A federal court hearing on Thursday morning was put off. That hearing was to help a federal judge determine the dollar value of Bart Reagor’s obligation to Ford Motor Credit Company.
Initially, no date was given yet for rescheduling. Later, court records said the issue would come back to court in October.
Nearly a year ago, the Reagor-Dykes Auto Group filed for bankruptcy amid allegations from Ford that RD was in default and committed fraud. Three local banks made allegations of check kiting – which is a form of fraud.
Federal court records indicated that personal guaranties were executed by both Bart Reagor and Rick Dykes.
The former Chief Financial Officer of Reagor Dykes, Shane Andrew Smith, was charged by federal prosecutors in Amarillo on June 12 with felony conspiracy to commit wire fraud, as previously reported by EverythingLubbock.com. The plea deal also holds Smith responsible for $50.1 million of restitution.
The criminal charge said Smith committed “floor plan” fraud. A floor plan is a particular kind of loan for auto dealerships that covers a list of vehicles. The criminal complaint said “[Reagor Dykes] staff would retrieve files from old car deals and submit the … [VIN numbers] … as though [Reagor Dykes] were buying the vehicles against when in fact it was not.”
Rick Dykes settled out of court with Ford in April.
A judge recently ruled that Reagor’s personal guaranty is valid, but the judge wanted to hear from both sides before coming to a final dollar figure.