Greenville dealership accused of fraud

GREENVILLE, Mich (WOOD) - Secretary of State Terri Lynn Land announced Friday she suspended the license of La Fond Auto Sales in Greenville as a result of a fraud investigation by her department.

The used car dealership at 4213 West Carson City Road  was found to have sold extended warranties to 34 customers without having sent the money to the warranty company.

"Our investigation found that La Fond Auto Sales was selling nonexistent warranty coverage to unsuspecting used car buyers. Preying on Michigan residents will not be tolerated and will be met with appropriate consequences," Land said in a statement. "The vast majority of auto dealers represent their industry with integrity. But if a bad apple surfaces, we will move swiftly to protect the hard-working families of this state."

During the investigation, the La Fonds were told to stop selling the fake warranties to customers. Despite this, the dealership continued the activity.

The Michigan State Police is pursuing a criminal investigation of the owners for obtaining money under false pretenses.

24 Hour News 8 will have more as this story continues to develop.

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