Category Archives: News Articles

Car buyer cries fraud after discovering odometer has been rolled back

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Keisy Fernandez poses with her 2006 Chrysler 300C outside her home on Friday, April 5, 2013. Fernandez purchased the vehicle at Affordable Motors in Miami. The odometer read 56,447 miles at the time of purchase, but was found to actually have 186,000 miles according to a vehicle summary report made by the Chevy dealership this past February. A few months later, she wanted to upgrade and another dealership offered to buy the car from her. But when that company ran a check on the car’s history, there was a problem. Fernandez’s odometer had been rolled back. When she purchased the car in April 2012 from Affordable Motors, the odometer showed 56,447 miles. That turned out to be untrue. The actual mileage was 187,677, miles at the time Fernandez purchased it. Affordable Motors said it has nothing to do with the mileage discrepancy. “There was a problem before us,” said Affordable Motors owner Felisberto “Felix” Sanchez. “The problem was not us. She’s probably right, but the problem was with a previous out of town dealer.” Sanchez said he runs checks on all his vehicles and nothing seemed out of the ordinary with the Chrysler he sold to Fernandez. Odometer fraud is a national problem, but consumers can take steps to protect themselves. In Fernandez’s case, she did not see her vehicle’s Carfax. The Carfax would have provided a history report for her Chrysler including any possible odometer discrepancies. “If I could do it again, I would absolutely make sure I see the Carfax first.” Federal law requires the vehicle seller to certify to the best or his or her knowledge that the odometer reflects the actual mileage, or that the seller knows there is an odometer discrepancy, according to the National Highway Traffic Safety Administration. On Sanchez’s certificate of title from … Continue Reading

Odometer fraud worries FRCA

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Most secondhand imported vehicles odometers have been tampered with when compared against its irrespective declared cancellation certificate mileage. This was revealed after a thorough investigation conducted by the Fiji Revenue and Customs Authority (FRCA) in Nadi, Lautoka and Suva “We are clear that the odometers have been tampered with and consumers need to keep a look out,” said FRCA chief executive Jitoko Tikolevu. “The odometer readings have been reduced significantly to encourage consumers to buy the vehicles and we found that there is a big gap from the country of origin of the vehicle compared to the readings being showed here,” he said. He said odometer fraud is a serious threat to car buyers because they may be burdened with having to pay extra cash for the vehicle, additional insurance costs, additional maintenance costs and the vehicle safety. “When buying vehicles consumers need to ensure they demand for a cancellation certificate from dealers to verify the readings on the odometer.” He also confirmed that FIRCA is working closely with the Land Transport Authority in providing superior services to the public. By Mereani Gonedua Orignal Article: http://www.fijilive.com/news/2013/04/odometer-fraud-worries-frca/53544.Fijilive  

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City cop, 19-year-old charged after odometers allegedly altered Scam bit luxury-car buyers

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By: Mike McIntyre Posted: 04/5/2013 1:00 AM   MIKE DEAL / WINNIPEG FREE PRESSWinnipeg police Sgt. Richard Sierhuis in the 1969 Chevelle SS 396 he restored. He is now charged with ripping off customers of luxury vehicles he sold them and is on administrative leave from the police service. A veteran Winnipeg police officer was allegedly running an international luxury-vehicle scam that duped several victims, including a prominent city defence lawyer, out of thousands of dollars. Justice sources and court documents reveal extensive details of the case, which came to light last year and only became public this week. The police have released limited information other than confirming Sgt. Richard Sierhuis is facing numerous fraud-related charges. Sierhuis, 47, once worked with the Winnipeg Police Service’s professional standards unit, the department that began investigating his conduct last fall and authorized his arrest in late March. Most recently, he has been posted in the North End. He is now on administrative leave pending further review of his job status. Sierhuis made his first court appearance Wednesday, also the day when police issued a news release announcing his arrest. The case has been adjourned until April 24 and Sierhuis remains free on bail. None of the allegations has been proven and he is presumed innocent. Police have also arrested a 19-year-old co-accused on many of the offences. He is listed in court documents as a car salesman. The Free Press is not identifying him because some of his charges are youth-related, dating back to 2011 when he was 17. Five victims came forward to police last year claiming they were ripped off trying to purchase high-end vehicles from Sierhuis, a noted local car enthusiast. It’s believed most, if not all, were responding to advertisements on Kijiji, a popular online sales website. Sierhuis and the teen … Continue Reading

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Janesville Odometer Tampering A Janesville man faces multiple criminal charges for allegedly rolling back car odometers and then selling those vehicles. 60-year-old Jeff Hagen of “Jeff’s Auto Body” has been charged with 1 count of felony theft by swindle as well as 3 gross misdemeanor counts for reportedly tampering with car odometers to falsely increase vehicle value. Hagen denies the allegations, and is scheduled to make his initial appearance in court on November 27th. He faces up to 5 years in prison and a $10,000 fine. Original article: http://www.knuj.net/2012/10/janesville-odometer-tampering/

