.

The Motor Industry Association (MIA), which represents car manufacturers in New Zealand, has proposed that its website become a central point for consumers seeking car alert information.

Unlike Australia, Canada and the United States, there is no internet-based car recall information point for New Zealanders, and the LTSA's current system was "hit-and-miss", MTA chief executive Stephen Matthews said.

- NZPA