Afzal Khan, Wire Fraud, New Jersey 2023

Newark, N.J. – In a stunning admission of guilt, Afzal Khan, also known as ‘Bobby Khan,’ pleaded guilty via videoconference today to wire fraud charges, according to U.S. Attorney Craig Carpenito.

The 38-year-old Egg Harbor Township resident, who ran Emporio Motor Group in Ramsey, N.J., is accused of a massive scheme that defrauded lenders and customers out of at least $550,000 between December 2013 and September 2014.

Khan, through his dealership, is alleged to have obtained loans from a major bank’s auto finance division for cars he never delivered. However, the purchasers were still responsible for the loans, which created a legal quagmire as they could not register the vehicles without clearing their debts.

According to court documents and statements, Khan also sold cars on consignment but failed to return the cars or pay individuals from the proceeds of the sales. His actions left the victim bank exposed to potential losses upwards of $550,000.

Khan now faces a maximum penalty of 20 years in prison and a fine of $250,000, or twice the gain or loss from the offense. Sentencing is set for December 17, 2020.

The investigation leading to Khan’s guilty plea was conducted by special agents of the FBI’s Newark Division under Acting Special Agent in Charge Joe Denahan. Carpenito also expressed gratitude to the Bergen County Prosecutor’s Office and the Ramsey Police Department for their assistance.