Category Archives: Topics

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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State shuts down Springfield car dealer during investigation into rolling back odometers

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  SPRINGFIELD, Mo.– A KY3 investigation leads to an investigation by Missouri’s Attorney General’s office. A used car dealership in Springfield — Excel Auto Group, LLC — near Scenic and Walnut Lawn — can no longer operate after being raided on Thursday by the Department of Revenue and the AG’s office. At issue– complaints about rolling back odometers. Julie Schiffner started her search for a car online, and found what she thought was the perfect vehicle for the perfect price. “We asked for a Carfax and he provided it and so we would never have thought to go spend the money then to double check and make sure the one he provided us was correct,” Schiffner said. So they bought it, a 2002 Toyota Sequoia. They had it for two weeks when they got some bad news that turned out to be a blessing in disguise. A close friend just happened to run an independent Carfax check for them. “He checked it to see if the timing belt had ever been changed and that’s when we realized that the mileage was completely wrong,” she said. One hundred thousand miles wrong. The Schiffners’ took the car back to Excel, and say they spoke with owner Ashley Bolton, who gave them their money back. But, he gave no apology, and no explanation. Julie turned to KY3 for help. We ran the numbers for ourselves. Six VIN numbers from the cars listed on Excel’s Web-site, according to Carfax, two of them had mileage numbers listed way below actual mileage — one was more than 140-thousand miles off. So we went to ask Ashley Bolton what’s going on at his business near Scenic and Walnut Lawn. He didn’t answer our questions, and kicked us off his property. We had to leave, but investigators from … 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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Ind. AG files suits on behalf of Lake County residents

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BY BRYAN COHEN HOBART, Ind. (Legal Newsline) – Indiana Attorney General Greg Zoeller filed five lawsuits on Monday on issues ranging from car dealer violations to illegal foreclosure consultants to protect Lake County residents. Hometown Motors and Luke’s Family Motors allegedly took advantage of consumers by violating the Deceptive Consumer Sales Act, state and federal odometer acts and the Indiana Automotive Unfair Practices Act. Two Florida-based foreclosure consultants, Josegan Inc. and First Financial Link LLC, allegedly ripped off two Lake County residents of $3,500 by promising to reduce the homeowners’ interest rates or monthly payments in exchange for a fee upfront. The Vacation Store and its owner allegedly took payments for travel packages and failed to deliver payments to resorts for the accommodations purchased. “The attorney general’s office in Lake County is committed to protecting consumers here in the region,” Zoeller said. “These lawsuits represent only a slice of what our Consumer Protection Division and Homeowner Protection Unit do on a daily basis. It’s important to know that our office listened to local consumers and will use every resource available to pursue violators of the law.” Hometown Motors and John F. Petrassi, the company’s owner, allegedly failed to provide titles to purchased vehicles and knowingly reported inaccurate years and mileage on a used vehicle. Luke’s Family Motors allegedly misrepresented the mileage of a used vehicle and violated the terms of a previous settlement with Zoeller’s office to return excess fees for document preparation to customers. Zoeller’s lawsuits seek civil penalties and restitution in both auto-related matters. First Financial Link and Josegan allegedly requested that consumers make payments that ranged from $1,500 to $2,000 for foreclosure prevention. Consumers eventually realized that little to no progress was made on their loans. The lawsuits against the two companies allege that the defendants violated … Continue Reading

