L Calabasas & O.C. shut down?

Correct.

 

I guess I should not wear my L' O.C. T-shirt, when I am in Israel. It was given to me, by L.O.C. The as-new T-shirt, will become a collectors item ! 2 kewl

 

Apparently when these cars pop up to be registered, or the VIN is exposed they get repossesed, and volkswagen is emailing out the VIN's to dealers to look for them if they come in.

 

Glad I didn't avail myself of this: "golden opportunity"...



"It is my pleasure to be able to offer a series of brand new 2008 Lamborghini Gallardos and Murcielagos. All the vehicles are owned by one principle, who has made it possible for me to avail them to you at less-than-wholesale.


These are bona-fide, brand new 2008 USA spec cars with only the standard 70-90 factory test miles. These cars have their original dealer stickers in the window and exist without any stories. They are safely warehoused in Southern California, and are ready for inspection and or purchase immediately.


As you are one of my select clients, I wanted to inform you first. On Wednesday, all others on my private email notification list will be informed of this phenomenal offer, and the cars will then be listed on my website.


10 cars have already been sold. The cars listed below are available as of Saturday afternoon. Prices quoted are rock bottom. If you are interested please contact me on ... (Redacted)


2008 Gallardo Spyder e-gear
$170,000
White with black interior


2008 Gallardo Spyder e-gear
$170,000
Dark red with cream interior


2008 Gallardo Spyder e-gear
$170,000
Purple blue with tan interior


2008 Gallardo Spyder e-gear
$170,000
Orange with black interior


2008 Gallardo 6 speed
$170,000
Black with black interior


2008 Gallardo Superleggera
$180,000
Yellow with black interior


2008 Gallardo LP560 coupe e-gear
$170,000
White with black interior


2008 Murcielago LP640 coupe
$295,000
White with black interior


2008 Murcielago LP640 coupe
$290,000
Yellow with black interior


These will not last long; please call me right away if you are interested."

 

VW accuses Lamborghini O.C. of $12 million theft
January 13th, 2009, 6:00 am

Lamborghini Orange County, formerly the world’s largest dealer of the Italian luxury vehicles that sell from upwards of $200,000 apiece, closed in November without explanation. Now court documents indicate what happened.

The owners of Lamborghini Orange County in Santa Ana committed “outright theft” of approximately $12 million by selling its fleet of exotic sports cars at deep discounts and failing to pay their creditor, according to a lawsuit filed by Volkswagen Credit Inc. in Orange County Superior Court.

The lawsuit says the owners of the Orange County dealership and its affiliate in Calabasas unloaded 54 cars in eight days – accounting for 8 percent of all the Lamborghinis sold in the United States during all of 2008.

The lawsuit says VW Credit, which covered the cost of Lamborghini O.C.’s cars in advance of sale, doesn’t know where the proceeds went. But it didn’t get the money.

The owners of the dealerships named in the suit are Vik Keuylian and his sisters Asdghig, Nora and Sossi Keuylian. Their attorney, Jeffrey Gubernick, declined to comment on the allegations, because the case is still under litigation.

Gubernick has filed a motion to strike VW Credit’s demand for punitive damages, but still not responded to the general allegations in the lawsuit. A hearing is scheduled for Jan. 22.

The Keuylians attracted a celebrity list of customers, including NBA stars Kobe Bryant and Dennis Rodman. They staged fundraisers hosted by Elton John and Sharon Stone to support research to fight AIDS.

VW Credit provided financing for Lamborghini Orange County and its sister dealer in Calabasas to finance the cars. Volkswagen owns Lamborghini.

In a separate suit filed in Orange County Superior Court, East-West Bank is suing the Keuylians and Lamborghini Orange County for defaulting on a $3 million loan, for which they failed make payments in November and December.

Another lawsuit filed in Las Vegas seeks $340,000 from Vik Keuylian for failing to pay him for a 2008 Lamborghini Murcielago formerly owned by Stephen Cloobeck, owner of Diamond Resorts.

“They took the car but never gave me the check,” Cloobeck said.

 

I see it was the same link as above - but it wasn't working earlier...

So no repost comments

 

"2008 Gallardo Spyder e-gear
$170,000
Purple blue with tan interior"
------------------------------

purple-blue? anyone have pictures of this?

i'm continually depressed by the lack of modern purple lambos to the point where i'm considering ordering an LP.

 

its going to hard to repo the cars...while they may have failed to pay the mfg for the cars some how those Lambos were all titled and sold legally!

 

Looks like 54 times the Josh fiasco all over again. That's one hell of a lot of drama.

 

Bingo!

 

I'm no lawyer. But something tells me that this isnt that easy. If I were an owner or seller of one of said cars then i'd be worried...

 

If you believe that...........................................................................

 

You could very well be correct!! Possession is 9/10 of the law right??? (Or would that not apply in these cases???)

I do not know, just throwing some possibility out there to enhance this discussion. And I'm not wearing a flame suit, so be kind and smile a lot in your replies!! TIA!!

 

Are you a lawyer? Is this fact? If it's fact I don't understand your use of the the word "hard". If they were "all titled and sold legally!" than there would be no basis for them to be repo'd at all or the referenced legal action being taken. Are you stating that this legal action was taken without any underlying factual basis?

Roy publicly stated that there was an issue with the ownership of these cars. Was he mistaken? Is that what you're saying?

