VICTORIA’S booming black market in stolen cars could be disrupted by a plan to hide small tracking devices on vehicles and new laws to tackle "rogue" scrap metal dealers with organised crime links.
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Almost 24,000 cars were stolen in Victoria last year, an average of about one theft for every 250 people.
Victoria Police Assistant Commissioner Robert Hill said about 30 per cent of stolen vehicles were never recovered.
"The large proportion [of stolen vehicles] have either been shipped overseas as an entire vehicle, or they've been dismantled in parts and shipped overseas," Mr Hill said.
"There are also vehicles that have been sold via the scrap industry where there has been a profit made by those car thieves, but also by some rogue dealers within the industry that have allowed this to flourish."
In an effort to combat the illegal trade, the Andrews Government has introduced new laws banning businesses from taking cash payments for scrap metal.
The dealers will have to keep records of all transactions involving scrap metal, and businesses will face fines of up to $31,000 if they are found in possession of an unidentified vehicle.
"What we do know is cash in this industry can drive both motor vehicle theft and other metal thefts, for example from railway stations," Police Minister Lisa Neville said.
She said the fine of $31,000 was three-times higher than similar penalties in New South Wales.
"I think we need a deterrent," Ms Neville said.
She said the government would investigate if further regulations were needed to target car wreckers and second-hand car dealers.
Victoria Police, meanwhile, announced it would install a fleet of cars with small tracking devices, so that the cars can be located by police using GPS technology in the event of them being stolen.
The pilot program with the National Motor Vehicle Theft Reduction Council will be trialled on about 1000 vehicles.
"This is a technology that can be rolled out fairly simply, fairly cheaply across the network," Mr Hill said.
"If this technology was rolled out across the Victorian fleet we would see vehicle theft reduce dramatically.
"I'm not saying it will eliminate it completely, but certainly it will provide a very strong deterrent factor for people considering stealing motorcars."
