GT car / Salesman - Shiraaz Sookralli - Champion Porsche's VP of Marketing
09-12-2018, 04:47 PM
#257
you make a great point. I’ve learned customers did make deposits to Champion Autosports and later paid for car to Champions father business Copans Motors Inc.They actually received their car. So in thinking of that, the dealer was selling GT cars at MSRP or below if they supposedly knew nothing about the shell company.
Not according to the lawsuit filed by Champion, they claim Autosport was not affiliated with Champion nor they were aware of its existence. Then who knows...
09-12-2018, 04:49 PM
#258
Since he was an employee of Champion and acting in that capacity as he was diverting money to his Autosport shell, Champion definitely will have liability to make defrauded customers whole. What a freaking mess.
A company is responsible for an employee committing fraud while on company time and acting as an agent of that company.
A company is responsible for an employee committing fraud while on company time and acting as an agent of that company.
09-12-2018, 04:50 PM
#259
It's not incorrect. Traditional business or E&O insurance does not provide coverage for active fraud by your employees. You have to buy special commercial crime and fraud insurance, which it is very unlikely a car dealership was carrying due to the cost/benefit. Traditional coverages don't cover intentional wrongdoing.
09-12-2018, 04:51 PM
#260
Rennlist Member
Very sorry to hear of this news - Here in Seattle about 15 years ago, a well known Exotic car dealership was purchased by 2 Microsoft employees who installed a manager for the dealership.
That manager created ghost sales paperwork and received $2million in from the bank buying their paper which he stole and took off to Mexico.
The FBI found him and he was prosecuted.
They will find this guy - Might not find the $ but I believe the dealership is on the hook as it was their employee or person representing dealership.
That manager created ghost sales paperwork and received $2million in from the bank buying their paper which he stole and took off to Mexico.
The FBI found him and he was prosecuted.
They will find this guy - Might not find the $ but I believe the dealership is on the hook as it was their employee or person representing dealership.
09-12-2018, 04:52 PM
#261
Shiraaz should definitely go to jail if the allegations are true.
09-12-2018, 04:55 PM
#262
Rennlist Member
09-12-2018, 04:57 PM
#263
Rennlist Member
This. Did the purchase order at time of signing with finance show the 25-100k deposit. Im betting it did. And when it does, how did the company bean counters not see the lack of funds on all these ADM deals. Pretty clear why it was hard to break into their GT car pool.
09-12-2018, 04:57 PM
#264
It's not incorrect. Traditional business or E&O insurance does not provide coverage for active fraud by your employees. You have to buy special commercial crime and fraud insurance, which it is very unlikely a car dealership was carrying due to the cost/benefit. Traditional coverages don't cover intentional wrongdoing.
I'm not sure why you're arguing something so inconsequential that you clearly don't know about.
09-12-2018, 04:58 PM
#265
Race Director
Originally Posted by Alan Smithee
The filing was 2/22/18, but the transaction in question was over two years ago...certainly Champion was made aware when said 911R was not delivered.
I'm sure Champion owners and upper management knew he was a slimy guy. Usually, this kind of behavior fosters itself in an environment where other shady stuff is going on.
Champion has been sued by PCNA plenty of times and don't think PCNA cares for them much. Wouldn't be surprised if they try and yank their franchise at some point. It would be very justified.
09-12-2018, 05:01 PM
#266
Wrong again. Many carriers include that in their standard options. Not saying they have it, as I now no knowledge of their insurance or coverages, but it doesn't have to be a completely separate policy.
I'm not sure why you're arguing something so inconsequential that you clearly don't know about.
I'm not sure why you're arguing something so inconsequential that you clearly don't know about.
09-12-2018, 05:03 PM
#267
Because I negotiate my company's insurance every year and I've had this discussion with multiple brokers over many years. Crime/fraud insurance coverage is separate from standard commercial liability, it's expensive, and it has a number of exclusions, one of which is that it doesn't cover active fraud by owners or senior management. Any victim here thinking that there's going to be an easy payout on this from some insurance policy is fooling themselves. Oh, and another standard exclusion from coverage is damages from lawsuits...
09-12-2018, 05:06 PM
#268
Because I negotiate my company's insurance every year and I've had this discussion with multiple brokers over many years. Crime/fraud insurance coverage is separate from standard commercial liability, it's expensive, and it has a number of exclusions, one of which is that it doesn't cover active fraud by owners or senior management. Any victim here thinking that there's going to be an easy payout on this from some insurance policy is fooling themselves. Oh, and another standard exclusion from coverage is damages from lawsuits...
Sorry for cluttering this thread, I just wanted to clear up that misconception, not that it really matters in hindsight.
09-12-2018, 05:07 PM
#269
09-12-2018, 05:14 PM
#270
Race Director
Originally Posted by GiuseppeM
You mean a shady guy working at a car dealership?!?
I know, unheard of!!
This is going to be BAD public relations for Porsche.
Champion could be knocked down a few notches from their #1 spot.
Porsche West Broward should benefit.
We have no Shiraaz, but have Pannys!!