Category Archives: Odometer Fraud Statistics

Hidden camera investigation uncovers used car odometer rollback

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HOUSTON – Texas is the second state in the nation for odometer fraud, according to data compiled by Carfax. It occurs when an odometer’s mileage is rolled back, or lowered, to make the vehicle appear to have fewer miles. “When you lower the mileage on a vehicle, you are artificially inflating the value of it and costing consumers thousands of dollars,” said Chris Basso, a spokesperson for Carfax. The vehicle history report website estimates that over 150,000 vehicles in Texas are suspected to have an odometer rollback. Chris Zimmerman and his wife are driving around in one of those vehicles. When Zimmerman and his wife had a third child, it was time for a minivan, so they went to Craigslist to shop for a reliable vehicle with low miles. n June, Zimmerman came across an ad from a man who claimed to be selling his wife’s van and only identified himself as Mike. He was selling a Honda Odyssey and advertising the vehicle had less than 80,000 miles. When Zimmerman agreed to meet the seller, he didn’t expect to end up in the parking lot of a gentleman’s club off the Gulf Freeway. Mike, as it turns out, was not a private seller. He actually worked for Texans Motors Inc. and sold cars out of the back lot of that club. Despite hesitation, Zimmerman purchased the van. But his wife didn’t like it, so they decided to resell it. That’s where the problems began. When Zimmerman took the van to a dealership to sell, they ran a Carfax and told him the van actually had 150,000 miles on it. “It was double what was on the odometer,” said Zimmerman. He drove it back to Texans Motors Inc. to try to trade it for another van that said showed 115,000 miles … Continue Reading

Sales of vehicles with rolled-back odometers lead to lengthy jail sentence

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A North York man has been sentenced to 450 days in prison after being found guilty of odometer tampering. Mehran Amini received the longest sentence ever handed out in Ontario for illegal vehicle sales, according to a statement from the Ontario Motor Vehicle Industry Council (OMVIC). The statement said Amini was charged after OMVIC investigators discovered he’d purchased 30 vehicles from Western Canada, and shipped them to Ontario. A North York man has been sentenced to 450 days in prison after being found guilty of odometer tampering and ‘curbsiding.’ Amini then rolled back the odometers on the vehicles, which were mostly late-model pick-up trucks with high mileage, investigators said. “They are vehicles that could be near end-of-life, but they were paying huge dollars — $30 to $40,000 — for these vehicles,” OMVIC Director of Communications Terry O’Keefe told CTV Toronto’s Pat Foran. “The warranties were all canceled.” O’Keefe said some of the odometers had been rolled back as much as 150,000 kilometres. The vehicles were sold to residents of the Toronto area, including Sean Wedge. “Buying this truck was a financial disaster,” Wedge told CTV Toronto. “I thought it had 52,000 kilometres which it had 180,000 kilometres. I had to do more than $22,000 in repairs.” Amini’s case was heard by a judge who found him guilty of violations of the Motor Vehicle Dealers Act and the Consumer Protection Act, including “curbsiding.” Curbsiding is the illegal practice of reselling vehicles without having the registered title to a car being sold. “Evidence presented in court showed Amini placed ads in online marketplaces posing as a private seller, though he told some buyers he was a dealer, and that he used multiple aliases,” OMVIC’s statement said. Amini was convicted and sentenced to 450 days in prison, but is appealing his sentence. Records showed … Continue Reading

Arrest in Odometer Tampering Case in Rutherford County

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RUTHERFORDTON, N.C. — A Rutherford County man is facing charges for possible odometer tampering after a month-long investigation. Agents with the N.C. Division of Motor Vehicles’ License and Theft Bureau, along with the Rutherford County Sheriff’s Office, the Forest City Police and Spindale Police, arrested Mitchel Craig Padgett, 20, at his home in Forest City on Monday. Padgett was charged with six felony counts of Unlawful Change of Mileage, seven felony counts of Altering a Certificate of Title, eight felony counts of Common Law Forgery and seven felony counts of Aiding and Abetting Notary Fraud. He was taken to the Rutherford County Jail and held under $140,000 secured bond. License and Theft Inspector Aaron Ellenburg led the investigation. In addition, a search warrant was executed at Padgett’s residence and at AACE Automotive, a vehicle repair garage he owned and operated at 667 US 221-A in Forest City, by License and Theft Lt. James Walston and inspectors Aaron Carver and Charity Brown. License and Theft agents are continuing to investigate the possibility of additional victims.

