Flood Damage Cars and Fraud and Sandy

The news is reporting that charges have been brought regrading the selling of flood damages cars form super storm sandy.

The main operator appears to have persons working with him at the MVC to assist him in his scheme
Prosecutors say the dealership acquired eight vehicles at auction that sustained flood damage during Sandy and that were auctioned by an insurance company “for parts only,” but that the defendants allegedly had fraudulent “clean” titles issued for the vehicles and sold seven of them to customers who were unaware of the flood damage.

This is a serious matter and demonstrates that you should have a mechanic look at a car before you purchase the car, not only for accident damage but flood damage also.

Claim like this would fall under the New Jersey Consumer Fraud Act

There are estimates that well over 100,000 flood damages cars form sandy have been resold and placed back into the circulation

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