Helena Car Dealer Ordered to Pay $2.5M for Loan Default
HELENA, Mont. (AP) — A judge has ordered a former Montana car dealership and its owner to pay $2.5 million for defaulting on loans to purchase inventory.
An audit found Robert Allen Nissan in Helena failed to repay Nissan Motor Acceptance Corporation after selling 25 vehicles and that it owed nearly $800,000. The corporation then required all of its loans to be repaid, totaling $6.8 million, and demanded the return of 90 vehicles.
District Judge Charles Lovell ruled in July NMAC could take possession of the vehicles.
Under a Nov. 5 agreement, Robert Allen Nissan and owner Robert Allen agreed to pay $2.5 million plus NMAC’s attorney fees. NMAC agreed to apply proceeds from the seized vehicles to the amount owed.
Robert Allen declined comment when the Independent Record reached him by phone Thursday.
Information from: Independent Record, http://www.helenair.com