logo_sm.gif (4042 bytes)
Your Source for Up-To-Date News and Research on the Collision Repair Industry 

 
Subscribe to INSIGHT Editor's Desk News Alerts
click here to subscribe to the FREE INSIGHT Editor's Desk News Alert Email


lftspace.GIF (57 bytes)
SUBSCRIBERS-ONLY
Today's News
INSIGHT This Month
INSIGHT Archives
Survey Center
Letter to the Editor
Business Tools
Subscription Information
CSI Reporting
Financial Analysis
IRS Audit Guide
Management/
Technical Info

Market Watch Rates
INSIGHT Inside this month's issue...
Feedback
Letter to the Editor
cntspace.GIF (53 bytes)
Tuesday December 28

Man Arrested in New York State Accused of Defrauding Auto Body Businesses Throughout U.S.

New York Nassau County District Attorney Denis Dillon has announced that Julius Lupowitz, 43, of Bethpage, NY, was arrested by the DA’s Criminal Frauds Bureau and charged with Grand Larceny in the Third Degree, a Class D Felony and Scheme to Defraud in the First Degree, a Class E Felony.

According to Dillon, "Lupowitz, the Owner and President of Ocean Spray Technologies, Inc., of 317 W. John Street in Hicksville was engaged in the business of selling a spray on truck bed liner epoxy to auto body shops around the country. In order to induce the auto body shops to buy his product, the defendant, using as alias, would pose as a fictitious owner of a fleet of trucks that needed to be sprayed specifically with Ocean Spray’s product. This fictitious company would enter into an agreement with the auto body shop and based on this agreement, the shop would then purchase Ocean Spray’s product. After receiving the product, the shop would never hear from the fictitious truck owner again. Ocean Spray would then refuse to refund the auto body shops.

"One of the complainants in this case based out of Illinois received a solicitation call from Billy Pertis, a.k.a. Julius Lupowitz, of Ocean Spray Technologies, Inc. in January of 2004," said Dillon. "Mr. Pertis informed the complainant that if his company purchased a spray-on truck bed liner product from Ocean Spray, he would also receive referrals in his area for trucking companies needing their trucks sprayed with the product. The complainant purchased a starter kit from Ocean Spray Technologies, Inc. on January 20, 2004 for $575. The complainant subsequently received a telephone call from an individual who identified himself as Brent Wicks of Wicks Custom Hauling in Canada. Mr. Wicks informed the complainant that he was referred by Ocean Spray and that he had 14 Ford F350 trucks that needed to be sprayed with a bed liner. Wicks also stated that he was contracted to do a big job in Mexico and needed the interior of his trucks sprayed specifically with the ‘Patriot’ brand bed liner (made only by Ocean Spray Technologies)."

Dillon continued, "As a result of this phone call, the complainant e-mailed the cost and date of the job to Wicks who, in turn, e-mailed a confirmation that the complainant would do the work. To that end, the complainant ordered and paid for $3,426.12 worth of ‘Patriot’ bed liner product from Ocean Spray Technologies in order to do Wicks job. After receiving the bed liner from Ocean Spray, the complainant tried to contact Wicks but the contact number was disconnected and tried to send e-mails, but they were not responded to. The complainant contacted the Canadian Police who informed him that they could not locate a Wicks Custom Hauling and that the address he had been given was the address of an amusement park. The complainant made numerous calls to Billy Pertis, a.k.a. Julius Lupowitz, of Ocean Spray trying to return the unopened bed liner product and obtain a refund of his money, which never happened. Lastly, through our investigation our office traced the e-mail address of Mr. Wicks back to Ocean Spray Technologies in Hicksville, New York."

Lupowitz was arraigned in District Court in Hempstead and bail was set at $4,000 bond over $2,000 cash. Lupowitz was scheduled to appear in court on December 20, 2004 and if convicted could face up to seven years in prison.

"I would like to thank the United Stated Postal Inspectors for their assistance in the investigation and the execution of the search warrant," Dillon concluded.

The district attorney's press release noted that the charges are merely accusations, and the defendant is presumed innocent until and unless proven guilty.

©2004 Collision Repair Industry INSIGHT
All Rights Reserved

FEATURED
LINKS:

PPG Automotive Refinish

Akzo Nobel

Sherwin-Williams Automotive Finishes

DuPont Automotive Refinish

Spies-Hecker Automotive Refinish

National Auto Body Council
INSIGHT Supports the NABC!
Do You?