Wheels24

Mahindra US under legal fire

2012-06-07 07:22

ATLANTA. Georgia - Lawyers for several US automobile dealers in five US states have filed a lawsuit accusing an Indian truck manufacturer and its American counterpart of fraud, misrepresentation and conspiracy.

The lawyers say the suit was filed on Monday (June 4) in Atlanta against Mahindra & Mahindra, Ltd and Mahindra USA, Inc.

TRADE SECRETS

Michael Diaz, a lawyer for the auto dealers, says Mahindra told the dealers its light trucks and SUV's were ready for delivery to the US market but then intentionally delayed certification of the vehicles after getting dealership fees and trade secrets.

Diaz says the company then began pursuing other partners in the US and elsewhere, therefore violating its commitments.

Mahindra, in a statement on its website, said it could not comment on the lawsuit but denied all allegations of fraud, misrepresentation and conspiracy.

AP