Ferrari Dealership Altered Odometers on Used Vehicles for Profit

News broke earlier this week of a Ferrari dealer embroiled in a lawsuit after a salesman accused the company of authorizing the use of devices that roll back vehicle odometers. Despite being a great way to improve the valuation of a used car, the practice is generally frowned upon — our best guess is because it’s super shady and totally illegal.

However, it was unclear if the issue revolved around one grubby dealership in Palm Beach or a systemic problem that included the manufacturer. The DEIS Diagnostics System that made the shenanigans possible does require online authorization from Ferrari corporate offices. But it could be that someone at home base didn’t know the extent of what the tool was actually being used for.

Unfortunately, they did. This week, details emerged from the case files of Robert “Bud” Root’s lawsuit against New Country Motor Cars. Back in April of 2017, Ferrari issued a memo to the dealership that can best be paraphrased as “cut it out.”

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Whoops: Mercedes-Benz Diesel Probe in U.S. Uncovers Possible Defeat Device

U.S. investigators have found what could be illegal software modifications on Mercedes-Benz diesels intended to help the vehicles pass emissions testing. An engine management function called Slipguard recognized whether the car was undergoing testing procedures while another, called Bit 15, halted emissions cleaning after roughly 16 miles of driving. Together, the two pieces of software may amount to what is known within the industry as a “defeat device.”

When paired the software apparently enabled the cars to produce NOx levels up to 10 times higher than what is legally permitted. Interestingly, Mercedes-Benz issued a voluntary recall upon roughly 3 million European cars last month to reduce nitrogen oxide emissions by tweaking their electronic control units.

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John Cena Ready to Take Ford to the Mat Over Supercar Contract

Late last year, Ford Motor Company decided to sue professional wrestler and actor John Cena after he decided to sell his GT supercar. Hoping to keep ownership of the vehicle exclusive, the automaker included a clause in the ownership contract that expressly forbade anyone from selling it within two years of taking delivery. Cena decided to flip the vehicle early, causing Ford to go after him in the courts on breach of contract, fraudulent misrepresentation, and unjust enrichment.

His position appeared to be indefensible. Ford’s lawsuit even alleges that John apologized after the automaker took him to task, saying, “I completely understand and as stated am willing to work with you and Ford to make it right.”

However, the winds may have shifted in his favor. Cena is reportedly asking the judge in the case to throw out the lawsuit on the grounds that his contract never included the clause that forbid resale within the first 24 months of ownership.

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Everyone's Busted: Ex-UAW VP's Widow Pleads Guilty in Corruption Case

The last of four people initially charged in the UAW-Fiat Chrysler corruption scandal pleaded guilty on Tuesday to one of five charges against her. That makes the entire quartet culpable, at least to some degree, to the financial misconduct that occured between the automaker and workers’ union.

However, the case is far from closed. While Monica Morgan, the widow of former UAW vice president General Holiefield, copped to one count of subscribing a false tax return, her plea bargain ignores the other charges against her. The prosecution’s leniency may indicate a hope that she might assist with the ongoing union corruption probe, even though the deal doesn’t require her to cooperate with investigators. Of course, the prosecution already has former FCA labor relations chief Alphons Iacobelli for that task

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This Union Corruption Scandal Is Getting Awfully Messy

The multimillion-dollar corruption scandal involving the United Automobile Workers and Fiat Chrysler Automobiles is starting to cross the line from hubbub to full-on fiasco. Earlier this week, three FCA employees filed a federal lawsuit against the automaker and the UAW seeking hundreds of millions of dollars in damages over allegations that union officials colluded with company executives to influence collective bargaining.

Meanwhile, a recently released plea deal with former FCA labor relations head Alphons Iacobelli implicated former UAW Vice President Norwood Jewell — the man tasked with overseeing the most recent round of contract negotiations with FCA. Iacobelli claims he and other FCA employees transferred hundreds of thousands of dollars in illegal payments to tax-exempt organizations controlled by UAW officials, including Jewell’s Making Our Children Smile Foundation.

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Lotus CEO Busted at 102 MPH, Lawyer Claims He Was Just Testing the Car

Most of us have been caught speeding at one time or another. As enthusiasts, it’s often difficult not to try and squeeze out every last ounce of joy from a fun-to-drive automobile when the path ahead is open. While we may think of corporate executives as soulless monsters, singularly focused on satisfying shareholders and lining their pockets, some of them are also people who enjoy driving cars.

