New Delhi, Dec. 24 -- GST rate cuts boosted sales at two-wheeler and car makers. This, in turn, helped fuel demand for auto companies' stocks, as Nifty Auto raced ahead by 8% over the last three months. However, one group in Motown that is still wrestling with the authorities for back-payments and has seen feeble investor interest is car dealers.

Three of the listed largest car dealers, including Landmark Cars Ltd, Popular Vehicles and Services Ltd, and Competent Automobiles Co. Ltd, saw share prices fall by 20%, 4%, and 1%, respectively, since 3 September, when New Delhi announced goods and services tax (GST) rate cuts.

At the heart of the investor unhappiness is the issue of the compensation cess, which was discontinued by the governm...