AG Zoeller files lawsuits against local businesses

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By Rob Earnshaw Times Correspondent HOBART | It was just a “day in the life” for the Indiana Attorney General’s Office as it completed its move from Merrillville to Hobart’s Police, Court and Community Complex. Indiana Attorney General Greg Zoeller filed five lawsuits ranging from foreclosure consultants to violations by local used car dealerships in Lake County. First Financial Link LLC and Josegan Inc., both of Florida, are accused of bilking two Lake County victims for a total of $3,500. The businesses promised to reduce homeowners’ interest rates or monthly payments in exchange for an upfront fee. The companies also did not register a $25,000 surety bond with the Attorney General’s Office to conduct business as foreclosure consultants in the Indiana. “These are things we’re very aggressive about,” Zoeller said. “We’ll probably find out after we file this how many other people might have been similarly scammed. Right now we’re telling people don’t pay money up front to foreclosure rescue outfits.” Hometown Motors in Gary and Luke’s Family Motors in Highland face lawsuits for allegedly taking advantage of consumers by rolling back odometers. The Attorney General’s Office said Hometown Motors and its owner John F. Petrassi are accused of knowingly reporting inaccurate mileage and year of a used vehicle and failing to provide titles to purchase vehicles. Luke’s Family Motors, in addition to an accusation of misrepresenting mileage of a used vehicle, is accused of violating the terms of a previous settlement reached with the Attorney General’s Office. “That will up the ante when it comes to penalties,” Zoeller said. “The first time we can usually work something out that makes it clear we’re paying close attention. The second time you’re in real trouble.” The Attorney General’s Office also filed a lawsuit against The Vacation Store and its owner Tom … Continue Reading

Dealer made £100,000 by clocking (Approximately $ 200,000 U.S. Dollars)

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A used-van dealer wound millions of miles off odometers and illegally made over £100,000 (Approximately $ 200,000U.S. Dollars)  in just 10 months, according to Trading Standards Agency (TSA) officers. Maxwell Stuart Alvey, 50, from Gedling Road in Arnold, Notts, pleaded guilty to 10 separate charges of fraud and is now awaiting sentence at Nottingham Crown Court. His then-partner Jane Louise Starbrook was cleared of any involvement in the case at an earlier hearing. TSA officers launched an investigation into Alvey’s business after receiving several complaints regarding unusual wear and tear on vehicles with relatively low mileages. In the worst example seen by the court, Alvey took almost 300,000 miles off the odometer of a Mercedes van. Clocking is one of the most widespread illegal practices found in the used car industry. The fraudulent practice involves using computers or mechanical tools to physically wind back the number of miles displayed on a cars odometer, allowing the dealer to sell the vehicle for a higher price than would otherwise be possible. Buyers of used cars are reminded that careful checking of a vehicle before purchase is a vital precaution, as doing so can allow buyers to avoid cars that are likely to break down or encounter other problems after getting the car on the road. Article found at: http://www.rac.co.uk/news-advice/motoring-news/post/2012/5/dealer-made-100000-by-clocking/

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Making A Federal Case Out Of Odometer Fraud

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You know, not every lawsuit involves complex issues of law – not every case is filled with earth-shattering allegations. Sometimes the law is mundane. However, just because a case involves some familiar allegations and easily understandable facts doesn’t render the matter uninteresting. For example, take the federal lawsuit in the District Court for the Middle District of Louisiana against Beau Michael Guidry of Baton Rouge, LA., the owner of Affordable Imports in Denham Springs, LA. According to federal prosecutors, Guidry purchased high-mileage motor vehicles online through eBay and from wholesale automobile auctions in Louisiana, Mississippi and Texas. At the time that Guidry resold the vehicles at his lot or on eBay, many of the vehicles were over ten-years old. That’s an important milestone as many used car buyers know because Guidry was not required certify in writing the accuracy of the mileage. You may have your heart set on that Ford or GM truck, your kid may need a set of wheels and you’re thinking about a Honda or Nissan — there’s this great deal at the local used car lot or the nearby AutoNation. On the other hand, you saw this great deal on eBay or your next door neighbor says he has a friend of a friend. Hey, you’re a big boy or girl, you know the risks. As long as it’s a fair deal. Yeah, sure — these “as is” sales are the stuff of legend – with caveat emptor being the rule of the road and buyers well advised to have a mechanic check out the auto before handing over the purchase price. More than a few so-called cherries have proven to be held together with chewing gum or rubber bands, or were found floating in some swamp after a hurricane. The funny thing about the lore of … Continue Reading

