Pennsylvania dealers nailed in 4-year fraud scheme

The owner and finance manager of two Erie County, Pa.-based dealerships — Lakeside Auto and Lakeside Chevrolet — have been indicted on 17 counts of auto fraud, according to an announcement by the Department of Justice on Tuesday. According to the indictment, Owner and former President of the National Independent Automobile Dealers Association, Andrew Gabler, […]

• Joey Pizzolato
• August 14, 2019
• Compliance & Regulation, Risk Management

Credit Acceptance extends credit facility

Subprime lender Credit Acceptance Corp. has extended the maturity of a secured line of credit facility with a commercial bank syndicate to June 22, 2022, according to a company release. The amount of the facility had been set to decrease to $315 million from $350 million this month, according to a 10-K filing with the […]

• Joey Pizzolato
• June 28, 2019
• Capital Markets

Ride-Hailing Services Struggle for Profitability in 1Q

Uber Technologies posted a $1.03 billion loss during the first quarter, more than double the $478 million loss recorded in the prior-year period, according to the company’s first-ever quarterly earnings report. Despite a 20% year-over-year increase in revenue to $3.1 billion, the San Francisco-based mobility company has struggled to maintain profitability. Since its inception, Uber […]

• Joey Pizzolato
• May 31, 2019
• Earnings

Lyft’s Losses, Dependence on Autonomous Overshadow IPO Filing

Rideshare giant Lyft filed its IPO prospectus on Friday. The company’s net losses and heavy reliance on autonomous vehicles is likely the biggest concern for investors, said Brian Allan, senior director of strategic partnerships at HyreCar. Lyft's net loss climbed to $911.3 million in 2018 from $688.3 million a year earlier, according to the filing. Lyft […]

• Nicole Casperson
• March 5, 2019
• Capital Markets, Innovation & Technology

Credit Acceptance 2018 Profits Accelerate Despite State AG Investigations

Net income at Credit Acceptance Corp. shot up 20% year over year to $574 million in 2018 despite ongoing investigations by two state attorneys general. The lender filed a disclosure with the SEC last week meant to "provide an update on two state matters" that are related to investigations by Massachusetts and Mississippi state attorneys […]

• Nicole Casperson
• February 4, 2019
• Compliance & Regulation, Earnings, Risk Management

Nissan Is Said to Face SEC Probe on Pay After Ghosn’s Arrest

The Securities and Exchange Commission is investigating whether Nissan Motor Co. accurately disclosed its executive pay in the U.S., according to several people familiar with the matter, compounding the carmaker’s woes as it grapples with the aftermath of former chairman Carlos Ghosn’s arrest. The U.S. financial regulator is examining whether Nissan’s executive-pay disclosures were accurate […]

• Bloomberg News
• January 28, 2019
• Risk Management

Santander Settles SEC Claims of Improper Auto Loan Accounting

Santander Consumer USA is paying a $1.5 million fine to settle claims by the Securities and Exchange Commission over the lender’s accounting for troubled subprime loans. The SEC charged that for at least eight reporting periods, from 2014 to 2016, Santander Consumer USA  failed to calculate and report its credit loss allowance for certain impaired […]

• Nicole Casperson
• January 2, 2019
• Compliance & Regulation, Risk Management, Update

Santander to Pay Former CEO Thomas Dundon $713 Million in Exit Deal

Santander Consumer USA agreed to pay Thomas Dundon — who was the subprime lender’s former chief executive, chairman, and one of its founders — more than $700 million in an exit deal, according to a Securities and Exchange Commission filing. The deal has been more than two years in the making, as Dundon departed Santander […]

• Natalie Mattila
• November 20, 2017
• All Posts, Compliance & Regulation, Risk Management