Auction Owner Admits to Defrauding Dealers

Posted by carguy - July 22, 2014 - Industry News - No Comments

Former auto auction owner Michael L. Wolfenbarger of Spartanburg, S.C., has pled guilty in federal court to wire fraud.
U.S. District Judge Timothy M. Cain accepted the plea and will sentence Wolfenbarger once the U.S. Probation Office has prepared a pre-sentence investigation report.

Evidence presented at the change of plea hearing established that Wolfenbarger, 42, owner of the now defunct Spartanburg Auto Auction, would write checks drawn on bank accounts with insufficient funds or create counterfeit instruments and deposit these checks into other accounts. The pattern of depositing insufficient funds checks and counterfeit instruments resulted in the books and records of the banks showing inflated balances that permitted these NSF checks or counterfeit instruments to be honored rather than returned unpaid.

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