Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: THURSDAY, June 28, 1990                   TAG: 9006280753
SECTION: VIRGINIA                    PAGE: B6   EDITION: EVENING 
SOURCE: Associated Press
DATELINE: BRISTOL                                LENGTH: Medium

POLICE BREAK CAR THEFT RING IN LOAN SCAM

One man has been convicted, five others are under indictment and authorities are considering charges against some car owners who arranged to have their vehicles stolen, Bristol police Chief Tom Stone said Wednesday.

Authorities conducted a yearlong sting operation, Stone said at a news conference with representatives of the FBI, Virginia Department of Motor Vehicles, National Automobile Theft Bureau and U.S. Attorney's Office.

Stone said James D. Sanders, who pleaded guilty to auto theft charges as part of a bargain with the U.S. Attorney's Office, was the leader of the ring apparently based in Bristol. Sanders is awaiting sentencing.

Stone said people seeking to "be relieved of their vehicle payments" arranged for Sanders to steal their cars at a specific time and location. The owners would report the theft to their insurance companies and collect thousands in compensation, the chief said.

Sanders, in turn, allegedly sold the stolen vehicles below value, Stone said.

The sting operation consisted of stolen vehicles being purchased by undercover officers, who were sometimes told days in advance the model of car available, Stone said.

Undercover officers also provided titles for non-existent cars to people allegedly involved in the ring, he said. The ring members would purchase insurance for the non-existent cars, report them stolen and attempt to collect insurance claims, the chief said, adding that police warned the companies so they would not pay false claims.

At the time, DMV representatives contacted the police department, and in conjunction with other agencies, investigated claims the city was the home of a car theft ring.

Authorities identified the five people under indictment as:

Dan Goodson, charged with illegal possession of $250,000 worth of stolen merchandise and concealing evidence.

Pamela J. Goodson, charged with unlawful possession of $68,000 worth of stolen merchandise.

Nellie Carrier, charged with devising a scheme to pretend her motor home had been stolen in order to collect $20,000 in insurance.

James Dye, charged with aiding Carrier in the scheme by transporting the vehicle.

Jeff Jackson, charged with unlawful possession of a stolen car.

Authorities said they expanded their investigation when an allegedly stolen 1984 Cadillac was traced from Southgate, Mich., to Bristol.

Assistant U.S. Attorney Jerry Kilgore said other indictments may follow here and in Michigan, where a similar investigation is under way. Kilgore said it appears a Michigan source supplied new cars to people here weeks before they were officially on the market.