Evening star., 1948-12-07
Auto Dealers Mapping
House Cleaning as
Result OF Expose

The National Automobile Deal
ers' Association today announced
a Nation wide educational cam
paign to renew its drive against
such trade evils" as those dis
closed by a House investigating
committee in the Washington
area.
In a formal statement, the asSo-
citation agreed with Chairman Macy
OF the House Subcommittee Investi-
eating Questionable Trade Practices
that whatever "house-cleaning is
needed should come from within the
industry and not through Congress"
Other developments growing out
of the recent hearings were:
/. Traffic Director George E.
Keneipp sent a circular to all auto
mobile dealers in the city. calling
for strict compliance with the 1943
city Title and Registration Act. He
warned that a new checkup system
will be put into effect.
Invited to Join Bureau.
2. Ralph L. Goldsmith, president
Of the Better Business Bureau, in
vited members of the Washington
Automotive Trade Association to
join the bureau. if they are inter-
ested in maintaining public rela-
tions conducive to building con-
fdence."
The national association, in its
statement, said it had been insisting
that the honest dealers, acting
through their national organization,
should wipe out all bad trade prac-
tices within their power"
ITO this end NADIA has given, and
will continue to give. its full sup
port" the statement declared.
The association took sharp excep-
ton, however, to the subcommittee
estimate that nationally customers
had been "gouged" out of $3.50. .000, 900
by undervalued trade-ins and un-
wanted accessories No substantial
evidence of any kind to prove the
S450, 100000 figure ever was offered
by the subcommittee, the association
declared.
Charging that the $45o.00O 900
figure of loss to customers was
Imaginary in the part of the sub
committee, the association declared
that thus some $4,000 new car deal
ers, into whose operations the sub
committee never had inquired Spe-
ciflcally, were publicly smeared, re-
gardless of their guilt or innocence. ="
The association said it knows
that thousands of its members, by
supplying transportation to their
many customers at uninf1ated prices
during the postwar period, have
saved car buyers millions of dollars
and rendered a distinct public
service"
Referring to recent testimony be-
fore the Macy subcommitte, the
NADIA said: "All of the major sales
practices of the five Washington
dealers criticized by the subcommit-
tee have, throughout the last three
years, been the object of Nation
wide drive by the National Automo-
bile Dealers Association as body,
most of its individual members and
its more than 60 afflliated State, re-
gional and urban groups.
In emphasizing the unfairness OF
these practices and their ultimate
damage to the dealers using them,
the subcommittee has lent support
to the national associations long
established campaign"
The subcommittee had aired
charges that statesmen had accepted
tips up to $500 for quick deliveries
of new cars, that old cars surren-
dered on purchase of new ones had
been undervalued and resold at big
profits and that some customers
had to buy more accessories than
they wanted.
The Washington Automotlve
Trade Association heard Mr.. Gold
smith of the Better Business Bureau
at its monthly dinner meeting in
the Hotel 2400. Mr.. Goldsmith said
IL automotive firms already belong
TO the bureau and he invited more
of them to join.
Earle o. Baker is president OF the
association,