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Ausden Clark fined £10,000 (Approximately $16,243 US Dollars)

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Following an investigation into a coach company operating as Ausden Clark Ltd, based at Dysart Way in Leicester (UK), it was revealed that maintenance records had apparently been falsified and then signed as accurate by the company director, Mr. Paul Ausden Clark. Mr. Clark was arrested with the assistance of local police officers on Tuesday the 10th of July 2012. The VOSA led investigation centred upon examining the veracity of the information contained in the periodic maintenance inspection (PMI) records required to be kept for inspection by enforcement officers with the authority to carry out such inspections. It was found that the odometer readings recorded on the PMI sheets did not correspond with the odometer readings recorded on the tachograph records and fuel log sheets bearing the same date as that on the PMI sheet. Mr. Paul Ausden Clark who appeared at Leicester Crown Court on Thursday 20 September entered a plea of guilty to 10 counts of making a false instrument with intent that it be accepted as genuine, contrary to Sections 1 and 6 of the Forgery and Counterfeiting Act, 1981. In addition to this, he asked for 64 similar counts to be taken into consideration (making 74 in all). The matter was heard before His Honour Judge Hammond in court number 4 and following mitigation by his counsel was sentenced to a fine of £10,000 and ordered to pay costs in the sum of £17,800. He was allowed 12 months to pay. Heather Cruickshank, VOSA’s Operations Director said: “The falsification of these maintenance records may well have compromised the road safety of other road users in the event of a crucial component failure in relation to the brakes, steering and suspension, especially in relation to so many falsifications. VOSA is committed to detecting and prosecuting this type … Continue Reading

Tough Questions about whether a man selling a car on-line is guilty of odometer fraud

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COBB COUNTY, GA (CBS ATLANTA) – CBS Atlanta News questioned the current owner of a 1995 Nissan Maxima in Cobb County on Wednesday. He’s selling the car on Craigslist for $3,500 and with just 140,000 miles. He bought the car from Stewart Smith a month earlier. Smith said he sold the car with 241,000 miles. “It’s been 10 years since it had 141,000 miles on it,” Smith said. In fact, Smith’s Craigslist posting from July included a photograph of the odometer.  You can only imagine what he thought when he noticed his old car was for sale again with 100,000 fewer miles. “My initial thought was with the lower mileage I certainly hope is a typo and apparently as your investigation found out, it is not,” Smith said. So CBS Atlanta’s Adam Murphy tracked down the new owner and seller of the car to ask him about it. “Did you commit odometer fraud?” asked CBS Atlanta Reporter Adam Murphy. “No I did not, I’m not comfortable with the camera please,” the seller said. “Well I think you have some explaining to do with this vehicle here sir,” Murphy said. The seller could not explain the change in mileage. Smith, on the other hand, showed us an Emission Report from last August showing the car had well over 200,000 miles on it at the time. So CBS Atlanta News called the police, but before they could arrive the two men got in another car and drove off. They were last seen driving off in a golden Lexus, license plate number BPR 7817. “I’m hugely disappointed because obviously there’s criminal intent here with tampering and odometer fraud and misrepresentation,” said Smith. Cobb police are investigating the incident and they are looking for the Lexus the seller drove off in. Original article: http://www.cbsatlanta.com/story/19345896/tough-questions-about-whether-a-man-selling-a-car-on-line-is-guilty-of-odometer-fraud

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Family Motors faces legal trouble Co-owners face several charges, will appear in court Tuesday.

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WEST BURLINGTON – A used vehicle dealership is in legal trouble after an Iowa Department of Transportation inquiry resulted in 14 simple and aggravated misdemeanor charges against two of the owners. Jon Salvador, a co-owner of Family Motors, 1013 W. Agency Road, is charged with seven simple misdemeanors and five aggravated misdemeanors, ranging from the sale of vehicles without titles to failure to maintain odometer records, according to Maj. Paul Steier of the IDOT Motor Vehicle Enforcement Division. The other owner, Dan Wenig, also is charged with failure to maintain odometer records and failure to take possession of five vehicle titles prior to sale, an aggravated misdemeanor and a simple misdemeanor, respectively. Salvador and Wenig will make separate initial appearances at 1 p.m. and 2 p.m., respectively, Tuesday in Des Moines County Associate Court. The brothers-in-law and their wives co-own the business, hence its name, though neither of the women face charges after the IDOT investigation. Wenig declined to comment, but Salvador denied he did anything illegal and is confident he will be cleared in court. “A lot of those infractions and citations are just trumped up, ridiculous, clerical errors. Not a big deal,” he said. Of Salvador’s simple misdemeanor charges, two are for improper issuance of “Registration Applied For” cards to vehicle purchasers who did not pay the requisite tax and fees associated with the card. The cards are issued to purchasers who do not have plates for their vehicles at the time of purchase. “(Dealers) can only issue those if they collect the tax, title and license fee,” Steier said, adding depending on the circumstances and number of occurrences, IDOT can regard such breaches of protocol as fairly serious offenses. “The dealer fills it out, so it’s kind of an honor system that the dealer is doing it … Continue Reading

