AUGUSTA, Maine (Legal Newsline) - Maine Attorney General Janet Mills announced a proposed consent judgment on Thursday against a used car dealer who allegedly engaged in unscrupulous business practices.
Glenn Geiser and his affiliated businesses, My Maine Ride and Bumper2Bumper Inc., allegedly targeted consumers with poor credit, pressured them to buy cars that were not road worthy and failed to respond to consumer complaints. Under the terms of the proposed consent judgment, Geiser and the dealerships would be out of business until 2021 and some consumers would be able to get partial restitution for repair costs. Consumers may be eligible for forgiveness on the loan balances for repossessed cars.
If the judgment is accepted, Geiser will not be able to apply for the business licenses required to operate a repair shop, car dealership or inspection station or work for one if it is operated by a member of his household until 2021.
“In addition, the companies Mr. Geiser relied on to exploit consumers will not do business with him in the future," Mills said. "This should stand as a warning to any business that thinks it can cut corners and abuse Maine consumers.”
Mills reached agreements with seven finance companies that provided financing to consumers who bought vehicles from Geiser. The Federal Trade Commission's Holder Rule and the Maine Consumer Credit Code subject finance companies holding consumer loans to the same claims consumers have for allegedly selling them unsafe and defective vehicles.
The companies agreed to stop collection actions for consumers whose vehicles were repossessed, erase the debt, no longer provide financing for future businesses owned or operated by Geiser, and remove all negative information related to the loans from credit reports. The finance companies that reached agreements with Mills' office include Credit Acceptance Corporation, United Auto Credit Corporation, Consumer Portfolio Services Inc., Source One Financial Corporation, Mid-Atlantic Finance Company, Westlake Services LLC and Persian Acceptance Corporation.
Separate civil litigation remains pending against Bangor Car Care Inc., a company owned by Geiser's mother.