Evening star., 1959-12-24
D. c. Set to Fight License
For Renamed Car Aqency
Gray Moving
To Bur Return Of
Lifted Permits
By MIRIAM GUTENBERG
star SIAN Writer

S10@ SNeA "AAhNA
Corporation Counsel Chester
Gray said today he plans to
move Immediately to block ef-
forts by used car dealers to
change their names and con-
tinue business after their Ii
censeS are revoked.
He said he knew of at least
one dealer among the six re-
Gently denied license renewal
who has applied for a license
under another corporation
name to do business at the
same lot.
That license application has
been sent to Mr.. Gray's Office
by the superintendent of Ii
cenSeS and permits for legal ad-
vice. A used car salesman on
the lot is listed as president of
the corporation applying for
the new license.
Mr.. Gray said that the COM
mittee working on a new and
sitter set of regulations cover
ing motor vehicle dealers has
recommended amending the
present regulations on an emer-
gency basis while completing
work on the more detailed and
elaborate ones.
Amendments Due
The amendments, he indi-
Gated, will include identinca-
ton of the controlling interests
in a used car corporation to
make it clear whether a dealer
is trying to stay in business
under another name.
Among other amendments,
he said, will be regulations Ii
cenSing car statesmen and SPELL
ing out in detail the basis for
denying or revoking licenses
for unethical practices and
Misrepresentation in car sales.
The committee working on
more detailed regulations is
using The Stars series on the
uSed-car racket entitled Buy
er Beware in developing pro-
hibitions against certain prac-
ticeS revealed in the newspa-
per articles.
Mr.. Gray said he had spent
most of yesterday working with
his top aides in drafting the
immediate amendments for
presentation to the Commits
SionerS.
My objective" he said, is
to put them in effect at the
earliest possible moment. We
want to provide for immediate
relief from the conditions that
have been brought to our at
tention.
Seek Quick Action
In view of the length OF
time apparently required for
the more elaborate new reg
ulations. we have decided to
plug the obvious loopholeS with
out further delay"
Mr.. Gray said he had never
seen such unanimity among a
group of lawyers on the need
for new regulations. The only
differences, he said, are in the
wording.
I The committee working on
the detailed new regulations in
cludeS attorneys representing
the District Bar Association, the
corporation councils office, the
Automotive Trade Association
Of the National Capital Area
and newly organized associa-
ton of used car dealers known
as the Metropolitan Automobile
Association. ,
4 Committee members are nowl
studying the fifth proposed
draft of regulations which
cover more than 25 pages and
range from prohibitions on
sharp practices to outlawing
pickup" and balloon" pay
ments in used car purchases.
What cannot be accomp-
lished by regulation will be
presented to Congress for legis-
lative action. This includes
fixing a maximum charge that
a finance company can impose
for financing a car. Chairman
Mcmillan of the House Dis
trict Committee has already
asked that this legislation be
ready for presentation as soon
as Congress returns