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Unlicensed Auto Body Repair Shop Owner Busted Again for Fraud

Arrest underscores DCA efforts to halt unlicensed operators

SACRAMENTO — A Bureau of Automotive Repair (BAR) undercover operation has led to the arrest of an auto body repair technician Tuesday. Lazar Rusu-Carp, 46, of Sacramento, is accused of running an unlicensed auto body repair shop and defrauding consumers. Rusu-Carp was previously convicted and served time on similar charges.

"Today's arrest is a vivid example of why it is critical for consumers to make certain they are doing business only with registered businesses and licensed professionals," said Carrie Lopez, Director of the California Department of Consumer Affairs."This individual was not only unlicensed, but unscrupulous as well."

Lazar Rusu-Carp lost his auto body repair shop license after a 1996 fraud conviction and jail sentence. In 2005, BAR gave him a written warning not to perform repairs for compensation. While he filed a declaration stating he would not do repairs, he is accused of continuing to do just that, this time doing business as North Star Auto Body.

After receiving several complaints from consumers in 2005, BAR investigators went undercover, bringing in an undercover vehicle and insurance policy from Mercury Insurance. BAR documented suspected unlicensed activity, perjury, unlawful use of a license, theft, and insurance fraud. Working together, BAR, local law enforcement and the Sacramento County District Attorney's Office brought criminal charges against Rusu-Carp. A warrant for Rusu-Carp was issued in October 2006 when he failed to appear in court on those charges.

"We have a very high compliance rate in registering auto repair shops," said Sherry Mehl, Bureau Chief of BAR." Approximately 90% of the unregistered auto repair dealers we meet with will go ahead and register. In this case, there was a very good reason this operator didn’t have a license. He was not interested in running a reputable business; he was only interested in lining his own pockets."

DCA Director Lopez said the unlicensed activity is by no means confined to auto body repair."Doing business with an unlicensed operator, whether an unregistered auto body shop, an unlicensed contractor or an unlicensed health care provider is dangerous business," said Lopez."Educating consumers to check for licenses is a number one priority and the best defense against unlicensed practice."

Consumers can find out the status of a license by calling the Department of Counsumer Affairs toll-free number at 1-800-952-5210, or visiting the DCA website at www.dca.ca.gov.

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