Car sales and accessories firm CarMax has been ordered to pay a $20 million fine in the United States after it failed to properly comply with the Consumer Protection Act in 2017.

Key points:The US Department of Justice and the Australian Federal Police ordered CarMax to pay $20m in penaltiesThe fine was ordered against the company’s main supplier, CSL InternationalThe company paid $2.6m in fines in the US, and was ordered to make changes to its practicesThe Federal Government is investigating the caseIt is understood that CarMax’s main customer was a company called CSL which supplied car accessories to some of the biggest brands in the automotive industry.CSL was involved in an investigation in Australia in 2017 when it was found to have breached the Australian Consumer Policy Act, which requires suppliers to take measures to prevent consumer harm and abuse.

The company was ordered by the US Department for Justice and Australian Federal Bureau of Industry and Commerce to pay the penalty and pay the company an undisclosed amount in compensation.

The investigation resulted in a $4.6 million fine, the largest fine ever imposed by the Department of Labor in the Federal Courts.

The Federal Bureau for Fair Trading said that the fine amounted to $20.6million and that it was not a penalty on CarMax, but instead a penalty imposed by a court on a company which was found in breach.

“We are pleased to confirm that we are now investigating this matter,” a spokesperson for the Federal Bureau said.

“This is the first time the Federal Government has taken enforcement action against a car industry supplier.”

The Federal government is committed to protecting the interests of Australians and we continue to take enforcement actions when we believe they are in the public interest.

“CarMax and its suppliers have a responsibility to ensure that their business is carried out in compliance with the Australian consumer policy.”

There are many issues that we can take into account when considering the actions we take against suppliers and CarMax will be reviewing its processes to ensure it is operating in accordance with Australian consumer law.

“The company is also investigating whether it should be held liable for breaching the Fair Trading Act.


We will seek to contest the order to enforce our right to free and fair market access to the goods and services that our customers rely on.”