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Three arrested in Sarasota for Craigslist car scam

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SARASOTA, Fla. — Three people are behind bars in Sarasota after being accused of manipulating car odometers to make the vehicles appear more valuable. Florida Attorney General Pam Bondi’s Office announced the arrest of Denis Kutsayev, Tamara Kutsayeva and Renat Kutsayev. They’re accused of advertising used cars on Craigslist and changing their odometers and other features to up their value before selling them to unsuspecting consumers. An investigation by FHP revealed that they removed “the word rebuilt from the title of salvaged vehicles, altering the mileage on the title or rolling back the odometer. On one occasion, one of the defendants allegedly changed the odometer mileage of a vehicle from 117,000 miles to 46,335 miles before selling it on Craigslist.” Someone changing an odometer can be a hard problem to catch. The state recommends looking at service records that show the vehicle’s mileage; check the physical condition of the carpet, break pedals and seats; look for scratches on the odometer; and, have a reputable mechanic to check out the vehicle. Mike Modha almost fell victim to a different odometer changing scam back in November. He wanted to buy his nephew a used car and turned to Craigslist. “We thought we really got a good deal,” he said. But, that was one ride he wish he never took. Originally, the car ran around over 200,000 miles and they had changed everything on the odometer. The sellers listed the 2010 Toyota Corolla on Craiglist with a mileage just over 30,000 miles. And, the car had previously been totaled. “They repaired that and put it in a condition as if you can’t even imagine,” Modha said. “They were selling it to me for $8,750. This incident happened back in November and the dealers were arrested after Modha became suspicious and alerted authorities. As for this week’s round up, the suspect faces charges of title fraud and odometer fraud. Denis Kutsayev and Tamara Kutsayeva also face charges for engaging … Continue Reading

DOL accuses auto dealer of violating odometer law

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The Department of Licensing is accusing an auto dealer in Lynnwood of breaking a Washington law meant to protect consumers from odometer fraud. If you’re buying a used car, you want to know exactly how many miles it’s been driven, which is why Washington state has strict laws against odometer fraud. The Department of Licensing is accusing a dealer in Lynnwood of breaking one of those laws. About two years ago, Lauryn Bates bought a used 2003 Subaru from Car Craft Auto Sales. “I went in at 19, limited income, no credit history, and they were the only people I knew would finance me,” Bates said of the company that advertises financing guarantees on its website. Bates called KING 5 because she suspected Car Craft Auto had altered her odometer and not disclosed it at the time of purchase. “I was naive and I fully believe they took advantage of that 100% thinking I wouldn’t ever figure it out,” Bates said. Bates drove the Outback for two years and only discovered a problem when she tried to sell it. A prospective and astute buyer pulled a vehicle history report, which revealed a huge discrepancy with her mileage. Today her odometer reads 163,954, but that can’t be right because three years ago the car was recorded as having 181,289 during a vehicle service, according to that vehicle report. The buyer backed out, leaving Bates distraught. “I have a car that has nothing, zero value whatsoever. I can’t sell it to anybody,” Bates said. We called the Department of Licensing which investigated. The DOL determined Car Craft Auto had swapped out the original odometer for one with lower mileage. KING 5 also obtained an eBay receipt for a used odometer with Car Craft owner Gus Trefault’s name on it. The DOL believes … Continue Reading

Missouri Patrol Seeking Information In Consumer Fraud Investigation

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KANSAS CITY, Mo. – The Missouri State Highway Patrol have been investigating a series of consumer frauds related to the sale of vehicles by a KC couple. The couple has been known to purchase a vehicle, typically from Craigslist. The couple will then alter the mileage on the vehicle and re-sell it on Craigslist, posing as the owners of the vehicle. The investigation revealed approximately 48 vehicle purchases/sales within the past year; iis possible not all the transactions involve an odometer rollback. Investigators are still trying to determine the potential number of victims. The suspects do not use their names during transactions, and typically use disposable pay-as-you-go cell phones. The man is approximately 5’ 9”, medium build, and has an “East Coast” accent. If present, the woman typically stays in a green Nissan Quest minivan with their children while the transactions are conducted. If you or someone you know has purchased a vehicle from these individuals, please contact Missouri State Highway Patrol Corporal Nate Bradley, at 816-622-0800. Original Article: http://www.kmbz.com/Missouri-Patrol-Seeking-Information-In-Consumer-Fr/22147951

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Lutz man arrested for selling cars with altered odometers

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LUTZ, Fla. – One Lutz man thought he was getting a deal on a used car, but he nearly got taken for a ride.Deputies said a self-proclaimed car dealer was selling people vehicles with altered odometers. According to the sign out front, Carmona Service Corporation will do body and mechanic work on your car.  But on Wednesday, 64-year-old Pedro Carmona was arrested and charged with 11 counts, including tampering with the odometers on four vehicles. Just last week, Mahesh Modha said he saw an ad on Craigslist for a Toyota Corolla LE with 31,000 miles for less than $10,000. “We were ready to pay cash also, but it turned out we were scammed,” Modha said. Modha said Pedro Carbona and his nephew Gio met him to sell the car. Modha paid $1,000, got a receipt and promised to pay the rest. “They were claiming to be a dealer actually, you know Gio said my uncle is a dealer, so I said I normally trust dealer because dealer had a license,” Modha said. Carmona is charged with  four counts of selling vehicles with tampered odometers and selling cars without a license. Modha said a Carfax report helped him figure out the truth about that Corolla. “It came out 121,000 miles which was already reported in 2012 and now the original miles on the car was over 200,000 miles,” Modha said. Carmona is now out of jail on bond and the Director of Consumer Protection for Hillsborough County said, you need to vet your mechanics and body shop owners. “If they have a current license, they’ve been in business for a while and they have no complaints against them that’s one of the best ways consumers can look into whether or not they’re going to have a good experience with that business,” Eric Olsen, division director … Continue Reading

