MELBOURNE, Fla. — A luxury used car lot in Melbourne closed after an Action 9 investigation found customers who sold cars on consignment were paid with bad checks.
More victims are now coming forward, including buyers who can't get titles to their cars.
Action 9's Todd Ulrich found the dealership's manager already faced a massive federal fraud case, so Ulrich tracked the manager down at another business he recently opened.
Heather Fox fears her Chevy Trailblazer could be repossessed any day. She never missed a payment but since buying it at USA Auto and Lending in Melbourne she can't get a permanent tag.
“No title exists for this vehicle so I can't put my tag on it," she said.
Fox is one of at least 10 customers Action 9 found who bought cars at USA Auto and Lending but can't get clear titles because the dealership didn't have a right to sell them.
“Am I going to keep the car or will I lose it? That's what I deal with every day,” said Fox.
Action 9 first exposed USA Auto after three customers told them they sold vehicles on consignment, but that the dealership never paid them.
Rozalia Thomas lost $19,000.
“I couldn't believe it. It just blew me away," she said.
Two weeks after Action 9’s first investigation aired, the doors were locked. The lot was then emptied of all the cars.
Then a month later, the Division of Motor Vehicles formally suspended the dealer's license.
Tom Biddix had been Auto USA's vice president. The same guy facing a $32 million federal fraud trial accused of diverting government funds.
Before the lot closed, Biddix and his father opened a steak house in Vierra. He didn't return Ulrich’s calls, so Ulrich tried to find Biddix at the restaurant.
“I'm here for Tom Biddix,” said Ulrich. A server said she would go get him.
Biddix's truck was parked out back but a manager talked to Ulrich by cellphone and said he wasn't there.
Several customers filed complaints with state regulators and local police.
Thomas is still waiting for her $19,000.
“Have state investigators done anything to get that back?” asked Ulrich.
“No, no,” replied Thomas. ”I guess this is not an important crime to deal with.”
Several customers complained to the state in March, and their cases are still not resolved.
One Palm Bay man filed against the dealers bond to recover $16,000.
Cox Media Group