 

If VW had a lein on the titles with there floor plan..and the OC has not yet delivered a free clear title which they could not have since VW is alleging they did not, then they very well could lose the car or the customer could pay the difference.. But the dealer does not have to give you the title at delivery....Thats why dealers use temp tags...

But more then likly VW will have to write off the notes and give a free and clear title since the buyers bought in good faith..I would think at least...

 

Very well may be true but I still don't understand why VW/Lambo is circulating the vin #'s for dealers to be on the lookout for and notify VW/Lambo as reported here and on Alan's site in that case by an employee of a Ferrari Dealership.

I do think we can agree that it's a mess.

 

I am guessing because VW still has leins on the cars..it would not be hard for them to find if in fact the cars have sold..once the owner registers the car a quick state vin# search will locate the cars for them..surly VW has the Vin's..they just want to know if the cars ware sold or if they are setting in a wharehouse somewhere waiting for the heat to come off..and the former OC leave with the cars...

 

Wow! What a mess. I wonder if most of these cars were sold to dealers, or individuals with cash?

How quickly can you export a car?

 

In life, you have income, and you pay bills.

When your bills exceed your income, and you can't carry the debt, you are bankrupt.

Sounds simple. So if you are having a hard time making ends meet so you sell your car... that keeps you going for a few weeks but then you have to declare bankruptcy. No big deal right?


Wrong.

How do you distinguish between a legitimate sale of the car to try to help your situation out, and selling the car to a friend and saying you got $20k for it, even though you "sold" it to him for $5, with the agreement that he would sell it back to you in 6 months (when the BK is over)?

I am not a lawyer, but there are a whole lot of rules and regulations regarding what is right and what is wrong when going bankrupt. If LOC sold cars at a steep discount, with no intention of repaying VW for the floorplan, and the owners of LOC took the money and ran (or even if they used it to pay off debts preferentially, or even not preferentially), it is most certainly NOT a cut and dry case. Anyone who thinks it is ought to look up BK law, and read up on fraudulent conveyance.

Sometimes you don't even need to be a lawyer... does it sound right to anyone here that a car dealer could fatten up their inventory and use up all their floorplan credit... then sell the cars for cash at fire-sale prices, then pay off certain business debt (like... maybe loans to the owners or something), then declare bankruptcy and tell the floorplanner "sorry, thems the breaks"???

I don't know that is what happened, it is just an example of what a business could do - but it's not going to get them very far.

VW is a huge company with huge resources. They have plenty of lawyers on staff being paid regardless of what cases they are working on, so there most certainly *IS* a lot to worry about for anyone who purchased one of these cars. Even *if* a buyer is 100% confident of their rights, they may still have to fight the issue if VW reposesses the car to another state and refuses to release it.

You can beat the rap, but you can't beat the ride. You may beat VW, but it may cost metric tons of cash to do it. People are quick to say that someone "can't" do this. "They can't take the car if you have the title in your name". Well, maybe they CAN? Does anyone know for a fact? Remember the Gallardo that was repo'ed under dubious circumstances? That guy HAD it titled too! All it takes is for a legal eagle to make a case before a judge and a repo order may be forthcoming. And you could be right until the cows come home... but with $12mm+ on the line, VW is going to use their considerable resources to get those cars BACK. Their view will be that the owners were defrauded by the dealer, not by them, and they are entitled to their unpaid property back.

There are also a whole lot of laws surrounding collateral and unpaid property. As a business owner I can reposess items I have shipped but haven't been paid for within given limits and time frames. Why would it be any different for VW? Again, if that part of the law doesn't apply to this situation, all VW needs to do is convince a judge to let them repo the cars and sort it out in court. A judge is likely to do that and let the owners fight VW or LOC if they wish. Judges do not care about legal costs, they care about the law. If there is a reasonable question about the cars (how could there not be?) then I can very easily see a judge issuing a repo order and letting VW, LOC and the buyers hammer out the details in court.


I am just guessing based on my very limited knowledge of law. But one thing I DO know is that it would be profoundly foolish to take advice from the internet such as "too bad, u gotz da title, der ain't nuttin dey can do! lolz!!!111!". Printing that out and showing it to the cops ain't gonna do squat when they are telling you to open the garage to let the repo man take your brand new (but heavily discounted!) LP640 back.


My .02

 

Hey SRT Mike, I would appreciate it if you would keep your logical reasoning and well drawn arguments out of this discussion. I for one, as well as many others enjoy reading the back and forth banter of the "too bad, u gotz da title, der ain't nuttin dey can do! lolz!!!111!"

 

One question the court(s) will certain ask is: Are the "defendants" bona fide purchasers for value WITHOUT NOTICE

 

Its hard to argue you were an innocent buyer in the due course of business - and you bought in good faith - when you purchased the car for far less than market value. So, no, they will not have to write off the notes and give free and clear title.

 

Very, Very True. The Windmills of the Gods grind slow but they grind exceedingly fine...

 

From Alan's site:

"An acquaintance of mine had hs LP repoed at Beverly Hills Lambo last week when he took it in for inspection. Nonetheless its a big pain in the ass for the people stuck with the cars and Vik obviously couldnt care less."

 

Maybe one of the attorneys on this board can make a statement about potential criminal liability here. I have to believe that this is not just a civil matter.