French Auto Dealerships Under Investigation Amid Claims of Fraud and Unpaid Sellers
A growing number of customers are alleging financial misconduct and administrative failures against a French auto dealership and its affiliated companies, with a preliminary investigation now underway for breach of trust, fraud, and misuse of corporate assets. The issues range from sellers never receiving payment for thier vehicles to buyers unable to register their newly purchased cars.
Sellers Left Empty-Handed
Renaud, one of the affected sellers, shared his frustrating experience. “I gave them my car to sell before the summer. She left for 30,000 euros, but I never saw the money even though the contract provides that the funds are paid within fifteen days,” the frustrated seller lamented.
Mounting Complaints and a Growing Victim Network
Renaud’s experience is far from isolated. At least 20 formal complaints have been filed, and a WhatsApp group has already swelled to include 20 victims, some dating back as far as two years. Many discovered the extent of the problems after finding negative reviews online. “We only discovered the problem afterwards: looking at the reviews on Google, I saw that many other people had never gotten their money back,” Renaud (1) explained.
The complaints fall into two primary categories: failure to pay sellers and failure to issue registration documents to buyers.David, a customer of the manager’s first company, purchased a car for €57,000 in 2023 but has been unable to drive it due to the lack of a registration document. “I bought a car for 57,000 euros. But since 2023, it has been covered in my garage because I was never issued the registration document,” he stated. “I’m going through hell: I saved ten years to treat myself to the convertible of my dreams, and I find myself unable to drive it, because I don’t have the papers.”
Other cases involve significantly larger sums. Olivier is currently awaiting €121,000 from a sale that was supposed to be finalized in April.His investigation revealed the buyer actually paid €127,000, leaving a €6,000 discrepancy. “Where did the money go?” he asked, after legal action and a search by bailiffs uncovered only €30,000 in the company’s accounts.
Conflicting Accounts and Legal Scrutiny
The creator of the two companies, one of which is now in liquidation, offered a defense, claiming the issues stem from disputes with buyers who returned vehicles after purchase. “They are taking us a vehicle. It is stunning and we are selling it to a buyer. But we ended up with procedures because the vehicle no longer suited the buyer,” he explained. He maintains that out of 3,000 vehicles sold, only 12 disputes arose.
However, this description is contested. In June, the judicial court of Bergerac (Dordogne) ordered the second company to pay €75,000 in damages. Legal counsel representing victims are raising concerns about potential breaches of trust and even a fraudulent liquidation of the first entity. “We can also suspect a fraudulent liquidation of the first entity,” stated Me Maxime Gravellier, counsel for another plaintiff, suggesting a “potential institution of insolvency.”
Internal Disputes and a Criminal Investigation
The manager vehemently denies any wrongdoing, even suggesting he plans to file a complaint against his former sales director, blaming them for neglecting the legal aspects of the sales. “We received clients who had never signed a contract. It is because of him that society is sitting on a mountain of troubles,” he claimed.
This accusation was immediately refuted by the former sales director, who asserts the manager had complete control over financial transactions. “It was the owner who managed the financial aspect. The salespeople took care of the sales, and the only person authorized to manage the transfers was him,” the former director stated. This claim is supported by three employees contacted by Sud Ouest,who confirmed that the manager was solely responsible for generating payments.
The Bordeaux public prosecutor’s office has confirmed the opening of a preliminary investigation into the allegations. While the accused currently benefits from the presumption of innocence, the mounting evidence and growing number of victims paint a troubling picture.
