NASHVILLE – The grim tale of financial deceit in the automotive realm reached its conclusion as federal prosecutors announced the conviction of Mark Janbakhsh, 49, of Brentwood, Tennessee. Janbakhsh, CEO and majority owner of Auto Masters, was found guilty on multiple counts of fraud, including Conspiracy to Commit Bank Fraud, Bank Fraud, Making False Statements to a Bank, Bankruptcy Fraud, and Making a False Statement Under Oath.
Acting United States Attorney for the Middle District of Tennessee, Robert E. McGuire, vowed to pursue such dedicated fraudsters with relentless vigor. “Our office will vigorously pursue fraudsters like Janbakhsh who lie and cheat for their own gain,” McGuire stated, “and we’re not afraid to make our case to a jury to hold them accountable.”
The evidence against Janbakhsh depicted a web of deceit involving his brother, Ron Janbakhsh, and other company insiders. The Auto Masters dealership fraudulently secured approximately $26.4 million from Capital One and First Tennessee Bank (now First Horizon Bank) by submitting falsified documents to inflate the value of their collateral.
Bank auditors uncovered the discrepancies, leading to a probe during which Janbakhsh allegedly directed employees to delete incriminating data. The company declared bankruptcy in 2017, with Janbakhsh lying about the fraud under oath during bankruptcy proceedings. Further evidence revealed his attempt to thwart the investigation by offering a $300,000 bounty for a co-conspirator’s flight from justice.
Janbakhsh now faces up to 30 years in federal prison and a fine of $1,000,000 at sentencing, which is set to occur later this year. The case was investigated by the FBI, Nashville Field Office, and IRS Criminal Investigation, with Assistant U.S. Attorneys Kathryn R. Booth and J. Christopher Suedekum leading the prosecution.
Janbakhsh’s fate underscores the relentless pursuit of white-collar crime in our community, a testament to the commitment of federal agents and prosecutors to justice.
Related Federal Cases
- Mississippi Entrepreneur Indicted for $1.2M Bank Fraud Scheme · Mississippi
- Nashville’s Charlotte McEwen, 50, Pleads Guilty to $466K Wire Fraud · Tennessee
- Con Man Donald Hicklin Hits 98-Month Sentence in VA Bank Fraud Plot · Pennsylvania
- Mark Stinson Sentenced in $2.8M Payroll Tax Fraud · Tennessee
- Mehul Khatiwala Pleads Guilty to $3.5M Bank Fraud Scheme · Maryland
Key Facts
- State: Tennessee
- Agency: DOJ USAO
- Category: Fraud & Financial Crimes
- Source: Official Source ↗
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