New York City authorities say two fraud rings busted this week bribed people into applying for automobile loans for Cadillacs, Porsches and other luxury cars, then defaulted on millions of dollars and ran the cars into the ground.
Police Commissioner Ray Kelly says the schemers would go to acquaintances and offer them money to go to dealerships and sign up for a new car and loan.
The cars were handed over to the ring, the loans were never paid, and the credit was ruined.
In one ring, cars were bought and then resold on the black market or rented until they were impounded. In another, loans were taken, but nothing actually purchased, and nothing repaid.
Queens District Attorney Richard Brown says 21 people were charged with crimes including enterprise corruption.
