MoneyWise :: ‘Cash for clunkers’ car dealers investigated

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Released: August 23, 2010

‘Cash for clunkers’ car dealers investigated

Source: Gregory Korte, USA Today

WASHINGTON — The government is investigating at least 20 car dealerships it claims violated the rules of last year’s cash-for-clunkers program. Government auditors say up to $94 million in rebates may be ineligible because they lack the proper documentation.

One year after the $3 billion car-buying frenzy, the National Highway Traffic Safety Administration has reached an enforcement phase. Nine dealers have paid a total of $71,500 in fines.

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