Odometer fraud worries FRCA

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

High-Tech Thieves Use New Gadget To Gain Keyless Access To Vehicles In Long Beach

LONG BEACH (CBSLA.com) — Police are asking for the public’s help in identifying three tech-savvy criminals wanted for a series of car burglaries in which they used an unknown device to gain keyless entry to vehicles.

The men are accused of breaking into seven vehicles in an East Long Beach neighborhood on the night of Feb. 26, according to Long Beach police.

The suspects were caught on surveillance using small handled devices that caused “the vehicle’s dome light to come on and doors to unlock,” Det. Joseph Starbird said in a news release.

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Police believe there could be several other victims who were also burglarized without their knowledge.

The LBPD’s Auto Theft Detail has been working with law enforcement agencies nationally and internationally, as well as vehicle manufacturers, to identify the type of technology being used.

Thus far, no agency or company has been able to identify the device.

“This is a situation where technology is working against us, making our job much more challenging at a time where resources are already strained. Just as law enforcement tactics evolve, so does the criminal element’s and we need the community’s involvement more so than ever,” stated Chief Jim McDonnell.

Police recommend residents remove valuables and extra keys from vehicles and install motion lights outside of their homes.

Anyone with information on the suspects or their identity should contact Det. Starbird at (562)570-7362. Anonymous tips may be submitted by calling 1-800-222-TIPS (8477), texting TIPLA plus your tip to CRIMES (274637), or visiting http://www.lacrimestoppers.org.

Orignal Article: http://losangeles.cbslocal.com/2013/04/04/high-tech-thiefs-use-new-gadget-to-gain-keyless-access-to-vehicles-in-long-beach/

U.S. Dept Justice: NC Man Charged w Odometer Fraud

Office of Public Affairs
FOR IMMEDIATE RELEASE

Friday, April 12, 2013

North Carolina Man Charged in Odometer Tampering Scheme

In an information made public today, the United States charged Francis Marimo, of Raleigh, N.C., with two counts of odometer tampering.

The information, filed in U.S. District Court for the Eastern District of North Carolina on April 10, 2013, alleges that from 2008 through 2012, Marimo fraudulently caused odometers in used motor vehicles to be altered to reflect false, low mileages. According to the Information, Marimo purchased used vehicles primarily through online advertisements, replaced the existing odometers with odometers showing lower mileages, and then sold the vehicles to consumers while representing the low mileages as accurate. One of the vehicles described in the Information was “rolled back” more than 100,000 miles.

“Consumers rely on mileage readings to determine the value and safety of used vehicles,” said Stuart F. Delery, Acting Assistant Attorney General for the Civil Division. “Victims of odometer fraud lose thousands of dollars on what can turn out to be unreliable and potentially dangerous vehicles. We will continue to prosecute these schemes wherever we find them.”

The North Carolina Division of Motor Vehicles and the National Highway Traffic Safety Administration Office of Odometer Fraud Investigation investigated this case. The case is being prosecuted by the Justice Department’s Consumer Protection Branch.

The charges in the information are only allegations, and the defendant is presumed innocent unless and until proven guilty.

Posted by Gary Mitchell

Springfield cops say they’ve busted national crime ring involving stolen trailers

SPRINGFIELD, Mo — A national crime ring – busted.

Investigators say a trailer theft operation here in the Ozarks reached far across the USA.

Detectives say South Valley Trailer, LLC, located at 1219 E. Division Street, would steal trailers, change the vin numbers, and then sell them out of state – as far away as North Dakota.

The bust dates back to December 2012, when several trailers were reported stolen in Springfield; security cameras captured some of them.

Someone spotted a missing trailer at South Valley a few days later, prompting a police investigation. Sales records showed transports to a company in North Dakota, who posted pictures of trailers of sale.

The pictures matched the descriptions of the stolen property.

Officers say details helped crack the case.

“People need to make sure they know serial numbers and the info of the trailers and keep them secure,” Lt. Kevin Grizzell tells KSPR News. “Keep them locked up and chain them. The harder you make it to steal, the less likely it is to be stolen.”

Detectives went back to the company’s offices last month and took several hard drives and computers. Officers think files saved on those drives will reveal the whole extent of the ring.

Grizzell says he expects prosecutors to file charges against South Valley’s owners later this month.

One owner already has a long criminal record, including two convictions involving burglary and stealing.

Springfield police officers served a second search warrant last month on a company called South Valley Trailers.

