Banks accuse auto dealer of fraud
Wed, 12 Sep 2012 03:06:08 GMT —
A Benzie County auto dealer and attorneys for several banks were in court this afternoon over fraud allegations.
Investigators say Platte Valley Auto Sales did something called double flooring. That's when a dealer takes several loans out on a car from different banks.
Detective Sgt. Troy Lamerson, Benzie County Sheriff's Office says, "They secured funding through different financial institutes and kept funding for themselves or their business."
Detectives say they may have done that with as many as 70 cars. All the vehicles will be removed from the lot Wednesday until the case is sorted out.
The Benzie County Sheriff's Office says they're building a fraud and larceny case against the dealers. No arrests have been made yet.
The former owner of the dealership, who co-signed the loans for the current owner, says he had no knowledge of what was going on. He has filed a separate lawsuit against David and Rhonda Purchase, the current owners.