November 23, 2024
Business

Dealership facing more problems State lien targets Dave Gould Ford for back sales taxes, interest

ELLSWORTH – An Ellsworth Ford dealership that already faces sales restrictions because of substantial debts owed to its parent company now faces additional financial pressure closer to home.

Maine Revenue Services filed a lien last week against Dave Gould Ford alleging that the Ellsworth company owes more than $80,000 in back sales taxes and interest, according to the Hancock County registry of deeds.

Two Ellsworth businesses, Harmon Tire on High Street and the Ellsworth American, a local weekly newspaper, also have filed liens totaling nearly $30,000.

Additionally, a customer from Ellsworth sought court action last month to have Dave Gould repay $19,000 on a loan for a vehicle that she traded in.

The four liens, or legal holds, come on the heels of a civil lawsuit filed in September by Ford Motor Credit Co., which claimed Dave Gould Ford owed more than $2 million to the parent company.

Attempts to reach Gould and his attorney, Nathan Dane III of Bangor, on Thursday were unsuccessful. Both have declined to comment on the matter in the past.

James Patterson, an Ellsworth attorney who filed the lien on behalf of Harmon Tire, also declined to comment Thursday.

Terri Carlisle, general manager for the Ellsworth American, said Dave Gould Ford has been an advertising client for years, but she couldn’t remember the last time the paper received a payment.

“We’ve sort of been giving them the benefit of the doubt,” she said.

The original complaint by Ford Motor Credit, filed in Ellsworth District Court, alleged that the auto dealer failed to pay back cash advances that were used to buy vehicles that were, in turn, sold. Court documents also state that Gould spent proceeds that were supposed to be held in trust for FMCC.

When Dave Gould opened in Ellsworth in 1998, it signed an automotive wholesale agreement with Ford Motor Credit Co. The agreement, among other things, allowed Dave Gould to finance some of its purchases and allowed FMCC to provide advances when necessary.

A court order signed in late September by Judge Bernard Staples required Dave Gould Ford to turn over all keys and vehicle titles to Ford Motor Credit Co.

Under the order, the dealership could still sell vehicles, but must turn over half of all proceeds to FMCC.


Have feedback? Want to know more? Send us ideas for follow-up stories.

comments for this post are closed

You may also like