Atlantic County car dealer sentenced to two years in prison over fraud schemes

Chris Laurita and Joe Gorga at Emporio Motor Group on April 11, 2013 in Ramsey, New Jersey

An Atlantic County man was sentenced today to 24 months in prison for his role in engaging in a pattern of fraudulent activity through his auto dealership.

Afzal Khan, aka “Bobby Khan,” 40, of Egg Harbor Township, New Jersey, previously pleaded guilty by videoconference before U.S. District Judge William J. Martini to Count One of an indictment charging him with wire fraud.

According to documents filed in the case and statements made in court, Khan, through his car dealership, Emporio Motor Group of Ramsey, New Jersey, engaged in acts to defraud lenders and customers from at least December 2013 through September 2014.

Khan posed with stars of the Jersey Shore TV show at the grand opening of his luxury car dealership on Route 17, which was depicted in company commercials packed with Bentleys, Benzes, Ferraris and Lamborghinis.

A federal arrest warrant issued on Oct. 21, 2014, put Khan on the FBI ‘Most Wanted’ fugitive list until he surrendered on Jan. 21, 2020, at the U.S. Embassy in the United Arab Emirates.

Khan obtained loans from the auto finance division of a large bank for cars that he never delivered, but for which the purchaser was still responsible.

Khan also obtained loans from the victim bank for cars that were delivered, but for which neither he nor Emporio had title.

As a result, the purchasers of these cars were liable for the loans, but could not register the cars.

In addition, Khan offered to sell cars for individuals on consignment but did not return the cars or provide any money to the individuals from the sale of the cars.

Khan admitted that as a result of his actions, he exposed the victim bank to a potential loss of at least $550,000.

In addition to the prison term, Judge Martini sentenced Khan to three years of supervised release and ordered forfeiture of $1.1 million. Restitution will be determined at a later date.

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