Two Tennessee men stand accused of engineering a fraudulent scheme to dupe the Ford Motor Company and its loyal customers. John Alan Nebel and Joshua David Nichols are facing federal charges for a conspiracy that hinges on the betrayal of trust in age-old brand loyalty.
According to a release by the U.S. Attorney's Office for the Middle District of Tennessee, Nebel is not only the co-owner of Sumner Wholesale Auto Group but also a pioneer, having carved a niche for this business in Hendersonville, Tennessee. Nichols's accomplice lent his hand to the wrongdoing as an independent contractor. It's the old bait and switch, repacking worn-out fuel injectors to look as good as new and selling them to unwitting consumers enticed by rebates.
The scam took advantage of Ford's rebate program, which offered a financial return to customers submitting their old fuel injectors for new replacements. These parts could fetch approximately $300 each, with a $180 rebate on returning the 'core.' But in this scheme, the old injectors didn't come from Ford vehicles being serviced—they were purchased for a measly sum of $35 to $45 the piece, adorned with counterfeit Ford packaging, and sold for up to $170. This set up the customers to unknowingly make fraudulent rebate claims to Ford, each believing they were entitled to the $180 refund.
Nebel and Nichols could be looking at serious time, with potential sentences of up to 20 years in a federal institution and fines that could reach $250,000 each if the court finds them guilty. The investigation, spearheaded by Homeland Security Investigations, has laid bare a startling abuse of corporate and consumer trust. According to the U.S. Attorney's Office statement, Assistant U.S. Attorney Stephanie N. Toussaint is tasked with the prosecution, powering forward to ensure justice stands tall amidst such flagrant violations.
