A defunct Valley Stream used car dealer failed to deliver proper titles for the vehicles it sold to at least 48 customers, according to the New York State Department of Motor Vehicles.
The DMV’s Division of Vehicle Safety has secured titles for 48 customers, the DMV said Monday, adding that additional cases against 1-800 Preowned, the shuttered dealer, were pending.
In one case, the dealer used the same vehicle to scam two customers, the DMV said.
The state agency said 1-800 Preowned failed to pay off an outstanding loan on the first customer’s trade-in vehicle, and then sold that vehicle to a second customer who was unaware that a lien aginst the vehicle remained outstanding.
The DMV said it would seek a permanent record of the violations, which it said would be taken into consideration if any of the individuals involved in making the 1-800 Preowned sales apply to open another automotive business with the DMV. It didn’t name the executives at 1-800 Preowned.
The vehicle safety division regulates about 11,000 car dealers in the state. It receives more than 6,000 consumer complaints each year, about half of which are resolved through mediation, the DMV said.
Most complaints are related to the condition of the vehicle or the dealer’s failure to file a registration and title in a timely manner, the DMV said.
The DMV said anyone who believes they’ve been a victim of a DMV-regulated business should call its vehicle safety unit at 518-474-8943.