ODOMETER FRAUD ENFORCEMENT

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SYNOPSISODOMETER FRAUD ENFORCEMENTSUMMARY: NHTSA is continuing its effort to support state agency enforcement of odometer fraud through Cooperative Agreements. NHTSA’s Office of Odometer Fraud Investigation (OFI) is inviting state enforcement agencies to participate in an odometer fraud enforcement initiative. Available funding may be divided among successful applicants and up to four awards may be made under this request for application. Odometer tampering is a serious crime and consumer fraud issue. In an April 2002 study, NHTSA determined that this crime costs American car buyers approximately a billion dollars each year. New car prices coupled with the increased demand for late model, low mileage used cars, has made odometer fraud more profitable than ever.BACKGROUND: Public Law 103-272, 49 U.S.C. Chapter 327, formerly the Motor Vehicle Information and Cost Savings Act, prohibits tampering with odometers to protect vehicle buyers from the practice of concealing a vehicle’s true mileage by turning back or disconnecting the odometer. The law also requires that a written disclosure of the vehicle mileage be provided each time transfer of ownership occurs. The law recognizes that mileage is an important indicator of a vehicle’s condition and value. Odometer tampering is a widespread nationwide deception. NHTSA estimates the annual cost of odometer fraud to consumers to be a billion dollars annually. Enforcement officials share the belief that an effective odometer fraud enforcement program can have a significant impact on reducing the incidents of odometer fraud and its impact on consumers. This can be done through cooperation with various state, local, and federal enforcement and regulatory agencies. Typical governmental entities that work in cooperation with NHTSA are state and county motor vehicle tilting agencies, state public safety and consumer protection agencies, state tax and revenue agencies, local, state, and federal law enforcement agencies. The State Attorneys General and the U.S. Attorney General have responsibility for prosecuting cases based on the investigative efforts of these enforcement agencies.The purpose of this Cooperative Agreement is to support the enforcement of federal and/or state odometer laws and regulations. Cooperative Agreement Award: NHTSA intends to award up to four (4) Cooperative Agreements for a twenty-four (24) months period of performance. Request for Application (RFA): The solicitation DTHN22-10-R-00400 will be available for downloading from http://www.Grant.gov/ on or about end of May 2010.

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