BIG BLUE EMPLOYEES INDICTED IN FRAUDULENT SCHEME…
TRIO FROM LOUISA DEALERSHIP INDICTED BY W. VA. FEDERAL GRAND JURY IN CONNECTION TO MASSIVE WARRANTY FRAUD
ALLEGED THREE ALSO GOT HELP FROM OUT OF STATE PAIR OF MEN, WHO IN TURN WERE ALSO INDICTED FOR THEIR INVOLVEMENT WITH FRAUD OPERATION
U.S. attorney office federal prosecutors say James Pinson, 44, of Crum, West Virginia; who has a residence in Louisa,; Gary Conn, 56, of Louisa, and Tammy Newsome, 53, of Ashland, Kentucky; but is previously from Louisa; are each charged with ten counts of fraud and identity theft.
According to the indictments, the trio organized and participated in a scheme to misuse a car company’s warranty extension program. The program offered to repurchase certain trucks for 150 percent of their value, so long as those trucks were owned by individual customers rather than a dealership.
Participants in the scheme bought the trucks at wholesale prices through auction at James Pinson’s car dealership, Big Blue Motor Sales, which is located in Louisa, Kentucky.
They then allegedly obtained hundreds of copies of Kentucky and West Virginia driver’s licenses, fraudulently titled the trucks in the name of those residents, and were then able to get the car company to repurchase the trucks at 150 percent of the value.
According to United States Attorney Mike Stuart’s office in Charleston, the trio ran 350 trucks through the scheme between 2013 and 2015, causing approximately $4.3 million in losses to the car company.
Tammy Newsome is also charged with aggravated identity theft.
Frank Russo, 68, of Raleigh, North Carolina; and Kevin Fluharty, 58, of Clarksburg, West Virginia; have also been indicted for their roles in the same scheme.
If convicted, all of the three defendants, Pinson, Conn, and Newsome; face up to 30 years in prison.
“This is the second indictment setting forth very serious allegations of a long-term warranty fraud scheme,” U.S. Attorney Stuart stated in a press release. “Five individuals have now been charged in connection with the alleged fraud scheme that resulted in well over $4 million in losses.
###
ADDITIONAL INFO FROM THE HERALD DISPATCH…
EDITOR’S NOTE: AND INDICTMENT IS NOT PROOF OF GUILT OT INNOCENCE BUT MEANS THERE IS ENOUGH EVIDENCE TO TAKE THE MATTER TO COURT.
This is why honest carsales people get a bad name, I know at Purecountry auto we are straight forward and honest with our customers. These people care about nothing but money. Glad they got caught .
This is the funniest comment I’ve read in a while!!! The words “car salesman” and “honest” does not go together in a sentence, paragraph or a page at ALL!!!!
Says the guy who basically used the comments section as a free ad. Time and place, Mark.
I DISAGREE VERY DAMNED STRONG ! With this just Ask Around about JR Wrights Auto Sales Probably the most HONEST GUY YOU COULD EVER BUY A VEHICLE FROM !!!! But I AGREE LIES GO ON AT LOT OF CAR DEALER SHIPS !
Don’t holler at us! We all know “Purecountry” is the only honest car lot! NOW.
Sure you are! There is not now, nor has there ever been an honest car dealer or car lot. Doing a bit of free advertising are you? I worked at several car lots over my younger days, and I know better. Hell, you couldn’t stay in business if you told the truth. Good try nonetheless. 🙂
Mr Burton, you have worked about every dealership in the tri state, and you say your honest, lol or lazy
Yup 4 dealerships I have worked for so I know how it works , lazy?? Right. Lol. All I can speak for is myself and where I work.
Remember INNOCENT until proven guilty
Nope, not in this country anymore!!! One is GUILTY until proven innocent and even then the public will convict and sentence everyone in public!!!
Sad but so very true! People are so quick to judge everyone!
Remember when the FEDS indict you 99.99% of the time they have everything they need to send you to prison. When the indictment is for a crime that is 4+ years old, it means it’s been investigated in detail, and although the defendants are constitutionally innocent now, I wouldn’t bet the farm they don’t get long prison terms and lose everything they own.
What will be the next Louisa business to fall due to fraud/greed?
ARC
My son bought a car there that the title at one time was a rebuilt title and they had it made over to another state that does not require a rebuilt title then back to here. The car also had been used as a rental car, and by law they suppose to tell you this. But no lawyer found it worthwhile to file a claim. Was told there fee would be higher than the car was worth…
Thoroughbred Motors in Lexington KY needs to be investigated also. My son just traded in a truck that he was told was covered by an extended warranty that was included with his payment. Nope…he was lied to…. better go over paperwork thoroughly….
