Ex-Dealer pleads guilt to fraud

[XDCX]

A Chrysler Dealer in West Virginia plead guilty to charges that he defrauded his flooring source for over $3.7 Million in 2001 and 2002.

Amazingly, his flooring source would allow him to FAX a list of the vehicles that he had on floor plan and they did not perform regular flooring checks.

The Dealer admitted to registering used cars from an out-of-state used car lot as inventory that he would submit to the flooring source via FAX. The flooring source funded the vehicles assuming that they were part of the dealership's used car inventory. This practice continued for two years.

According to the U.S. Attorney's Office, the Dealer used the funds to conceal business losses, purchase a multi-million dollar residence and purchase two Lear jets.

Sentencing will occur later this year.

Here's a link to the news report: http://sundaygazettemail.com/News/200803030628

[SHACOS]

Sounds like the movie Fargo. :)

[XDCX]

Sounds like the movie Fargo. :)

Exactly. :D

I bet there are a few people at the Bank that would love to run the Ex-Dealer through the chipper. :mad:

On a side note, I'd hate to have to admit how far I made it through that movie before I figured out it was fictional. I read the opening script that indicated that it was based on a true story - I never figured that the opening script would be a lie. :confused:

[SHACOS]

Well you just burst my bubble because I still thought it was based on a true story. :)

[XDCX]

I was surfing the Internet and noticed that the Dealer Principal was just sentenced to 26 Months in Jail for defrauding his flooring source.

Here's a link to the news report: http://www.wsaz.com/news/headlines/24403719.html

I also thought it was somewhat humorous that he has to repay the $4.2 Million deficiency by making payments of at least $1,000/month.

At $1,000/month he'll need 4,200 months to payback the deficiency - that's 350 years - and it doesn't include interest. :(