Ryan Sues Midlothian Car Dealership for False Advertising and Keeping Down-Payments, Trade-Ins

    CHICAGO, Aug. 1 Attorney General Jim Ryan sued a
Midlothian car dealership today for using deceptive advertising to lure
consumers and allegedly refusing to refund consumers' down-payments or return
trade-in vehicles when financing on new cars was not securedDodge of Midlothian, 14500 S. Cicero Ave., is charged with violating
Illinois' Consumer Fraud and Deceptive Business Practices Act and the Motor
Vehicle Retail Installment Sales Act, the Illinois Motor Vehicle Advertising
Regulations and the Uniform Deceptive Trade Practices Act.  The suit alleges
that the company ran repeated misleading advertisements in the Chicago
Sun-Times since at least May 7.

    Further, consumers complained that the company refused to return deposits
and trade-ins when financing did not go through.  The company also allegedly
used a misleading rider on contracts stating that Dodge of Midlothian was
entitled to keep all or part of a deposit if financing is not secured.  Ryan's
office was alerted to the repeated violations by three consumers who filed
complaints.  The consumers lost between $500 and $1,300 in cash or trade-in
value.

    "The law is clear -- a dealership cannot keep a consumer's down-payment if
it is unable to secure financing," Ryan said.  "Putting a rider in a contract
that clearly violates the law does not make it legal."
    Alleged violations include:

     -- failing to return deposits or trade-in vehicles when financing could
        not be secured for the consumer;
     -- forging a consumers signature on a retail installment contract;
     -- advertising and offering guaranteed trade-in allowances;
     -- advertising a lower total price on limited "farm bureau" or other
        limited rebates; and
     -- advertising below book value prices without disclaiming that book
        values vary.

    Ryan is seeking an injunction, restitution, a civil penalty of $50,000, an
additional penalty of $50,000 for each act committed with intent to defraud
and costs.