1-800-554-1026 May 18, 2015
ON THE WEB: Credit Acceptance Reports Profits
www.usedcarnews.com
Industry Seeks Ways to Improve Recall Process
Credit Acceptance Corp. announced consolidated net income of $71.5 million for the three months ended March 31, compared to consolidated net income of $49.8 million for the same period in 2014.
CPS Enters New Credit Agreement
Consumer Portfolio Services Inc. entered into a new twoyear revolving credit agreement with Fortress Credit Co., LLC. The new agreement replaces a revolving credit agreement that CPS has used since December 2010.
America’s Car-Mart Adds Dealership
America’s Car-Mart, Inc. announced the opening of its 141st dealership. The dealership is located in Glasgow, Ken. Glasgow is the 12th dealership in Kentucky and the 7th new dealership opening for fiscal year 2015. The company’s Rolla, Missouri location opens this month.
Rush - Dated Material
TO THE SERVICE SHOP?: Millions of vehicles, like this Ford Fiesta, will be spending time in service shops thanks to the high number of recalls issued in the past year. The federal government and industry officials are seeking ways to increase recall completion rates.
Both the federal government and an industry group are looking at ways to improve recall completion rates. The U.S. Department of Transportation’s National Highway Traffic Safety Administration hosted its Re-
tooling Recalls event, a oneday workshop that brought together leading transportation officials, automotive industry representatives, safety advocates, and researchers to examine the topic. “Recalls are only success-
ful and can only save lives if they end up getting the cars fixed, but we know that 20 percent of vehicles that are recalled – and possibly more than that – go unrepaired,” said Transportation Secretary Anthony Foxx. “This is a safety risk to the drivers
of those vehicles and all the people they share the road with, too.” NHTSA marked a record year in 2014, with the highest number of vehicle recalls in more than three decades. There were 803 vehicle reContinued on page 10
Dealer Jailed for Using Certificate to Dodge Sales Tax By Sheila McGrath
A 60-year-old used-car dealer in suburban Baton Rouge was arrested on charges that he used his Louisiana Revenue Department resale certificate to avoid paying sales tax on two classic cars. Joseph Wayne Leone, of Metairie, was jailed April 7 on felony charges of theft, injuring public records and failing to account for state tax monies. The charges arose out of two transactions, but Louisiana Used Motor Vehicle Commission Executive Director Derek Parnell said further investigation into Leone’s activities is underway, and more charges are pending.
Investigators with the Louisiana Department of Revenue allege that Leone bought a 2006 Ferrari from a Florida dealer using his state resale certificate, which allows sales-tax exempt purchases of items intended for resale to customers. He bought the Ferrari for $124,000, but when he registered it with the Louisiana Office of Motor Vehicles, he listed a taxable value of $5,000. He then sold it to himself for that amount, paying $479.75 in state sales tax. State officials say he owes $6,885.48 in taxes, penalties and interest. “Our anti-fraud initiative with the Department of Revenue has resulted in dozens of arrests of individuals whose actions negatively impact the hard-working taxpayers of Louisiana,” Attorney General Buddy Caldwell said in a statement.
KNOW YOUR BID
BEFORE IT HITS THE BLOCK See how on the back cover
01_UCN.indd 1
5/11/15 5:57 PM