SPRINGFIELD, Mo. – Springfield used car dealer Chris King has pleaded guilty in federal court to wire fraud, conspiracy to commit wire fraud and identity theft.
King, who runs Queen City Motors, pleaded Tuesday. He was accused of using information gathered from potential clients to apply for auto loans on their behalf and with keeping the proceeds from these loans for his own use without the clients’ knowledge.
A source from the United States Attorney’s Office, Missouri Western District, said King was about to be indicted by a federal grand jury when he appeared before a judge on Monday and pleaded guilty.
Information filed in the case by the US attorney indicates that King conspired to commit electronic fraud by obtaining personal information from potential vehicle buyers, used that information to acquire loan proceeds from a lender which deals with subprime loans to people with poor credit.
He then kept this money for his own use. Customers have not approved loan applications or made vehicle purchases, according to reports. The total amount of several of these loans was over $ 700,000, the document said.
King, who was released on bail pending conviction, accepted details of the three counts.
The maximum penalty for fraud counts is up to 20 years in prison for each, a fine of $ 250,000 each, three years of supervised release and restitution. The count of identity theft carries a maximum sentence of two years in prison and a fine of $ 250,000, as well as supervised release and restitution.