Broker Allegedly Pockets Proceeds From Jaguar XKE Consignment Sale
If you’re considering selling your Jaguar through consignment, let one man’s story serve as a warning.
Classic car brokers are, for the most part, trustworthy folks who help us find new owners for our rides. In return for these services, they are rewarded with a fee. But apparently, that cut wasn’t quite enough for one particular Bay City, Michigan broker following their sale of a classic 1963 Jaguar XKE. As reported by MLive, David F. Cotten, owner of Bay City Motor Company, has been charged with a felony after he allegedly kept all of the proceeds from the consignment sale of this particular Jaguar.
The whole fiasco began back in 2016, when a customer sought help from Cotten to sell the classic Jaguar. After a little back and forth, the dealer agreed to list the car for $220,000, which was a bit higher than the car’s value at the time of roughly $126,000. At some point, Cotten transferred the title of the Jaguar to Bay City Motor Company. He then sold the car at auction for $118,300, pocketing the proceeds. For two years following the car’s sale, the owner was under the impression that the Jaguar was still for sale.
Apparently, the owner eventually realized that something fishy was going on. They lawyered up and contacted the Michigan Regulatory Monitoring Division, and soon a warrant was issued for Cotten’s arrest. Now, he faces one count of larceny by conversion more than $20,000. That charge is punishable by up to 10 years in prison and a fine of $15,000, or three times the value of what was stolen.
There’s just one catch, of course. Cotten is claiming that the customer wanted to trade his Jaguar for a 1958 Cadillac Eldorado, which was valued at $130,000. Reportedly, Cotten offered to pay the $90,000 difference once the Jag sold. But dealership records indicate that the Cadillac was purchased by the customer at full price.
We certainly won’t jump to any conclusions until the legal process works things out. But on the surface, things don’t look so good for Cotten. Investigators are currently looking for other Bay City customers who may have been duped, which would only strengthen their case. So let this serve as a warning. If you’re looking to sell your classic Jaguar through a broker, be sure and do your homework first.
Photos: Jaguar Forums
Join the Jaguar Forums now!
