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Former Huling Bros. car dealership will close after scam scandal

10:15 PM PDT on Thursday, September 27, 2007

By ELISA HAHN / KING 5 News

Owner Ryan Gee says the former owner Steve Huling knew about the criminal investigation, but did not disclose it prior to purchase.

WEST SEATTLE -- After suffering a major criminal scandal, then a change in ownership, a Gee automotive in West Seattle will be closing its doors next week.

When Gee automotive bought the Huling brothers dealerships nine months ago, they say they got something they didn't bargain for -- a ruined public image from a group of men that give used car salesmen a bad name.

160 employees received a letter informing them Gee automotive plans to close for good October 7.

"It's sad.  We need that kind of business here. We don't want to go somewhere else to buy our cars," said customer Jean Sides.

Gee automotive says sales are down more than 50 percent compared to last year. The company made it clear who was to blame.

When Gee automotive bought the dealership chain, it inherited an ugly stigma.

Under the previous Huling Brothers banner, a group of salesmen were accused of taking advantage of a mentally disabled man by scamming him into handing over his new car and robbing him of $70,000.

When the allegations came out, former owner Steve Huling said his family was outraged.  The Huling brothers wrote two checks totaling $100,000 to the victim to make up for the alleged crimes of its former employees.

But in a written statement, new owner Ryan Gee said the damage was irreparable.  A survey of their primary customer base revealed nearly 90 percent said they knew of the criminal behavior and many said they would never buy a car from the dealership.

He went on to say that "Steve Huling had personal knowledge of the criminal investigation he never disclosed to us prior to purchase."

Steve Huling says as soon as he learned of the arrests and the seriousness of the crimes last January, he called Ryan Gee and left a long voicemail.  Huling says Gee never returned his call.

The Huling Brothers, who still own the property, also point out that for decades, their dealerships made it through all kinds of hardships.  They say perhaps the Gee management should only blame itself.

"We can only speculate that the Gee business model that they used for the last nine months was different than the one we used for the last 60 years," said Tom Huling.

Employees would not talk to KING 5 News on camera -- they want to make sure they keep their jobs even if it's only for another 10 days or so -- but they are clearly upset.

The trial for two of the three former Huling Brothers salesmen is scheduled to start next week.  They are charged with burglary, theft, and money laundering.

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