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Noncompliant and outright illegal behavior by dealers, managers, and staff have generated headlines throughout the year. Less heralded are the instances in which dealership personnel took action that led to arrests.
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A jury deliberated for less than an hour before deciding Reagor Dykes’ Bart Reagor owes Ford Motor Credit Co. the full amount it demanded following an investigation into the Texas group’s floorplanning practices.
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A federal grand jury has charged a Kentucky dealer and two alleged accomplices with defrauding a manufacturer — thought to be Toyota — of more than $4 million by running 350 used pickups through a consumer buyback program.
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The shady practices dealers and F&I professionals once bragged about are now landing many in jail. Compliance expert lists three forms of fraud you can eradicate immediately.
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The U.S. Department of Justice has charged a Maryland dealership with offering different credit terms to different customers based on race, an allegation backed by reports from African American and white testers.
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The federal Equal Employment Opportunity Commission says BMW Cleveland violated the Age Discrimination in Employment Act when it terminated two older salesmen and failed to rehire a former service manager.
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Hyundai North America has sued a Pennsylvania dealer for fraud, claiming he bilked the automaker for $5 million by buying up hundreds of used Sonatas and purposely damaging their engines beyond repair.
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FCA US and Fiat Chrysler Automobiles will pay $40 million to settle charges leveled by the SEC, which accused the automaker of misleading investors by falsifying monthly sales reports to maintain the appearance of monthly gains.
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Five motorcycle dealerships owned by Microsoft executive Howard Crow were suddenly shuttered last week. Managers and staff have returned, without pay, to open the doors and deliver or return bikes to bewildered customers.
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The office of California Attorney General Xavier Becerra has charged the 10-rooftop Paul Blanco’s Good Car Co. with credit application fraud, payment packing, and false and deceptive advertising.
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