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Western Iowa Car Dealer Loses License, Faces Charges After Alleged Fraudulent Practices

DENISON, Iowa  --  A car dealer faces felony charges and is losing his vehicle dealer's license for what the Iowa Department of Transportation calls fraudulent practices.

Robert Adams faces charges of ongoing criminal conduct and more than 10 counts of theft.

The investigation focused on Adams Motor Company in Denison. The DOT says customers were paying for title transfers, warranty contracts, and protection plans, but that money was kept by the dealership and not forwarded to the agencies that provide the services. Customers never had the coverage they paid for.

The DOT also says the dealership sold cars with outstanding loans and never paid off those loans.

Adams' preliminary hearing is set for June 5th.