Titles Unlimited -- Bail Bonds Blues?

[JWheaton]

Update on the recent investigation of Cobra owners in California over how their cars were title.

Wonder what is going to be the next step in this for the car owners.

For histroy on what has been going on read hte follwoing thread.
Search Warrants and All

http://www.sacbee.com/content/news/s...-8002510c.html


Man accused in alleged vehicle registration scam
By Edgar Sanchez -- Bee Staff Writer
Published 2:15 a.m. PDT Friday, July 18, 2003
An Alabama man was arraigned in Sacramento Superior Court on Thursday on 18 felony counts stemming from an alleged car-registration scam that may have cost California thousands of dollars in taxes and license fees.
Richard Weaver, 54, of Birmingham, Ala., is charged with preparing bogus title and registration documents that understated the value of 18 high-end or classic cars that were later registered with the California Department of Motor Vehicles.

By presenting the falsified papers to the DMV since mid-2000, the owners avoided tens of thousands of dollars in taxes and license fees, according to court filings.

But the complaint may be just the tip of the iceberg, according to the state attorney general's office, which is prosecuting Weaver, owner of Titles Unlimited of Alabama.

"We've identified 513 vehicles that were registered in California with titles that came from Titles Unlimited since January 2000," said Hallye Jordan, a spokeswoman for the attorney general.

Each car was valued at more than $45,000, meaning the state may have lost more than $7 million in taxes and vehicle registration fees, she said. But the actual loss may rise to $14 million because "the Titles Unlimited Web site says the company has 'processed over 30,000 automobile titles in the past 28 years,' " Jordan said.

By conservative estimate, more than 4,000 of those cars are believed to have been registered in California, Jordan said, adding the investigation is continuing.

Weaver did not enter a plea during the reading of the charges. He remains free on $10,000 bail.

Outside court, defense attorney Christopher Wing said his client is not guilty.

"We think what happened is he basically got bamboozled by the owners of these fabulous cars, just like the DMV did," Wing said.

Wing said Weaver provides a service for people who have difficulty obtaining title documents for classic cars.

The 17 car owners named in the complaint told Weaver the kind of cars they had, and he prepared the title papers accordingly, the defense attorney said.

"He took the car owners at their word," Wing said. "They were ultimately given bills of sale (from Alabama). But my client did not register one vehicle in California. He basically utilized the laws of Alabama to be able to get titles to these old cars."

If convicted on all charges, Weaver would face up to 14 years and four months in prison.

The probe began in late 2001, when the Yolo County District Attorney's Office looked into the fraudulent registration of a car owned by Terry Brown, a former Woodland police officer, court documents said.

Brown had purchased a 2000 Superformance Cobra that was built in South Africa but exported to the United States without engine or transmission, court papers said. Brown bought the car in Nevada for $37,480.

"In California, Brown installed a new engine in the vehicle," a court affidavit said. "He valued the completed vehicle at $51,358."

But Brown paid Weaver $200 to title the car as a 1965 Ford Cobra convertible worth $13,500, Deputy Attorney General Robert Morgester said in court papers. Using the document, Brown later registered the car in California.

The California attorney general prosecuted Brown, who last year pleaded guilty to making a false statement to the DMV, Jordan said. Brown, who could not be reached for comment, was sentenced to 80 hours of community service.



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About the Writer
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The Bee's Edgar Sanchez can be reached at (916) 321-1132 or esanchez@sacbee.com.

[agro1]

...and that $7 Mil is the reason CA is having such massive budget problems... PA-LEASE.

Also, why would an ex-cop (Brown) buy a car for $37,480 and register it for $13,500 ?? Makes you wonder what other crimes he committed while on the job...And he only get's 80 hrs of community service, what a joke. Leave it up to a dirty ex-cop to F it up for the rest of us...

[klayfish]

I seriously hope all the California owners, and other states that have used TU, don't wind up in some serious hot water. I must say that's quite a spin the TU atty was trying to put on the situation. His client got bamboozled by the owners? Like he didn't know exactly what the cars were and how much they were worth. The biggest fear I would have is that you know he is probably going to turn on EVERYONE he serviced in order to try to protect his own butt. Man...that is such a bad situation.

Steve

[Kputz]

Seems to me it's the price one was willing to pay when he got involved in perpetuating fraud to begin with. The only possible reason to go with TU to begin with is to register a car that isn't what the title claims it is, whether to pay less sales tax to register it or to dodge some anti smog rules...neither of which would be beyond me, necessarily...but one has to assume the consequences if/when you get caught.

[Roscoe]

Just an observation but how can tu be charged in CA when he did not register a car in CA. He sold a car titled in AL to someone in CA but did not fill out any CA paperwork. So how did he break any CA laws???

Seems to me that CA should go after the persons who registered the vehicles. no?

