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Classic Car Dealer Pleads No Contest In Court

  
Via:  Split Personality  •  3 years ago  •  1 comments

By:   Steven Symes (MSN)

Classic Car Dealer Pleads No Contest In Court
He's going to be punished, but not as severely as some were hoping…

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He's going to be punished, but not as severely as some were hoping…


Consigning your classic car to a dealership might seem like a good, no-hassle way to sell it, but you still need to be careful. That's clearly illustrated by the case of David Cotten, the former owner of Bay City Motor Company who just struck a plea deal with prosecutors in Michigan. On September 10, Cotten pleaded no contest to a charge of larceny by conversion greater than $20,000.

Over a year ago, several customers of Bay City Motor Company accused Cotten of selling their cars and keeping the cash. Investigations by the Michigan Department of State Regulatory Monitoring Division and Michigan State Police were launched over one particular accusation.

As we covered before, previous news reports out of Michigan detailed several people's experience with Cotten, claiming he swindled them out of large sums of money. One in particular was Allen Kayler of Arizona. The man consigned a 1976 Chevy Chevelle and a 1966 Chevy Nova to Bay City Motor Company, both pretty desirable cars. That was back in 2018.

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Before too long, Cotten contacted Kayler with good news: a buyer was interested in both vehicles. The classic car dealer requested the Arizona man send both titles to him, however afterward Cotten stated the deal fell through. To keep the other man from requesting the titles be sent back, the dealer explained a lot of people were interested in the cars, which was a believable thing but was allegedly not true.

When the vehicles supposedly still weren't sold in 2019, Kayler grew suspicious. After digging around, he found one car was registered to a new owner in Virginia and the other was registered in Utah. The asking price for both cars totaled $238,000.

Another man, who wasn't named in local reports, successfully sued Cotten and won a civil judgment against the dealer for $253,000.

Why Cotten wasn't charged for the other incidents of allegedly pocketing all the cash from selling other customers' cars isn't apparent. Sometimes the justice system is sloppy and haphazard, an unfortunate fact we all live with.

Source: ABC 12


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1  seeder  Split Personality    3 years ago

Not Cotten's first rodeo. he was embroiled in a car swap and title fraud in 2018 which was settled legally but Cotten never complied with that court order.

Investigators allege that although Cotten agreed to sell the Chapman’s Jaguar on consignment for about $220,000, a truer estimate for the Jaguar would have been about $126,000.

Officials allege Cotten later claimed the customer wanted to trade the Jaguar for a 1958 Cadillac Eldorado valued at $130,000, with an understanding that the balance of about $90,000 would be forwarded to the customer once the Jaguar sold. However, dealership records show the Eldorado was purchased outright by the customer, officials said.

Officials allege Cotten then assigned the Jaguar’s title to Bay City Auto Company, transferring ownership of the Jaguar to the dealership, and brokered the sale of the car for approximately $118,300 with an auto auctioneering company in California. The vehicle was sold to a buyer in Germany and officials allege Cotten never remitted the sale proceeds to the Jaguar’s original owner, who, for the next two years, was led to believe that the car was still on the market.

Cotten is represented by Bay City attorney Matthew B. Hewitt. His case is scheduled for a settlement conference on Feb. 28.

 
 

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