State investigator emails reveal dealership is more than 1M in debt

Newly-obtained emails reveal new information involving a FOX4 consumer investigation.

Communications directly from state DMV investigators detail just how dire the situation is for Kamkad Automotive and the Alfa Romeo dealerships they own.

The complaints continue to come in. Consumers who have reached out to FOX 4 to say they're on the hook making payments for cars they traded in because the dealerships never paid them off. Others say they bought a new or used vehicle and can’t get a title.

There are dozens of people reporting similar experiences with Kamkad Automotive's Alfa Romeo Dallas and Alfa Romeo Fiat of McKinney dealerships. Both are owned by North Texas resident Ken Strickler.

While the state DMV won't comment on their open investigation, a complainant sent FOX 4 an email he received from a DMV investigator. It says the investigation has "revealed evidence of violations related to the laws and/or rules" regulated by the state DMV. The investigator is requesting that the license for Alfa Romeo Fiat of McKinney be revoked and says a court date has been set to do that.

The email goes on to say the dealership is in debt over $1.3 million and owes the Collin County tax assessor $24,000. They are "out of trust" with their lenders and are no longer cooperating with the state.

The investigator notes being told by the dealership's general manager that they had negotiated the sale of the business and are "basically bankrupt and have no money to transfer titles or remit lien payoffs." He encourages consumers to contact an attorney to pursue a civil lawsuit.

Kamkad's claim they are buying Fenton Hyundai of Mesquite. A state DMV spokesperson says there is still no application to do so, and the current owners of that dealership have submitted a license renewal application which allows them to continue operations while it's reviewed.

Anyone having issues with any dealerships in Texas is encouraged to file a complaint with the appropriate state agency.

LINKS:

Texas Attorney General:
txoag.force.com/CPDOnlineForm

Texas OCCC:
occc.texas.gov/consumers/file-a-complaint

Texas DMV:
txdmv.secure.force.com/Complaint/