Original article: http://www.kspr.com/news/kspr-springfield-cops-say-theyve-busted-national-crime-ring-20130401,0,344630.story

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

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 are accused of illegally importing the vehicles from the United States and altering them for resale in Canada. In some cases, the odometers were allegedly rolled back to make the cars appear newer. The vehicles did not have a safety check.

One of those customers was Roberta Campbell, a well-known Winnipeg lawyer, who purchased a Mercedes-Benz for about $25,000, sources said. Campbell had an independent check of the vehicle done and concluded she had been ripped off, as the car had been salvaged from the southern U.S. and was in much worse shape than stated.

She demanded her money back before going to police in November. By that time, police were already investigating several similar complaints against Sierhuis, sources said.

Campbell declined to speak about the case Thursday, saying she will wait for it to play out before the courts.

Sources said part of the case against Sierhuis involves a secret audio recording of a conversation between him and one of his customers regarding a disputed vehicle purchase.

In another case, Sierhuis is accused of passing off a 2006 Volvo as a 2010 model during an attempted transaction. That alleged offence occurred in September 2012 and led to a charge of “passing wares or services.”

Sierhuis is charged with scamming Campbell and four other named complainants, along with Transport Canada, in offences that allegedly occurred between June and November 2012. He faces a total of seven counts of fraud over $5,000 related to those incidents.

The WPS professional standards unit is responsible for handling complaints against police department members, including complaints about employee conduct. Police said the alleged offences involving Sierhuis were “off-duty conduct.”

Sierhuis was featured in a story in the Free Press Autos section in February 2012, which said he grew up as one of 13 soccer-playing kids in his family. The article detailed his restoration of a 1969 Chevelle SS 396 that he bought a decade ago because he and his wife were expecting and needed a bigger vehicle.

This isn’t the first time this type of crime has been uncovered in Manitoba. Police arrested more than 30 people in 2009 as part of Project Rollback, in which dozens of used cars with high mileage were being purchased cheaply in Ontario, brought to Manitoba and altered to reflect greatly reduced odometer readings to increase their value.

The accused would then make phoney “sales” to each other, insure the vehicle at the increased price, then stage a series of accidents and thefts in order to cash in on the insurance.

Most of the accused in that case have pleaded guilty and been handed jail sentences and restitution orders totalling more than $200,000.

www.mikeoncrime.com

Baton Rouge, Louisiana, Used Car Dealer Sentenced to Prison for Odometer Tampering Fraud Scheme

Dept of Justice Seal

Beau Michael Guidry of Baton Rouge, La., was sentenced today in connection with an odometer tampering scheme that defrauded victims in and around Louisiana, the Justice Department announced. U.S. District Judge for the Middle District of Louisiana James J. Brady sentenced Guidry to a term of 20 months in prison and a term of one year of supervised release during which he cannot be involved in the sale of motor vehicles. In addition, the court ordered Guidry to pay $72,805.51 in restitution to the victims of his crimes.

Guidry purchased high-mileage motor vehicles via eBay and wholesale automobile auctions in Louisiana, Mississippi and Texas. The vehicles’ odometers were then rolled back as much as 147,000 miles and resold via Guidry’s used vehicle company, Affordable Imports in Denham Springs, La., or through eBay to unsuspecting purchasers. Guidry exclusively rolled back vehicles that were more than 10 years old when he sold them

Because of the age of the cars, Guidry was not required to sign a disclosure certifying the mileage on those 10-year old vehicles as accurate. However, each time he altered an odometer with intent to change the mileage on the odometer, he violated federal law.

“Odometer tampering preys mostly on those in society who can least afford to be defrauded,” said Stuart F. Delery, Principal Deputy Assistant Attorney General for the Civil Division. “In these tough economic times, we will take strong action against anyone who defrauds consumers and jeopardizes the safety of our roads and highways.”

Special Agent Wendell Espeland of The National Highway Traffic Safety Administration Office of Odometer Fraud Investigation (NHTSA) investigated this case. The case was prosecuted by Justice Department trial attorney David Sullivan of the Civil Division’s Consumer Protection Branch.

Posted by Holly Merz

Indian Trail Man Pleads Guilty to Trafficking in Counterfeit Airbags

FOR IMMEDIATE RELEASE
CONTACT: Lia Bantavani
MONDAY, OCTOBER 22, 2012
704-338-3140
“http://www.usdoj.gov/usao/ncw
lia.bantavani@usdoj.gov

CHARLOTTE, N.C. – Igor Borodin, 27, of Indian Trail, N.C. pleaded guilty today in U.S. District Court in Charlotte to trafficking in counterfeit airbags, announced Anne M. Tompkins, U.S. Attorney for the Western District of North Carolina. Borodin also pleaded guilty to delivering and causing to be delivered hazardous material, that being airbags, by air commerce in violation of rules and regulations prescribed by the Secretary of Transportation.

