AN AUTO shop owner has been slammed after his ploy to scam drivers cost them 1 billion dollars a year.
The dealership owner tricked unsuspecting drivers by changing the dashboard settings on vehicles about to be sold.
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S. Automotive owner, Simon Nwaru, knowingly disconnected, reset, and altered the odometers on several vehicles, as reported by CBS affiliate WBNS.
The Whitehall car dealership owner has been charged with odometer fraud — a scam that makes vehicles appear to have fewer miles than they actually have.
The point of odometer fraud is to trick consumers into thinking that the vehicle being sold has more value than it does, allowing the seller to charge more for the car.
Nwaru was found rolling back odometers before selling cars to customers at his dealership, which was located at 4333 E. Main Street.
Customers who purchased a vehicle from the Whitehall dealership between November 2020 and May 2022 should double-check their vehicle’s dashboard.
On Thursday, US District Attorney Kelly Norris indicted the auto shop owner before a federal grand jury.
The DA stated that Nwaru disconnected, reset, and adjusted the odometers on vehicles, changing the high mileage to lower mileage before selling them to drivers.
It was revealed that he tampered with at least eight vehicles.
Nwaru changed the cars’ mileage illegally, reducing it by 80,000 to 100,000 miles.
When a car’s mileage is reduced, it means that the vehicle can travel a fewer distance on a given amount of fuel.
Mileage is influenced by several factors, including driving habits, vehicle maintenance issues, and mechanical problems.
The National Highway Traffic Safety Administration (NHTSA) reports that over 450,000 vehicles are sold with false odometer readings every year.
The agency estimates that the crime costs American drivers more than $1 billion annually.
“It can be difficult, but not impossible, to detect whether a vehicle’s odometer has been altered,” according to the NHTSA website.
Dealership Tips
Here are some expert tips when purchasing a car from a dealership lot:
- 1. Set your price: Ensure you’ve calculated your monthly budget before going to the lot. You should include the car’s loan payment, insurance costs, fuel, and regular maintenance.
- 2. Research: Make sure you know which cars you’re interested in test driving before you reach the dealership.
- 3. Pre-approval: Secure financing before you go to the dealership. Dealerships may give you a better interest rate if they are competing with an outside bank.
- 4. Test away: Get behind the wheel before making any payments. A car purchase will be worth thousands of dollars – drivers should ensure they like the drivetrain, steering feel, and comfort of the car before taking it off the lot
- 5. Haggle: Drivers should always try to negotiate the price. There are so many good cars on the American market – buyers have a strong hand when negotiating price.
Source: Kelley Blue Book
Drivers are urged to ask about the vehicle’s title and compare the mileage on it with the vehicle’s odometer before buying a car.
The NHTSA said that if the mileage notation seems hidden or is not easy to read, that could be a red flag.
Drivers can also cross-reference the mileage on the odometer with the mileage indicated on the vehicle’s maintenance or inspection documents.
The NHTSA also states that car buyers can examine the tires — if the odometer on the car shows 20,000 or less, it should have the original tires.
Another way to check for possible fraud is to check how run-down a vehicle appears, and make sure that it’s consistent with the number of miles displayed on the odometer.
Lastly, the agency notes that drivers can also request a vehicle history report to check for odometer errors in the vehicle’s history.