TARZANA MAN FACES CHARGES IN FRAUD CASE.Byline: SUE DOYLE Staff Writer A Tarzana man was arrested Tuesday on charges that he allegedly duped and defrauded customers who brought cars into his two local auto repair shops, authorities said. Bahman Khodayari, owner of State Auto Body & Paint Center, was charged with nine counts of grand theft, insurance fraud, attempted extortion, money laundering The process of taking the proceeds of criminal activity and making them appear legal. Laundering allows criminals to transform illegally obtained gain into seemingly legitimate funds. and conspiracy, said Michele Anderson, deputy Los Angeles City attorney The Los Angeles City Attorney is an elected official whose job is to prosecute all of the misdemeanor criminal offenses within the city of Los Angeles, California, United States. in the corruption, fraud and enforcement unit. In jail on $50,000 bail, Bahman Khodayari faces arraignment A criminal proceeding at which the defendant is officially called before a court of competent jurisdiction, informed of the offense charged in the complaint, information, indictment, or other charging document, and asked to enter a plea of guilty, not guilty, or as otherwise permitted in court on Wednesday. In the lawsuit, the same charges were filed against State Auto Body & Paint Center and Minoo Khodayari, who acted as the office manager, and alleges they conspired with employees to defraud To make a Misrepresentation of an existing material fact, knowing it to be false or making it recklessly without regard to whether it is true or false, intending for someone to rely on the misrepresentation and under circumstances in which such person does rely on it to his or customers and insurance companies doing business with the shops. Consumer complaints against Bahman Khodayari and his Reseda and Pacoima businesses spurred the investigation that began in 2004 by the California Bureau of Automotive Repair The California Bureau of Automotive Repair has two primary functions: to educate on and enforce the Automotive Repair Act with associated regulations and to administer the California Smog Check Program. . Prosecutors allege that customers were lured into the shops through misleading statements that car repairs could be done at prices lower than insurance costs. But when cars were brought in, these estimated fees were inflated and extra charges were tossed in for labor that consumers never authorized. In some cases, the auto repair shops refused to return cars to owners and claimed they owed bogus storage and other fees, Anderson said. In other cases, mechanics liens were illegally put on cars to sell them in order to pay for the fraudulent billing, phony repairs and fees, according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. the lawsuit filed in Superior Court. sue.doyle(at)dailynews.com (818)713-3746 |
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