Lotus CEO Jean-Marc Gales is definitely such a man, and his love of driving ended up getting him into trouble when he was nailed for traveling 102 mph in a 70 mph zone on England’s A11 expressway. While the offense occurred roughly a year ago, his court date was yesterday. With eight points already on his license (most of which also came from speeding violations), things looked bleak for Gales, at least until his lawyer managed the most brilliant defense in traffic court history — claiming that it was vital the CEO not lose the ability to test drive new models.

It worked.

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Feds Allege FCA Executives Bribed UAW Officials to Play Nice

Former Fiat Chrysler labor relations chief Alphons Iacobelli pleaded guilty to two of seven charges relating to his role in a plan to divert more than $4.5 million in training center funds to union and company officials on Monday. As part of a plea deal with federal authorities, Iacobelli provided information regarding confidential retirement offers and a former union vice president being groomed to support company initiatives.

In an admission that he and other FCA employees paid various senior UAW officials over $1.5 million in an effort to “obtain benefits, concessions, and advantages for FCA in the negotiation, implementation, and administration,” Iacobelli is now helping map the deepening mire that is the FCA-UAW training center scandal.

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VW Attempting to Block Emissions Audit in Constitutional Court

Volkswagen Group said on Thursday that it would be petitioning Germany’s constitutional court to overturn the appointment of a special auditor to investigate the actions of its management during its diesel emissions scandal. Appointed last November, the auditor’s goal is to establish whether or not VW’s top brass withheld information about the manipulation of vehicle emissions as they related to testing.

Even thought the automaker has said it wanted to improve transparency shortly after the scandal kicked off in September of 2015, Volkswagen wants the work of the auditor suspended prior to the constitutional-court hearing against it. This begs the question: Does VW still have something to hide or is it so fed up with the litigation surrounding “dieselgate” that it’ll do just about anything to keep officials from dredging up the past?

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Nearly There: Feds Green-light Emission Fix for More Audi Diesels

The Environmental Protection Agency and California Air Resources Board have approved emissions repairs for another 24,000 Audi vehicles equipped with the 3.0-liter diesel V6.

Back in May, a U.S. District Judge ruled that if Volkswagen Group failed to obtain government approval for fixes on its emissions-cheating diesels, it would be forced to offer owners buy-backs. Keen not to spend even more money as a result of dieselgate, the company went to work on a solution — resulting in an initial 38,000 Audi and Porsche vehicles spared from the wrecking yard.

The new approval covers 2014-2016 Audi A6 Quattro, A7 Quattro, A8, A8L and Q5 diesel models. The vehicles are to have their defeat device software removed and various hardware components replaced to ensure emissions compliance. VW says it has now has a remedy for about 75 percent of its tainted 3.0-liters, and hopes to have a solution for the remaining 20,000 soon.

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Despite Being Under Criminal Investigation, Uber Got a Great Deal on Otto

Uber Technologies Inc. received quite a bit of publicity when it purchased autonomous semi truck developer Otto in 2016. Still, it saw even more headlines when it became embroiled in a trade secrets lawsuit with Waymo. That case involved files obtained by Anthony Levandowski, former Google engineer and co-founder of the self-driving truck company, who was accused of selling confidential data to Uber (along with his business).

The bad news is that Uber now the subject of a federal investigation and knee-deep in the aforementioned litigation. But the good news is that it appears to have scored a really sweet deal on Otto.

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This New Florida Bill Would Make It Illegal to Have Your Car Stolen

Florida lawmakers are pushing a new bill that would make it illegal to have your car stolen if you haven’t bothered to take the keys out of the ignition. While accidentally prepping a car for prospective thieves is easily one of the dumbest things you can do, making it illegal to leave it running while you pop in to buy a pack of gum sets us up for a nice slippery slope argument.

Last week, State Representative Wengay Newton and Senator Perry Thurston introduced matching proposals (House Bill 927 and Senate Bill 1112) that would make leaving your car unattended without stopping the engine, locking the ignition, and removing the key a second-degree misdemeanor. Under the Florida statute, the crime would be punishable with a $500 fine and up to 60 days in jail.

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Accused VW Executive Claims to Have Been 'Misused' by Company

One of the handful of Volkswagen Group executives that have been forced to appear in front of a judge over the company’s widespread emission scandal, Oliver Schmidt, has exclaimed he was misused by his employer after issuing a guilty plea. Unless the charges are revised prior to sentencing, the former VW employee has copped to conspiracy to defraud the federal government and violating the Clean Air Act. A third charge of aiding and abetting wire fraud was rolled into the conspiracy charge.

