Bogus Leasing Companies Con Naïve Motorists

Sunday, 20. September 2009

Following on from the warning about crooks a warning has been issued by the Finance & Leasing Association regarding another fraud that is on the increase. Bogus rental and lease companies are being set up that provide criminals with access to what appear to be legitimate insured and taxed vehicles. The vehicles are obtained fraudulently on finance then sublet with tax and insurance in place, the same as a daily rental vehicle. The vehicles can then be leased out to innocent consumers and businesses, who are seduced by low rentals, only to find that the bogus company, through which the cars are leased, stops paying for the car whilst the innocent party continues to pay until the car can be tracked down by the leasing company and repossessed. According to the FLA one criminal gang created a bogus leasing company, operating in the North West of England, through which they obtained 250 vehicles on finance. I repeat, beware of who you are dealing with and don’t simply be seduced by a low rate. By Graham Hill