FCA rejects claims of reporting fake sales levels

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Fiat Chrysler has released a statement in which it strongly denies allegations of pressuring two US dealers to inflate sales reports.

Last week, some news emerged in the media regarding a lawsuit filed in an Illinois Federal Court by two Fiat Chrysler dealerships located in Illinois and Florida, alleging that FCA has offered some substantial amount of money to dealers to report unsold vehicles as sold. The suit claims that the company gave them up to 20,000 dollars to falsify sales reports, thus inflating the monthly volume to make the carmaker’s performance appear better that it actually was. The accusation follows the FCA’s announcement of its annual sales in which it reported 69 consecutive monthly year-over-year increases and the group’s best December sales ever.

Fiat Chrysler responded with a statement strongly rejecting the allegations saying the “lawsuit is nothing more than the product of two disgruntled dealers who have failed to perform their obligations under the dealer agreements they signed with FCA US.” The automaker said it carried out an investigation of the facts, “and has determined that these allegations are baseless and plaintiffs were notified of this fact before they filed suit,” and “notwithstanding numerous requests to provide evidence of this alleged activity, the plaintiffs have refused to substantiate their claims.”

The statement also claims the federal lawsuit is an effort by dealers to give them preferential treatment, including adding new stores to the automaker’s dealer network. “They have consistently failed to perform since at least 2012, and have also used the threats of litigation over the last several months in a wrongful attempt to compel FCA US to reserve special treatment for them, including the allocation of additional open points in the US FCA network.”

Via The Detroit Bureau