Probe of dealer who sold cars with rolled-back odometers brings more complaints from customers

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SPRINGFIELD, Mo. — Excel Auto Group LLC is still under investigation by the state while a lawsuit against it works its way through a Greene County circuit court. Documents from the Missouri Secretary of State’s office show Ashley Bolton, the owner of Excel Auto Group, has also operated under B&B Motors. Scores of people continue to call and e-mail saying they too have found out their odometers have been tampered with. You can go to AutoCheck.com or Carfax.com and run your own check to see if you have been a victim. If you have, you can file a report with the Attorney General’s Office at 1-800-392-8222. If you want to speak with someone in Springfield, you can call the Missouri Department of Revenue at (417) 895-6429. The Attorney General’s Office is busy with the civil investigation into Bolton. No one has said if there’s a criminal investigation of Bolton or Excel Auto Group. Original article: http://www.ky3.com/news/ky3-excell-new-details-in-the-investigation-of-springfield-car-dealership-that-was-allegedly-rolling-back-odometers-20120619,0,1026542.story

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High-Flying Auto Dealer Employee Steals $10M For Luxuries

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High-Flying Auto Dealer Employee Steals $10M For Luxuries (ABC News) Patricia Smith, the former controller of an auto dealership in Pennsylvania, is headed to jail after embezzling $10 million from her former boss in a stunning case of a trusted employee looting the business then squandering the cash on luxuries. Smith, who worked at Baierl Acura located in Wexford, Pa., an upper-middle class suburb of Pittsburgh, was convicted of systematically stealing for seven years–some $4,000 a day on average–for private jet travel, special trips to the theatre, fancy clothes and other goods, according to the court. A costume fitting on Broadway? Check. Super Bowl Tickets? Check. There were even trips to the Vatican using stolen money. Smith spared no expense for herself or her family on the company’s dime, according to reports from court. The jet charters alone totaled $1.8 million for the high-flying bookkeeper, who officially made about $50,000 a year from the dealership. According to Shannon Pierre, of ABC Pittsburgh affiliate WTAE, who reported on the story from court, Smith’s reason for her crime spree was she felt like a “horrible daughter, wife, mother and friend” and the gifts were a way to “earn their love” because she wanted to see “what happiness looks like.” An attorney for Smith did not return our request for comment. News reports indicated that Smith told her family and friends she got rich investing in airline stock. Now, the woman nearing retirement age must serve 78 months in prison, three years of probation, and pay restitution of $10,349,569.14 for the fortune she obtained by making more than 800 money transfers from the Baierl Acura’s coffers to her personal accounts. “We’re glad that justice has been served and this matter is now behind us. Despite the amount of funds taken over time, there were … Continue Reading

Buyer beware — odometer fraud on the rise

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Think that odometer fraud is a crime of the past? Digital odometers were supposed to make altering a car’s mileage harder. And they did – for a while. But new gadgets for turning back odometers are now available on the internet — and shockingly easy to use. An eye-opening undercover investigative report by CBS channel 2 in Los Angeles shows how it’s done — in a scam that has attracted the attention of authorities. “CBS 2 investigation uncovers odometer fraud possibly affecting thousands of consumers” Odometer fraud remains a serious crime in the U.S., robbing consumers who pay thousands more than a car is really worth. Plus they face costly repairs they didn’t anticipate. Adding insult to injury, warranties are usually void on vehicles with altered odometers. So even if you buy a car that was sold with a warranty, you may be stuck paying out of pocket for repairs. How can you avoid odometer fraud? Vehicle history reports don’t always capture mileage discrepancies. So be sure to get a reliable auto mechanic to thoroughly inspect any used car you’re interested in buying, before you agree to anything. An altered odometer may register a trouble code that a qualified mechanic can detect, using specialized diagnostic equipment. Also insist on seeing all the work orders for past repairs, and contact the repair shop to confirm the mileage. The average mileage for most cars is around 12,000 a year. Be especially suspicious when sellers claim a car has significantly lower mileage. Original article: http://carconsumers.org/blog/2012/06/06/buyer-beware-odometer-fraud-on-the-rise/

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