WASHINGTON, D.C. – With ongoing supply chain issues driving ongoing shortages of new vehicles – and increased demand and prices of used ones – new scams to prey upon the unwary are starting to emerge from the depths of the internet, aimed squarely at separating prospective car-buyers from their hard-earned money.
Most recently this malady took place in the United Kingdom, where fraudsters put up a fake vehicle retail website, Auto-Promotions, which falsely used the photos of a Hollywood actor and a Financial Times reporter.
Prior to a BBC investigation that shed light on their illicit business practices, Auto-Promotions had ripped off multiple people while operating between March and September of this year by taking thousands of pounds in exchange for cars that were not only never delivered, but that never even existed to begin with.
In other words, money would be sent, but then the new “owners” would be left waiting for a car that never arrived.
The fraud even continued to the website’s “staff” page – where random headshots and identities were pulled from the internet – to the stock on offer, which consisted of vehicle photos and descriptions that were also swiped from other, legitimate sales sites, and prices were often far below what competitors were offering.
While the Auto-Promotions website is no longer in service, authorizes say that the scammers behind it have so far eluded justice.
Reports indicate that so far in the UK, there were more than 3,000 incidents – consisting of a consumer loss of 9.5 million pounds (approximately 10.7 million United States dollars) – reported to police involving online vehicle fraud, representing an increase of 21 percent from 2019.
The fallout from the COVID-19 pandemic has given rise to these scam artists, with production chain issues – especially concerning the manufacture of semiconductors, needed to build new cars and trucks – has increased demand and prices for vehicles, both new and used.
With this being the situation, the allure of finding a new automobile online has proven to be a goldmine for fraudsters, and authorities urge anyone attempting similar web-based vehicle purchases to exercise extreme caution and do so only after fully vetting any business they anticipate buying from beforehand.
This advice pertains to both residents of the UK and those here in the Untied States as well, as these predators can strike anywhere the internet gives them reach.
In 2019, the Federal Trade Commission, or FTC, an agency of the United States government focused on consumer protection, released a consumer alert titled “Put the brakes on phony online car sales” warning about scammers trying to sell cars they don’t have or own.
Christopher Boyle is an investigative journalist, videographer, reporter and writer for SEARCHEN NETWORKS® as well as other independent news and media organizations in the United States. Christopher works on a wide variety of topics and fields, has been featured in print and online in a variety of publications, from local to national, and helps keep a keen-eye on what’s happening in the automotive world for Auto Buyers Market.