Mileage rip-off hits thousands of used car buyers

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WIND UP: Used car buyers have been warned to beware shonky sellers who wind back odometers. Source: The Courier-Mail USED car buyers have been warned to beware of shonky sellers winding back odometers, with a report revealing tens of thousands of used cars have been “clocked”. The illegal practice is most common in South Australia, Tasmania and Queensland where one in 100 vehicles has been tampered with, according to consumer vehicle research site carhistory.com.au The site found that in the year to March, just under 1 per cent of used cars it checked had odometers wound back which, if representative of the national used car market, meant tens of thousands of vehicles were being sold under false pretences. Carhistory boss David Scognamiglio said the report indicated that every state had groups of shonky sellers who had evaded detection and prosecution for misrepresenting odometer readings. “Many sellers fail to provide statutory warranties and falsify log books and other documents to car buyers,” he said. “No one wants to buy a car to find out in the next few months that they’ve been ripped off, the warranty is void or they are having issues due to the vehicle’s extensive use.” Individual offenders face up to two years in jail and fines of $40,000 to $60,000, depending on the state, while organisations face fines of about $200,000. Two years ago, Operation Turner collected $400,000 in fines from 13 Queensland offenders detected, Mr Scognamiglio said. Carhistory’s new report uncovered dozens of shocking examples of fraud, including: A Lexus coupe found by a buyer to have been wound back 70,000km. Another motorist lost their $50 deposit after backing out of a sale when they discovered a repairable write-off that should have had a 190,000km reading showed only 125,000km during a test drive. Mr Scognamiglio warned “clocking” … Continue Reading

Baton Rouge, Louisiana, Man Pleads Guilty to Odometer Tampering Charges

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Beau Michael Guidry of Baton Rouge, La., pleaded guilty today in the U.S. District Court for the Middle District of Louisiana to three counts of odometer tampering. Guidry, owner of Affordable Imports in Denham Springs, La., purchased high-mileage motor vehicles both online, through eBay, as well as from wholesale automobile auctions in Louisiana, Mississippi and Texas.  The vehicles’ odometers were then rolled back as much as 147,000 miles.  Guidry subsequently resold the vehicles at his lot in Denham Springs or through eBay to unsuspecting purchasers. Many vehicles were more than 10 years old when Guidry sold them.  Because of the age of the cars, Guidry was not required to sign a disclosure certifying as accurate the mileage on the vehicles that were more than 10 years old.  However, each time he altered an odometer with intent to change the mileage on the odometer, he violated federal law. “Just because a car dealer does not have to certify the mileage on cars he sells, that does not give him a license to roll back odometers,” said Stuart F. Delery, Acting Assistant Attorney General for the Civil Division.  “It is equally fraudulent to roll back a so-called ‘exempt’ vehicle as rolling back a non-exempt vehicle.  With cars remaining in service longer, people rely on vehicles older than 10 years for basic transportation.  These citizens are not fair game for crooked car dealers.” “The odometer tampering statutes were put in place to protect consumers who pay more for used cars, and suffer other financial and potential mechanical harm when odometers on cars are rolled back,” said U.S. Attorney Donald J. Cazayoux, Jr. of the Middle District of Louisiana.  “The Department of Justice is committed to putting in prison those who steal from consumers and put them in danger by selling cars with rolled … Continue Reading

Flier for illegal odometer service leads to arrests

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According to reports, the Auto Theft Unit learned that fliers were being placed on vehicles at an auction that advertised odometer services. The flier read, “Odometer services, digital or analog, we adjust, correct or replace, any odometer to any miles, we come to you.” The flier included two phone numbers that deputies discovered belonged to Douglas Craig and his son Austin Craig. In April, an undercover officer called one of the phone numbers and spoke with Douglas. The deputy arranged to meet with Douglas to roll back the odometer of a car with 100,000 miles, according to reports. Douglas told the deputy it would cost $125 for the service, reports said. In mid April, the undercover deputy made contact with Douglas again. He agreed to meet in the Walmart parking lot later that day, reports said. Douglas and Austin arrived to Walmart driving a silver 2002 Chevrolet Cavalier. When the deputy asked Douglas about how easy it was to change the odometer readings, Douglas offered to show how easy it was by changing the mileage on his Cavalier, reports said. Austin plugged a device into a service port of the Cavalier and changed the odometer from 5,000 miles to 60,031 miles, reports said. When Douglas and Austin walked to the Cobalt with the device, they were arrested and charged with two counts of tampering with an odometer. http://www.nbc-2.com/story/17525330/2012/04/18/men-arrested-for-tampering-with-odometers

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