U.S. Attorney Tompkins is joined in making today’s announcement by Brock D. Nicholson, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) in Georgia and the Carolinas, and Marlies T. Gonzalez, Special Agent in Charge, U.S. Department of Transportation, Office of Inspector General (DOT-OIG), Region IV.

On August 21, 2012, a federal criminal indictment charged Borodin with one count of trafficking and attempting to traffic in counterfeit airbags bearing the registered trademarks of automobile manufacturers, and one count of delivering and causing to be delivered hazardous materials (airbags) to air carriers for transportation in air commerce.

According to filed court documents and related court proceedings, Borodin is part-owner of Krugger Auto, located in Charlotte. On August 16, 2012, law enforcement agents with ICE-HSI’s Charlotte and Chattanooga, Tenn. offices and DOT-OIG agents executed federal search warrants at Krugger Auto and Borodin’s residence in Indian Trail. Court records show that while executing the search warrants, agents recovered 99 counterfeit airbags from Borodin’s business and 1,514 counterfeit airbags from his residence. Court records also show that Borodin had purchased the counterfeit airbags from China, which he then resold through eBay. According to filed documents and court proceedings, the counterfeit airbag shipments ordered by Borodin did not display the legally-required hazardous material warnings when the shipments were transported in air commerce from China to the United States.

The Department of Transportation has classified airbags as Class 9 dangerous goods, and as such they must be classified, documented, packaged, marked and labeled in accordance with the Hazardous Materials Regulations. The transportation of airbags without legally-required warnings of the hazardous material contained in airbag shipments pose a safety risk to all
persons transporting and handling the unmarked hazardous materials.

According to court records, Borodin sold at least an estimated 7,000 counterfeit airbags online, and between February 2011 and May 2012 Borodin earned at least $1.4 million dollars in revenue from the eBay sales of the counterfeit airbags. Independent testing of a counterfeit airbag sold in September 2011 by Borodin through eBay showed that the airbag did not properly
inflate.

“My office will not allow fake airbags to endanger the safety of the drivers in our communities,” said U.S. Attorney Tompkins in making today’s announcement of the guilty plea. “Airbags that do not meet the quality and safety standards of the automobile manufacturers pose a serious threat to human life because they fail to work when they are needed the most, during a
car accident. Earlier this month, the National Highway Traffic Safety Administration warned consumers of the serious threat posed by counterfeit airbags, which range from failure to inflate during a front-end collision, to expelling flames and shrapnel toward car occupants upon deployment. With the help of our law enforcement partners, we will continue to go after those
who distribute counterfeit airbags in the market.”

“Drivers should not have to worry about whether or not their air bags will shoot shrapnel at them in the event of an accident,” said Brock D. Nicholson, special agent in charge of HSI Atlanta. “HSI is committed to doing everything we can to keep dangerous and counterfeit substandard safety equipment from entering our marketplace and our cars. We encourage anyone
who believes they may have been a victim of this fraud to visit safercar.gov for more information.”

“Public safety and consumer protection are among our top investigative priorities. These unscrupulous acts are committed against people who do not even realize the danger they have been put in,” said DOT OIG Special Agent in Charge Marlies Gonzalez. “Working with our law enforcement and prosecutorial partners, we will continue to leverage our resources to bring to
justice those who violate the law and risk the lives of others.”

Borodin entered his plea of guilty before U.S. Magistrate Judge David S. Cayer. Count one (trafficking in counterfeit airbags) carries a maximum term of ten years in prison and a $2 million fine. Count two (delivering hazardous material) carries a maximum prison term of five years in prison and a $250,000 fine.

At today’s plea hearing, Judge Cayer also issued a consent order and judgment of forfeiture based on the charges contained in the indictment. Pursuant to the consent order, the Court found that, as a result of his criminal conduct, Borodin obtained $1,743,400 in proceeds which he must forfeit. In addition, the Court ordered forfeiture of numerous specific properties including Borodin’s residence, all of the seized counterfeit airbags, and $60,000 in cash seized from his Indian Trail home.

Borodin has been in local federal custody since his arrest on August 16, 2012. He will remain in custody until his sentencing hearing, which has not been scheduled yet.

The investigation was led by ICE-HSI with the assistance of the DOT-OIG. The prosecution for the government was handled by Assistant U.S. Attorneys Tom O’Malley and Ben Bain-Creed of the U.S. Attorney’s Office in Charlotte.

