Large-scale fraud lands car dealership owner in New Jersey jail

An online poster to report financial fraud posted by the U.S. Attorney’s Office for the Eastern District of New York. (Photo: https://www.justice.gov/usao-edny)

Afzal Khan, aka “Bobby Khan”, of Atlantic County, New Jersey, was sentenced on September 7, 2022 to 24 months in prison, convicted for his role in fraudulent activities conducted through his car dealership, announced the American lawyer Philip R. Sellinger. .

Khan, 40, of Egg Harbor Township, New Jersey, previously pleaded guilty by videoconference before U.S. District Judge William J. Martini to the first count of an indictment charging him with wire fraud, a news release from the District of New Jersey said.

In addition to the prison sentence, Judge Martini sentenced Khan to three years of probation and ordered the forfeiture of $1.1 million. Refund will be determined later.

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According to documents filed in the case and statements made in court, cited in the press release:

From at least December 2013 to September 2014, Khan, through his car dealership, Emporio Motor Group of Ramsey, New Jersey, engaged in acts aimed at defrauding lenders and customers.

Khan obtained loans from the auto finance division of a major bank for cars he never delivered, but for which the buyer was still responsible.

Khan also obtained loans from the victim bank for cars which were delivered, but for which neither he nor Emporio had a title. As a result, buyers of these cars were responsible for loans, but could not register the cars.

Additionally, Khan offered to sell cars for individuals on consignment, but did not return the cars or provide money to individuals from the sale of the cars.

Khan admitted that as a result of his actions, he exposed the victim bank to a potential loss of at least $550,000.

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