Ford Motor Credit has determined that Bart Reagor, co-owner of Lubbock-based Reagor-Dykes Auto Group, owes $45.3 million to the captive in its $112 million floorplan financing fraud suit against the dealer group, according to an amended proposed judgement filed with the U.S. District Court yesterday.
Ford Credit already has recouped $74.7 million, which includes the former chief executive and co-owner Rick Dykes’ $58 million settlement in April.
Read more: Court Favors Ford Credit in Floorplan Dispute, Dealer Shells Out $58M
The remaining $45.3 million the captive claims Reagor owes was calculated by subtracting the $74.7 million of recovered funds from the initial $112 million owed. Ford Credit then tacked on $8 million in additional expenses, which included wholesale charges and expenses; on-site containment; contracts related to the disposition of furniture, fixtures and equipment; and auctions, the filing said. Reagor also owes Ford Credit $1.4 million in attorney fees.
Read more: Ford Motor Credit Demands $112M From Dealership Chain for Fraud Scheme
Ford Motor Credit initially filed suit in January, claiming that the West Texas dealership chain “double-floored” 185 vehicles by obtaining financing for them before transferring the vehicles to another dealership to obtain financing again. In a separate practice, Reagor-Dykes Auto Group delayed the sales of 147 vehicles by 55 days, allowing it to obtain floorplan financing for cars already sold.
Reagor’s attorneys have 14 days to reply to the motion.
