Indiana sues used-auto dealer for odometer fraud

Used-car dealership faces lawsuit over odometer fraud

INDIANAPOLIS (WISH) — Indiana Attorney General Todd Rokita says used-auto dealership KBB Auto Sales rolled back odometer numbers for at least 216 cars with a combined total of 14 million miles.

That means, on average, each car had about 64,815 miles removed.

The company was dissolved in 2023, but authorities are taking the company, its owner and employees to court.

In the court document, the Republican attorney general names Brandon Billingsley, Nicolas Fortinberry and Shannon Hayes. The attorney general said the dealership fooled customers by using a tool to roll back odometer numbers or even swapping out original odometers with other vehicles to scam customers to pay more.

The state is seeking $10,000, or three times the cost of the actual damage, whatever is greater for each customer.

Rokita said, “This outright fraud unfairly gives a bad name to the good and honest people working in the used-car business. Worse than that, these unethical tactics deceive consumers who buy these vehicles with rolled-back odometers. They wind up with higher-mileage cars and trucks with more wear and tear than they thought.”

His office says some of the vehicles are more than likely still on the road.

“In any industry, you’re going to have bad actors,” said Travis Baldwin, president of Indiana Independent Automobile Dealers Association.

For consumers looking to buy a new car, he says, protect yourself. “The first thing you want to do? Just check the dealer’s online reputation. Where do they rank? Are they five stars on Google? Are they members of Better Business Bureau?”

He adds to do some homework, and check the vehicles’ history report through Carfax and similar online sites.

Whether a vehicle has a digital or analog odometer doesn’t matter. Either odometer can be manipulated and getting an independent inspection is ideal.

“You can take a vehicle for an independent inspection at most mechanic shops and hook it up with a diagnostic port for that vehicle, and you can read what the actual mileage should be. That would be a great practice for consumers that you take it for an independent inspection.”

The attorney’s generals office encourages buyers who has experienced odometer fraud in this case or in others to reach out and file a complaint.

The office also gave additional tips when buying used vehicles:

  • Do your research and know your budget prior to going to the dealership.
  • Test drive the vehicle in a variety of conditions: highway, city streets and stop-and-go traffic.
  • Get a vehicle history report to check for potential odometer issues, prior accidents and damage, salvage, rebuilt or flood damage title brands.
  • Have an independent mechanic inspect the vehicle.
  • Check whether the vehicle has any open recalls, including safety recalls. This information can be obtained at safecar.gov.
  • Ask to inspect the vehicle’s title, including the odometer disclosure.
  • Closely inspect the final paperwork to ensure the price and terms match what was negotiated.