Car buyers get restitution following settlements with allegedly deceptive dealers

Submitted by Office of the Attorney General

Rokita

Indiana Attorney General Todd Rokita recently obtained thousands in consumer restitution for Hoosiers who bought cars from auto dealers allegedly engaged in deceptive conduct, including odometer fraud.

The settlements are a continuation of AG Rokita’s work to ensure Hoosiers receive true and accurate information when purchasing a car.

“Buying a car is one of the two biggest purchases most people make,” AG Rokita said. “As part of our mission protecting consumers, we want to ensure Hoosiers can make informed choices based on true and accurate information. We have no tolerance for dealers who engage in deceptive sales practices that hurt both consumers and the reputations of dealers who operate with honesty and integrity – who comprise the vast majority.”

AG Rokita’s team entered settlements with four dealers in January – Flexible Auto Sales, Zoom Auto Sales, US Auto Finance, and Nissan of Warsaw.

Flexible Auto Sales entered into a consent judgment after allegedly tampering with and lowering the mileage on vehicle odometers and representing false low mileages to consumers. Under the terms of the settlement, Flexible Auto Sales is ordered to pay consumer restitution in the amount of $101,077. The owner of Flexible Auto Sales is also barred from owning, operating or managing a car dealership in the future. Flexible Auto Sales had previously ceased operations after AG Rokita filed his lawsuit.

Zoom Auto Sales entered into an assurance of voluntary compliance (AVC) after allegedly failing to inform purchasing consumers that the vehicles they were purchasing had “rebuilt” title brands. Under the terms of the AVC, Zoom Auto Sales agreed to pay consumer restitution in the amount of $13,575.

US Auto Finance entered into an AVC after allegedly advertising vehicles for specific prices and then significantly raising those prices for consumers who chose to finance their vehicles. Prior to entering the AVC, US Auto Finance credited the accounts of 110 consumers who were overcharged in the total amount of $240,759.

Nissan of Warsaw entered into an AVC after allegedly sending out a prize mailing that included deceptive statements, including allegedly falsely representing that recipients had won a prize when they had not. Under the terms of the AVC, Nissan of Warsaw paid a civil penalty in the amount of $17,250.

Consumers who believe they have encountered wrongful business practices are encouraged to file complaints with the Attorney General at in.gov/attorneygeneral.