OAKLAND (CBS SF) — State Attorney General Xavier Becerra on Monday sued a used car dealership network in Alameda County Superior Court in Oakland on behalf of the people of California, alleging the company engages in fraud and false advertising.
Paul Blanco’s Good Car Co. is headquartered in Sacramento and operates dealerships in seven California locations, including Oakland and Fairfield, and two Nevada cities.
The civil lawsuit alleges the dealerships engage in falsifying credit applications, usually without consumers’ knowledge; inflating the value of cars in documents given to finance companies; false and deceptive advertising; and charging customers for unauthorized add-ons. The suit asks for an injunction and civil penalties.
“Far from a good car company, Paul Blanco’s abhorrent conduct put vulnerable families at risk, through deceitful advertising and illegal sales and lending practices. It’s disgraceful and it’s unlawful. Working families make every dollar count,” Becerra said in a statement. “Today’s action is about protecting our families from deception and unlawful practices that swindle these dollars away, leading to unaffordable debt.”
A company spokesman was not immediately available for comment.
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