NEW YORK (AP) – Hertz’s new chief executive says he’s working to fix a flaw in the giant rental car’s systems that has caused some customers to be unfairly accused of stealing the cars they rent.
Stephen Sher, who took over as CEO on Feb. 28, said the company changed its practice to correct problems that arose during the car theft, but the transaction was not properly recorded in the Hertz system.
“It was one of the first things I started to take care of and deal with during my first 30 days with the company,” Sherma told CNBC on Monday. “It’s unacceptable that Hertz has customers … who were involved in some of what happened.”
Some Hertz customers said they were arrested and jailed because the company accused them of stealing cars they paid for rent and in some cases they returned before the arrest.
It is not known how many people were affected. More than 200 consumers asked federal judge Hertz of Delaware to disclose fraudulent theft records, and the judge ruled in favor of the owners in February.
Sherr said the fake accounts cover several hundred customers from 15 million transactions per year per hertz, but consumer advocates say the number is rising to 8,000.
“We changed our policy to prevent this from happening again,” Sherma said. “No user should be bothered by it.”
Sher said that in some cases cars were found stolen, the conclusion was removed when the car was found, “but this solution has not been identified.”
The CEO of Hertz Global Holdings Inc. appeared on CNBC to support a plan to buy up to 65,000 electric vehicles over five years. Abroad, a Florida -based company offered bankruptcy protection in 2020, as it struggled with severe debt and reduced travel caused by the pandemic. He works for Hertz, Dollar and Thrifty car rental brands.
Source: Huffpost
