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Recyclers News Press
ABC's "The Lookout" Investigates
Flood-Damaged Vehicles Sold on
Used Car Lots
A new ABC show, "The Lookout", aired an episode
on July 31 investigating how flood damaged vehicles
are making their way onto used car lots around the
country and back onto the road. There have been
numerous reports since Hurricane Sandy last Octo-
ber about the estimated 250,000 cars that were
damaged as a result of the storm. Carfax has esti-
mated that approximately 100,000 of those flood
damaged vehicles are back on the road. In a five-
month long investigation, ABC producers tracked a
flood damaged Ford F-350 pickup truck after it was
deemed a total loss by USAA insurance. From the
Calverton Executive Airpark in Long Island, NY --
where thousands of Hurricane Sandy damaged vehi-
cles were stored after the storm -- the truck went to
an Insurance Auto Auction (IAA) location in Iowa
and ultimately to a used car lot in Old Bridge, New
Jersey. The truck was then sold to an undercover
"The Lookout" producer for $19,999.
Director of Consumer Protection for the Iowa Attor-
ney General's office, Bill Brauch, is featured in the
episode. Brauch also serves as Vice Chair of the
federal National Motor Vehicle Title Information Sys-
tem (NMVTIS) Advisory Board. The crushed vehicle
footage in the segment was filmed on location at an
ARA member facility owned by Secretary Mike Swift,
Trail's End Auto Salvage in Des Moines, Iowa. In
one memorable scene which made it into the final
episode, an ABC producer left his Hugo Boss de-
signer sports jacket on a nearby car, not knowing
the car was actually in line to be crushed. Trails End
Auto Salvage employees were able to extract the
jacket and its contents from the crusher, however
the jacket did not make it out in one piece. To view
the entire 20 minute episode, please visit the follow-
ing link:
USAA and IAA have issued a joint statement re-
garding the investigative report and the "The Look-
out" episode, expressing deep concern that despite
controls, consumers were put at risk and detailing
exactly how this particular vehicle was sold to the
used car lot, despite having a salvage title and in-
structions to be sold for parts-only. To read the en-
tire statement, please visit the following link:
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