Odometer Rollbacks Common With Used Cars In Colorado: ‘It’s Criminal’

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DENVER (CBS4)– The used car market is big in Colorado and with that comes the potential of odometer fraud for consumers. Colorado ranks top 10 in the nation for having the most cars with odometer rollbacks, which translates to nearly 20,000 vehicles on the road right now, according to Carfax. “It looked really good on the eBay listing,” said Wayne Boncyk about the Jeep he spotted online. “The mileage was reasonable for nine-year-old car.” At 109,000 miles the Jeep Cherokee seemed like the perfect SUV for Boncyk’s son to drive to and from college so he bought it. Boncyk later ordered a Carfax report, wanting to know about possible recalls, but found something even more concerning. “There weren’t any additional recalls,” said Boncyk. “There was a flag that said odometer discrepancy.” The Carfax report shows the mileage at 109,000 in 2010 but by 2013 it was 173,000 miles. “This is my son’s vehicle,” said Boncyk. “His safety is at stake. We’re talking about 40 percent more mileage on that thing then I was lead to believe that thing had.” It’s now been a year-and-a-half since Boncyk bought the car. He tried reaching out to the seller but got no response. That seller, a 27 year old who lives in Nevada, told CBS4 he sold the Jeep for a neighbor who did not have an eBay account. He claims he does not know about a rollback. Christopher Basso of Carfax says many consumers don’t realize odometer fraud still exists. “We’re not looking for it when shopping for a used car,” says Basso. He says many consumers believe the old analog odometers are the only way to rollback mileage, but the digital odometer’s can be easier. The equipment is simple to find online and is relatively cheap. Boncyk has now done plenty of research … Continue Reading

Two accused of car scam

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Two accused of car scam Two men are accused of running a car racket in which they sold second-hand vehicles with false odometer readings. Police allege the men bought 20 vehicles with high kilometre readings on sales websites this year. They then allegedly bought car parts, including odometers with lower readings, from wreckers and swapped them into the vehicles before selling them to unsuspecting buyers. The men also allegedly changed log book records to match the modifications and removed service stickers from vehicles. By wiping off thousands of kilometres, the vehicles appeared newer and worth more, police claim. Regional investigations unit officers swooped on the pair after spotting two sales advertisements for what they alleged was the same vehicle with different odometer readings. Officers raided a Victoria Park property and allegedly seized documentation, vehicle service stamps and log books connected to the fraudulent modifications and sales. The men, who are in Australia on student visas, allegedly made almost $40,000 profit from the scam this year. One man who allegedly bought a Holden sedan from the pair said the odometer showed it had done 80,000km but he was told by police it had actually travelled 180,000km. He claimed a check by a mechanic had not picked up the illegal modification. “It’s a safety issue as well as an expense – because the car has been driven more than I thought, it will probably have more problems and because it had been tampered with, it isn’t even worth what it would have been with the correct odometer reading,” he claimed. Police have charged a 28-year-old man with 19 counts of gains benefit by fraud and one count of attempted gains benefit by fraud. A 27-year-old man has been charged with 19 counts of gains benefit by fraud and two counts of attempted … Continue Reading

Bremerton cops nab 2 in odometer-rollback scam, 1 at large

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BREMERTON, Wash. — Three brothers are accused of ripping off dozens of car buyers in Bremerton by rolling back odometers to sell the vehicles at a higher price. Bremerton Police arrested two of the brothers on Wednesday then served warrants at two Navy Yard City properties located in the 3700 block of Madrona Street and the 3700 block of C Street, where the vehicles were stored. During the search, detectives impounded at least three vehicles that were not registered to the properties. “Unfortunately, most of (the victims) didn’t know they’d been taken advantage of until I contacted them,” said Bremerton Police Det. Martin Garland. The organized crime investigation started in January 2014 after a victim found a repair invoice in a vehicle that was purchased from the suspects. The victim noticed the mileage didn’t look right, checked the car’s history on CarFax, and determined the mileage was incorrect. Bremerton Police said the brothers purchased the cars on Craigslist then resold them at higher costs after rolling back the odometers, which would make it appear the cars didn’t have as many miles so the suspects could get more money. “One of the big pieces to this puzzle was we were able to determine the CarFax account that our suspects were using and they, themselves, were running a CarFax on the vehicles,” said Det. Garland. “They would print that out, alter the mileage on the CarFax report, and then provide it to the victims as proof of the mileage.” Detectives subpoenaed the records for the suspects’ CarFax account and learned the suspects had done more than 3,000 searches for vehicles. Detectives said the men always made cash transactions and they did not register the titles of the cars to make it appear they were never in possession of the vehicles. In some … Continue Reading