The admission to corporate wrongdoing was made in August. However the claim that the company had taken advantage of him came later via a letter to U.S. judge Sean Cox.

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John Cena Sued By Ford for Flipping His GT Supercar

Ford wasn’t kidding about wanting to keep ownership of the GT as exclusive as possible. In addition to setting production numbers incredibly low, the company also carefully vetted prospective supercar buyers and made them promise not to resell the vehicle for at least two years.

While atypical of Ford-branded vehicles, clauses like that aren’t uncommon among high-end manufacturers selling an ultra-rare model. But what happens when a customer decides to ignore the contract and flip the vehicle prematurely?

Well, as wrestling-icon John Cena found out, the automaker takes you to court. On Thursday, Ford Motor Company filed suit against Cena in the U.S. District Court in Michigan over breach of contract, fraudulent misrepresentation, and unjust enrichment.

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Uber Paid Hackers to Delete the Stolen Data of 57 Million People

In the midst of Uber Technologies’ corporate restructuring and cultivation of a squeaky-clean new image, the ride-hailing company was apparently hiding a dark secret. Striving for transparency, the company has now confessed that hackers stole the personal information of 57 million customers and drivers in October of 2016.

The coverup, apparently conducted by the firm’s chief security officer and another staff member, involved over $100,000 in payments to the hackers in the hopes to keep them quiet. The data lost included names, email addresses, and phone numbers of around 50 million Uber riders across the globe. Another 7 million drivers were also subjected to the digital attack, with over half a million of those losing their driver’s license numbers.

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Dealerships to Receive $335 Million In Payments Over Supplier Price-fixing Scheme

Roughly 8,000 U.S. dealers will share in a $335 million payday resulting from a colossal 2010 antitrust investigation. The issue? Suppliers were involved in a widespread price-fixing scheme that lasted decades, and nobody noticed until the FBI raided the offices of Yazaki North America Inc., Denso International America Inc. and Tokai Rika Group North America.

In the end, 65 individuals and 47 companies were charged by the Justice Department — resulting in over $2.9 billion in fines and jail time for a swath of fresh white-collar criminals.

However, none of that money made it to manufacturers, dealers, parts retailers, or consumers. Those players had to resort to filing civil suits in federal court against the companies. In 2012, the multitude of claims were consolidated and transferred to Judge Marianne Battani and the U.S. District Court in Detroit. Over $1 billion has been set aside for affected parties, with around $335 million of the sum going to dealerships.

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  • Jeff Overall I prefer the 59 GM cars to the 58s because of less chrome but I have a new appreciation of the 58 Cadillac Eldorados after reading this series. I use to not like the 58 Eldorados but I now don't mind them. Overall I prefer the 55-57s GMs over most of the 58-60s GMs. For the most part I like the 61 GMs. Chryslers I like the 57 and 58s. Fords I liked the 55 thru 57s but the 58s and 59s not as much with the exception of Mercury which I for the most part like all those. As the 60s progressed the tail fins started to go away and the amount of chrome was reduced. More understated.
  • Theflyersfan Nissan could have the best auto lineup of any carmaker (they don't), but until they improve one major issue, the best cars out there won't matter. That is the dealership experience. Year after year in multiple customer service surveys from groups like JD Power and CR, Nissan frequency scrapes the bottom. Personally, I really like the never seen new Z, but after having several truly awful Nissan dealer experiences, my shadow will never darken a Nissan showroom. I'm painting with broad strokes here, but maybe it is so ingrained in their culture to try to take advantage of people who might not be savvy enough in the buying experience that they by default treat everyone like idiots and saps. All of this has to be frustrating to Nissan HQ as they are improving their lineup but their dealers drag them down.
  • SPPPP I am actually a pretty big Alfa fan ... and that is why I hate this car.
  • SCE to AUX They're spending billions on this venture, so I hope so.Investing during a lull in the EV market seems like a smart move - "buy low, sell high" and all that.Key for Honda will be achieving high efficiency in its EVs, something not everybody can do.
  • ChristianWimmer It might be overpriced for most, but probably not for the affluent city-dwellers who these are targeted at - we have tons of them in Munich where I live so I “get it”. I just think these look so terribly cheap and weird from a design POV.