United States Attorney Richard B. Roper
Northern District of Texas

USED CAR DEALER PLEADS GUILTY AND ADMITS TO FALSE
ODOMETER DISCLOSURE AND FAILING TO PROVIDE NOTICE TO CONSUMERS OF VEHICLES’ STRUCTURAL DAMAGE

DALLAS — A man who operated a used car dealership, called Interfirst Leasing and DFW Remarketing, in Richardson, Texas, from 1998 through August 2003, admitted that he knowingly and willingly issued false odometer disclosure statements, announced U.S. Attorney Richard B. Roper of the Northern District of Texas. On Friday, Plano, Texas, resident, Massoud Mortazavi-Koupai, a/k/a “Marcus “Mortazavi” and “Marcus Mortazavi-Koupai,” pled guilty before U.S. Chief District Judge Sidney A. Fitzwater to one count of false odometer disclosure. Mortazavi-Koupai, 47, faces a maximum sentence of three years in prison and restitution; he is scheduled to be sentenced by Judge Fitzwater on April 25, 2008.

According to documents filed in the case, Mortazavi-Koupai personally purchased, or directed others to purchase, numerous vehicles at automobile auctions with notification that such vehicles had previously sustained substantial structural damage to the frame or the unibody. These auto auctions required selling dealers to provide notification to purchasing dealers that a motor vehicle had previously sustained frame damage or unibody damage, which indicate structural damage. On a substantial number of occasions, after purchasing vehicles with notification that the vehicles had structural damage, Mortazavi-Koupai sold such vehicles without disclosing the damage to purchasers.

Mortazavi-Koupai also purchased vehicles with inaccurate odometers. Federal law requires that, in connection with the sale of a motor vehicle, the seller must disclose the mileage to the purchaser in writing and sign the written disclosure. In addition, the seller must certify that the odometer reading reflects the actual mileage, or, if the transferor knows that the odometer reading reflects the amount of mileage in excess of the designed mechanical odometer limit, he will include a statement to that effect. If the transferor knows that the odometer reading differs from the mileage and that the difference is greater than that caused by odometer calibration error, he will include a statement that the odometer reading does not reflect the actual mileage, and should not be relied upon. On a substantial number of occasions, after purchasing vehicles with certifications from previous owners that the odometer was inaccurate, the Mortazavi-Koupai sold vehicles with a certification made on behalf of his dealership that the vehicles’ odometers were accurate, when in fact they were not.

U.S. Attorney Roper praised the investigative efforts of the U.S. Department of Transportation. The case is being prosecuted by Trial Attorneys Douglas W. Stearn and David Sullivan of the Office of Consumer Litigation, Department of Justice and Assistant U.S. Attorney Joseph M. Revesz.

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