The need to release the names of the people they used as pawns in their little game.. And let those folks sue them also. Fraudulently using someone else’s name as a owner !!!
Just want to say I’m glad they were caught, and as far as their innocence goes I very much doubt they are innocent. Considering it’s federal and they have multiple charges each means they have not only definitive evidence for court but also possibly enough to win the case. What’s actually kind of disturbing to me is the identity theft aspect of this. I say this because every ID or drivers license is state issued and has a validation chip as well as built in sticker to make sure it’s authentic and supposedly unable to be faked. So the actual bigger question on top of the fraud and scheme itself to me is how are these individuals able to get their hands on hundreds of ID’s and how many more people are truly involved. Sorry for the long comment as well, this just seemed very interesting since it’s close to home and before someone slams me this is more or less just a speculative comment.
I agree! The drivers License part is scary, since 9/11 states at least claim their system is more or less fraud proof, if these people did manage to make fake ID”s in this day and age, I don’t know how? But hell, people are counterfeiting our new $100 bills. Kind of sounds…MOB related?
You people are so naïve. They didn’t physically make drivers licenses. They weren’t sitting there, shuffling through a stack of real laminated licenses, picking one out. All they needed was the information from a driver’s license, which can easily be had if you’re in the car dealership business.
The printed article did say hundreds of copies of drivers licenses Citizen, I suppose that could be paper copies. When they cashed the checks for the 1.5 value, I wonder how they pulled that off? Doesn’t one normally present ID when cashing a check? I guess they were all signed over to the car lot? Damn I’m confusing myself now? 🙂
Conn. The name says it all.
Remember when Eric C Conn had a billboard that read:
Eric C Conn
The Name Says It All
Yes, yes it did say it all.
Hey buddy remember innocent until proven guilty. Don’t go casting lots so soon.
Oh stop it John. You know their guilty.
I’ll bet these people are Trump supporters. Fit the profile.
KAG
LMAO
KAG, perhaps you should have your mind examined, by a professional of course. Or I could do it, I will give you a 2 year warranty.
Hahaha. Im dying over here! 😂😂😂
Maybe KCPC…
If I had to pay off KAG’s warranty I wouldn’t be out much!
I responded to your BR549 post 2 or 3 times, and got some kind of error? It’s the way people once made local calls, that particular number is from HEE HAW, I think?
Hahaha.. I didn’t write the other comments about BR549 or the comment you people are so naive. All kinds of people use the name “citizen”…
My name is going to be something different, just haven’t decided what it’s going to be. 🙂
KAG comments confuses the hell out of me, just plain stupidity!
But seriously though I can’t believe this, crazy! Some people you just never know, it’s always comes out in the light when your doing wrong.
I’m a car salesman and I tell the truth 100 percent of the time and carry a bible in my pocket to swear on. My customers love it!
I also tell the truth 100% of the time. Just ask my native cousins.
Obviously Democrats….js
BR549……..you older folks will get it 😃
Couldn’t happen to a better guy
Pretty sure there is a current elected official who worked for them back during those days. Wonder if they had the official do any of the checking off on the paperwork which was part of their job duties at their primary job.
Good thought.. I wonder who that could be?
Speaking of Toyota…. Does anyone know where I can find a early 90’s Tercel in great shape? That was my favorite car ever.
KAG
As a matter of fact KAG, I have 3, a 91, 94 and 96! All come with an extended warranty and a low cost mental exam. I don’t give any money back however. I only sell to good solid Trump supporters so my cars all come with TRUMP 2020 bumper stickers! You interested?
Hahahaha 😂😂😂
Six hours later and I’m still laughing! You’re so funny my Charlsie. 😂😂😂
What kind of name is KAG anyway?
This person is definitely not right.
HE is pretty funny. Your just hatin because he speaks the truth. Hahaha!!
Thank you Citizen. You’re awesome! By the way, how did you do those cute little facey things? I’ve seen those before. I’d like to send KAG a poo and one that looks like Trump. Hahaha! That guy/girl needs a mental exam.
I didn’t write the six hours later comment that was probably KAG! Grow the f**** up people!
I agree that some of these people need to grow up Citizen. Please don’t use that nasty F word though. I just hate that nasty word. Don’t let KAG get to you.
I tell you what! Them car dealerships are nothing but garbage but I’ll go to an honest one when they tell me they are honest. I tell ya what.
She needs more than that!
#stupid
I believe it was on SR 60 between Olive Hill and Morehead, I saw a used car lot named Lying Lee’s. I think he has a lot in Ashland too. By admitting that he is dishonest, is he actually honest?