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Man faces 26 fraud charges after long investigation into used car dealership

Investigation started in 2021 when police received reports of trade-ins that were resold without balances paid off, RCMP say

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A long investigation into reports of auto fraud at a now-defunct Fredericton-area used car dealership has resulted in a new arrest, RCMP say.

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The case goes back to 2021, when police say they received a number of reports that customers of DMR Auto Sales in Pepper Creek had traded in vehicles that still had an outstanding balance remaining on them. The vehicles were then sold to new owners without the balance being paid off, “leaving the original owners with payments for both their new and old vehicles,” police said.

“In many cases, the previous owner continued to have funds withdrawn from their account after the sale of the traded-in vehicle,” Const. Francois Ouellet detailed at the time. “We are working with both owners of the business in hopes to identify additional fraud victims.”

Two people – a 49-year-old man and a 52-year-old woman – were arrested in 2023, but later released. The dealership was also the subject of a lawsuit filed by one of its vehicle suppliers and customers, who accused it of failing to pay $319,527 for vehicles DMR was to sell on consignment and a couple the customer had bought but said were never delivered.

DMR was out of business before the accusations went public. The police investigation focused on dates between January 2020 and September 2021.

On Friday, police said Brent Hayward Stewart, 49, of Burton, has now been charged with 26 counts of fraud over $5,000, and one count of theft over $5,000.

In a news release, police said he is scheduled to appear in court on April 2.

Police did not detail his relationship with the car dealership.

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