News in 2013

An investigation of a New Mexico salvage operation has resulted in the prosecution of an illegally operating business, and almost $60,000 in federal NMVTIS-related fines. The investigation, which began when the business converted a stolen vehicle to scrap, has produced NMVTIS enforcement of the kind licensed auto recyclers nationwide have been anticipating.

It was determined that since 2009, when the NMVTIS regulations went into effect, CBH Trucking and Salvage failed to report 533 illegally purchased vehicles to the national database, and has been assessed $59,540 in fines by the Department of Justice NMVTIS Enforcement Program.

ADD joins NMCARA and ARA in applauding the work of all associations and agencies involved.

From the NMCARA Press Release:

ALBUQUERQUE, New Mexico, April 12, 2013 – The New Mexico Certified Automotive Recyclers Association (NMCARA) commends the San Juan County Sheriff’s Office, the National Salvage Vehicle Reporting Program, and the U.S. Department of Justice’s National Motor Vehicle Title Information System (NMVTIS) Enforcement Program for their combined efforts that resulted in the recent prosecution of an illegally operating salvage business in San Juan County, New Mexico.

The prosecution of CBH Trucking and Salvage is the first time that Department of Justice (DOJ) enforcement was taken in conjunction with state prosecution for NMVTIS violations. NMVTIS is an electronic system established by federal law in 1992 that enables users such as state titling agencies, law enforcement, consumers, automotive recyclers, and insurance carriers, to access and verify key automobile titling information, including brand history. NMVTIS is operated by the DOJ and the American Association of Motor Vehicle Administrators (AAMVA). NMVTIS reporting is required for all junk salvage vehicles, and reporting reduces titling of stolen vehicles, reduces fraud and vehicle theft, and helps to protect consumer safety.

Beginning in early 2012, Detective Mike Sindelar of the San Juan County Sheriff’s Office of Rural Crimes Unit received information that a scrap metal salvage business in San Juan County had been illegally engaged in the purchase of vehicles for the purpose of converting them to scrap. This business was identified as CBH Trucking and Salvage and was co-owned by Carl and Bobby Huish. Subsequent investigation confirmed that the illegal purchasing of vehicles for scrap had been going on at this business for several decades. Based upon several criminal allegations, a search warrant of the business was obtained and transaction records seized for examination. This examination confirmed that numerous violations of the NMVTIS law had occurred.

Detective Sindelar reached out and to the Administrator of the National Salvage Vehicle Reporting Program (NSVRP), which is recognized by US Department of Justice (USDOJ) as an independent third party standards body for NMVTIS. After an exhaustive investigation of records provided to NSVRP they were able to prepare documentation for forwarding to the Department of Justice NMVTIS section in Washington, D.C.

The DOJ NMVTIS Program and its Bureau of Justice Assistance reviewed the documentation and subsequently ordered further disclosure of CBH Trucking and Salvage records of vehicle purchases going back to the advent of the NMVTIS program in May of 2009. Additional illegal vehicle purchases were discovered bringing the total number of vehicles purchased in violation of NMVTIS reporting requirements to 533.

DOJ proceedings ultimately determined that the amount of assessed fines and penalties for CBH Trucking and Salvage would be $59,540.00. Carl Huish pled guilty to five counts of state statute and charges were dismissed against Bobby Huish. Sentencing for Carl Huish will take place later this summer.

“This case sets an important precedent and demonstrates how cooperation between federal, state and local jurisdictions can result in greater compliance with mandated reporting procedures,” said NMCARA Executive Director, Sandy Blalock. “Automotive recyclers have long supported the full implementation of NMVTIS and our industry believes that all entities involved in the automotive dismantling supply chain should be required to report to NMVTIS.”