The Financial Services Regulatory Authority of Ontario (FSRA) has imposed administrative penalties against 24/7 Auto Collision Inc., 2551662 Ontario Inc. and their owner, Altaf Hussain for charging for goods and services that were not provided. These included vehicle repairs that did not take place and replacement parts that were not replaced.
“Specifically, Hussain, through 24/7 Auto, HTT (Hussain’s towing company) and 2551662 Ontario Inc. charged Aviva for towing and repair services which were not provided or only partially provided and for replacement parts that were not replaced. The false billing persisted from June 2022 to May 2023 across numerous invoices and multiple clients,” the notice of proposal in the case states. It continues saying FSRA’s director is satisfied Hussain and his companies will continue to engage in activities that will result in further unfair or deceptive acts or practices if the proposed order was not issued.
“The repeated submission of false invoices suggests an intentional pattern of conduct,” it continues. “Hussain stated that there was no one at 24/7 Auto that was responsible for verifying the accuracy of invoices. This lack of review and oversight demonstrates recklessness and an indifference to submitting accurate invoices to insurers.”
In addition to the administrative penalties – 24/7 Auto must pay $15,000, 2551662 Ontario must pay $2,500 and Hussain himself must pay $20,000 – for one year all three must also cease charging for any work performed if it is reasonable to expect that all or a portion of the charges will be directly or indirectly paid for by an insurer. Hussain and his companies must also cease accepting any fees for any work performed if an insurer is paying for the repairs and must cease holding themselves out as being authorized to perform such work.
