A Tennessee company allegedly purchased old Ford injectors, repackaged them and then sold them as new injectors using fake labels, decals and logos
10 hours ago
- A company in Tennessee is selling used injectors and packaging them as new, genuine Ford replacement parts.
- The fraud took advantage of Ford’s rebate system and triggered a sweeping Homeland Security investigation.
- Investigators said the scheme involved selling repackaged used syringes at inflated prices, with profits exceeding $170 per sale.
Two Tennessee men are accused of defrauding Ford Motor Co., one of the world’s largest automakers, with an elaborate deceptive fuel injector. John Alan Nebel, 39, and Joshua David Nichols, 52, now face serious federal charges that could result in up to 20 jail sentences each. years in prison and a hefty fine of $250,000.
It’s a shocking legal saga, not just because of the scope of the fraud but because of the blatant nature of the deception.
Authorities said John Alan Nebel of Gallatin, Tenn., founded a company called Sumner Wholesale Auto Group in Hendersonville, Tenn., and operated as SWAG Performance & Off-Road LLC. Joshua David Nichols, of Nashville, Tennessee, was an independent contractor for SWAG and the two packaged and sold used fuel injectors using fake labels, decals and logos.
Read: Ford drops BlueCruise pricing to $50 per month or $495 per year
Ford offers a rebate program where owners can return their old injectors and receive a $180 rebate, which is a significant incentive for anyone looking to reduce repair costs. According to federal authorities, Nebel and Nichols exploited this seemingly simple system in a cunning way.
The two men, along with other alleged co-conspirators, are accused of devising a scheme to purchase used fuel injectors for $35 to $45. Rather than discarding or refurbishing them, as one might think, Nebel and Nichols allegedly repackaged the syringes to make them look brand new.
Prosecutors allege the men used fake labels, decals and logos to imitate authentic Ford replacement parts. Once the used injectors were repackaged, they sold them to SWAG customers for $95 to $170, fully aware that the customer would then file a rebate claim with Ford to get a $180 refund because they believed they Purchase genuine parts.
After Ford learned of the alleged scheme, Homeland Security Investigations was assigned to conduct a thorough investigation of the matter. The charges, announced by the U.S. Attorney’s Office for the Middle District of Tennessee, detail the scope of the alleged fraudulent activity.
Assistant U.S. Attorney Stephanie N. Toussaint is overseeing the prosecution of the case, although authorities are still working to determine the full scope of the alleged fraud. If the allegations are true, the case could have ramifications far beyond Tennessee
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