Mitchell Simpson, $3 Million Fraud Scheme, Georgia 2024

Grimy Times has learned that Mitchell Simpson, a former used-car dealer, has pleaded guilty to orchestrating a $3 million scheme to defraud companies that provided floor-plan financing to his used-car dealership in Georgia.

The scheme, which took place from early 2012 through early 2019, involved Simpson using a single vehicle as collateral for more than one floor-plan loan, a deceptive and illegal practice referred to in the used-car industry as double floor-planning and triple floor-planning – a practice expressly prohibited by the floor-plan financing agreements.

Simpson, 56, of Cornelia, Georgia, defrauded the floor-plan lenders by making false and misleading statements and omitting material facts in his communications with the lenders. He also played a shell game with vehicle titles and did not always provide truthful information to lenders concerning the location of vehicles and concerning whether vehicles had been sold.

The loss to the floor-plan lenders totaled over $3 million. Simpson will be sentenced on October 8, 2024, at 11:00 a.m. before U.S. District Judge Steve C. Jones in Gainesville, Georgia.

U.S. Attorney Ryan K. Buchanan stated, “This defendant abused the trust of the companies that loaned him money to operate his car dealership. We will continue to prosecute individuals motivated by greed who use illegal practices to deceive unsuspecting businesses.”

Mitchell Jackson, Senior Supervisory Special Agent of FBI Atlanta’s Gainesville Office, added, “Simpson deceived the lenders who placed their trust in him and now he will be held accountable for his greed. As this conviction demonstrates, the FBI will not tolerate anyone who fraudulently steals or takes money that they did not earn.”

Simpson’s scheme was uncovered, and he has now pleaded guilty to wire fraud charges. The case is a reminder of the importance of honesty and transparency in business dealings.

Grimy Times will continue to monitor the case and provide updates as more information becomes available.

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