Not passing judgment, just looking at it objectively.
Roscoe

[JWheaton]

Roscoe -- Good point. California will come up with a new law to pass to support their case though


California Dreaming --- NOT

[Sheppard]

Roscoe,

I'm not an expert in this area of law, but seems to me that the purported crime was committed in California.....it also seems to me that conspiracy may be one of the more serious aspects of this scheme......there may even be federal law violations involving fraud by wire and interstate commerce......probably a better name for it but....if Ashcroff quit chasing his tail for a moment and takes an interest in this terrorist act against the sovereignty of the United States...well things could get very sticky......just my .02

[Excaliber]

Typically Hawaii follows whatever "trends" are happening in Calif. Time to circle the wagons........

Ernie

[Woodz428]

Not to address the owners involved her, but more TU's services. I haven't used them for many years but did several times for vehicles (usually Mustangs) that I got legally, but because they had lost titles and the expense in the state and tracking down previous owners for signatures was much more so I availed myself of their services. I used the serial # on the car and don't feel any fraud was committed. It is my understanding of the process (at that time),that they ran a check on the # to verify it wasn't stolen and then issued the title. I still had to get it registered here and pay whatever fees our pocket feelers set. So not all transactions with them can be considered fraud and all this over a state not getting enough taxes is ridiculous. Ca. needs to stop spending so much (as do most other govt. entities) instead of trying to milk everyone for as much as they can.

[hound dog]

Last fall when I went to get a title for mine I was told by the DMV that they would not accept a title application that was done by TU. I had to title mine as a 2002. However, good ol' North Carolina doesn't require street rods and "specials" to pass smog laws so it really wasn't an issue. The problem with the taxes is, the state is usually the one that sets the value on the car. The book value of a '65 ford just isn't real high. But if they checked the real value of a real '65 cobra, say quarter mil, and taxed the cars that way there wouldn't be a problem with anyone wanting to title reproductions as a '65. Maybe everyone should work to get hot rods and "specials" exempted from the smog laws, that's all we want anyway isn't it? We can't say that Double Venom hasn't been warning us about this potential problem.
h dog

[cobrap51d]

agro1,

He also lost his job of 27 years. Calling somebody a dirty ex-cop is so far out of line. I'm sure we are all challenged with reporting the proper amount of taxes at times.

[Alex Donghi]

Gta love Georgia. No tax on a used vehicle if you buy it from an individual

[Mr.Fixit]

Edited to remove any material which sympathizers to convicted criminals might find offensive.

[PatBuckley]

Holier than thou POS's really are irritating.

[stengun]

Howdy,

I've checked w/ DMV here in arkansas and its real easy to get a "kit car" titled here. AR's taxes are real cheap and we don't have an inspection or smog test. It would cost about $25.00 to title a kit car. Plus no sale tax on used cars under $2,500.00.

[Mr.Fixit]

"The probe began in late 2001, when the Yolo County District Attorney's Office looked into the fraudulent registration of a car owned by Terry Brown, a former Woodland police officer, court documents said...........He valued the completed vehicle at $51,358. But Brown paid Weaver $200 to title the car as a 1965 Ford Cobra convertible worth $13,500....."

The whole investigation was started because of this guy's (Terry Brown) fraud. He didn't even try to make the stated value believable. There is breaking the law, and then there is breaking the law in such a stupid manner as to have a red flag raised and ruin the party for everyone. He was foolish, and now lots of CA cobra owners are getting hassled because of it.

[Bud Man]

Unfortunate, as I believe such companies perform a great service. Many years ago, I restored a basket case '57 Harley FL with sidecar that had a bill of sale but the title had been long lost. Declared the true cost, secured a title, and in time had this beautiful machine back on the road. I was very thankful for the service.

When I registered my car, I took down every scrap of paper I had detailing the build cost of the car, and took a very deep breath when I wrote the check for tax on that amount.

It wasn't fun, but I sleep well at night..................

Bud

[Double Venom]

I will NOT say...I told you so. I will say that THIS is only the begining! People...Do NOT try to title your vehicle other than what it is, in ANY state. California is not the first state to go after "TU". Just the first state to announce it publicly. Ohio, Michigan, New York, etc., have all been their before California. It IS only a matter of time!

Mr. Fixit....himmmm.

DV...Play by the rules, it really is easy.

[cobrap51d]

Mr.Fixit ,

At this stage in my life I pay all my taxes. I don't know why anybody would lie about taxes. We are a fortunate group to own these cars. I don't know Terry but I know lots of people that have done the same thing. Calling somebody a dirty cop is so overboard. There are a bunch of others in the suit that did the same thing as Terry. Terry was caught and so were the others. Now lets move on and see if we can keep our cars on the roads by doing what's right.

[Mr.Fixit]

The people who have been affected by this aren't just those who fraudulently titled vehicles. More than one cobra owner has purchased a used cobra, only to have it's registration revoked due to what the original owner did wrong. I know a cop who is in that position right now. He has a SPF that needs to be re-registered and have the taxes paid again. Cops are the first people to tell you," If you aren't prepared for the consequences of breaking the law, than don't break the law." I just don't understand all the sympathy for Terry Brown, he knew exactly what he was doing, and did it anyway. Because of his (and others) choices, the fine toothed comb will be dragged through the cobra community here in CA.