Used-Car Dealer Mitchell Simpson Faces $3M Fraud Conviction

GAINESVILLE, Ga. – Mitchell Simpson, the mastermind behind a $3 million scheme to swindle floor-plan lenders at his used-car dealership, has now been convicted of wire fraud.

‘This defendant violated the trust of companies that lent him money to run his car lot,’ U.S. Attorney Ryan K. Buchanan stated. ‘Our office is committed to pursuing those who use illegal means to deceive businesses for personal gain.’

Mitchell Jackson, Senior Supervisory Special Agent from the FBI’s Gainesville Office, added, ‘Simpson deceived lenders and now faces accountability for his greed. The FBI stands firm against those who steal money they haven’t earned through fraudulent means.’

According to Buchanan, Simpson operated Mitch Simpson Motors in Cleveland, Georgia, between early 2012 and early 2019. He secured three lines of credit from Dealer Financial Holdings LLC, Americash Advance, Inc., and Floorplan Xpress, LLC-OK for his inventory needs. The agreement required Simpson to provide full and truthful information related to the agreements.

Simpson’s scheme involved using a single vehicle as collateral for multiple floor-plan loans—a practice known as double and triple floor-planning—strictly prohibited by the financing agreements. To hide this deception, he made false statements and withheld material facts from lenders. Simpson was also accused of playing a shell game with vehicle titles and not paying lenders as required, an illegal act referred to as operating ‘out of trust’.

The fraudulent activities resulted in over $3 million in losses for the floor-plan lenders. Sentencing for Mitchell C. Simpson, 56, from Cornelia, Georgia, is set for October 8, 2024, before U.S. District Judge Steve C. Jones in Gainesville.