Bend car dealer pays restitution to buyers
Published 12:00 am Thursday, August 14, 2014
The Smolich auto dealerships in Bend agreed to settle complaints of unlawful trade practices involving five used car sales by paying $5,800 in restitution to the buyers and $29,000 to the Oregon Department of Justice, according to records in Deschutes County Circuit Court.
General Manager Mike Smolich, of Jim Smolich Motors Inc., said the company acknowledges its mistakes.
Trending
“We never set out to do anything illegal or malicious. We feel bad,” he said Wednesday. “We screwed up, and we screwed up twice over the years. I thought we had procedures in place to prevent that from happening.”
The Justice Department alleged that Smolich Motors advertised reduced prices or low interest rates, then told prospective buyers those offers no longer existed. An investigation discovered five suspect sales between July 12-14, 2013. Oregon Attorney General Ellen Rosenblum said the auto dealer was under a previous agreement for similar alleged violations in 2012.
None of the car buyers, three couples and two individuals, knew before Friday that the state had investigated their purchases, said DOJ spokeswoman Kristina Edmunson. They received amounts ranging from $2,500 to $425, she said.
The $29,000 will go to a consumer protection fund, she said.