Posted by Holly Merz

Alleged Trafficker of Counterfeit Automotive Accessories Indicted in Virginia

WASHINGTON – An alleged trafficker of counterfeit automotive accessories was indicted yesterday by a federal grand jury in the Eastern District of Virginia for allegedly participating in a conspiracy to sell to unsuspecting U.S. consumers more than $3 million worth of counterfeit General Motors (GM) and Bavarian Motor Works (BMW) automotive diagnostic devices and other automotive equipment, Assistant Attorney General Lanny A. Breuer of the Justice Department’s Criminal Division, U.S. Attorney for the Eastern District of Virginia Neil H. MacBride, Assistant Director Ronald T. Hosko of the FBI’s Criminal Investigative Division and FBI Atlanta Special Agent In Charge Mark Guiliano announced today.

Katiran Lee, 39, an Indonesian national who allegedly sold the counterfeit goods while he was living in Duluth, Ga., was charged with two counts of trafficking in counterfeit goods, four counts of wire fraud and one count of conspiracy to commit wire fraud.

According to the indictment, from August 2008 through December 2011, Lee conspired with manufacturers in the People’s Republic of China (PRC) to sell automotive diagnostic devices bearing counterfeit GM and BMW marks to consumers in the United States. Such diagnostic devices are used by mechanics to identify problems with and assure the safety of motor vehicles employing electronic control systems. Lee allegedly advertised and sold the diagnostic devices on eBay and through his own website, and had the PRC manufacturers send counterfeit devices bearing unauthorized GM and BMW marks directly to his customers.

According to the indictment, during this same period, Lee also advertised and sold over 35,000 counterfeit programmed keys and key fobs for vehicles produced by GM, BMW and numerous other automotive manufacturers, including Chrysler, Honda, Toyota, Audi, Mercedes Benz, Ford, Infiniti, Land Rover, Mazda, Mitsubishi, Nissan, Peugeot, Renault, Subaru, Suzuki, and Volkswagen. Lee allegedly programmed the keys himself and affixed counterfeit marks to deceive consumers into believing that the products came from the respective automotive manufacturers.

In the indictment, the government is seeking forfeiture of computers, programming equipment and thousands of blank keys and trademarked automotive emblems recovered during a search of Lee’s home on Feb. 22, 2012, and the forfeiture of properties totaling up to $600,000.

The case is being prosecuted by Trial Attorney Evan Williams of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney Lindsay Kelly of the Eastern District of Virginia and was investigated by the FBI’s Intellectual Property Rights Unit as part of “Operation Engine Newity,” an international initiative targeting the production and distribution of counterfeit automotive products that impact the safety of the consumer, and FBI Atlanta.

The FBI is a full partner at the National Intellectual Property Rights Coordination Center (IPR Center). The IPR Center is one of the U.S. government’s key weapons in the fight against criminal counterfeiting and piracy. The IPR Center uses the expertise of its 19 member agencies to share information, develop initiatives, coordinate enforcement actions and conduct investigations related to intellectual property (IP) theft. Through this strategic interagency partnership, the IPR Center protects the public’s health and safety, the U.S. economy and the war fighters. To report IP theft or to learn more about the IPR Center, visit www.IPRCenter.gov.

The enforcement action announced today is one of many efforts being undertaken by the Department USDOJ: Alleged Trafficker of Counterfeit Automotive Accessories Indicted in Virginia http://www.justice.gov/opa/pr/2012/October/12-crm-1294.html [11/1/2012 2:11:46 PM] 12-1294 Criminal Division of Justice Task Force on Intellectual Property (IP Task Force).

Attorney General Eric Holder created the IP Task Force to combat the growing number of domestic and international intellectual property crimes, protect the health and safety of American consumers, and safeguard the nation’s economic security against those who seek to profit illegally from American creativity, innovation, and hard work.

The IP Task Force seeks to strengthen intellectual property rights protection through heightened criminal and civil enforcement, greater coordination among federal, state, and local law enforcement partners, and increased focus on international enforcement efforts, including reinforcing relationships with key foreign partners and U.S. industry leaders. To learn more about the IP Task Force, go to www.justice.gov/dag/iptaskforce/.

Posted by Gary Mitchell

Janesville Odometer Tampering

Jeff’s Auto Body

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/

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

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 of offence, especially by those who are at Director level.”

Original article found at: http://www.hgvuk.com/09/24/ausden-clark-fined-10000/

NOTFEA

Working to deter odometer and title fraud