Knaresborough luxury car dealer denies fraud and theft charges

The owner of a luxury car dealership has denied defrauding and stealing from customers in an alleged scam worth over £1 million.

Andrew Mearns, 54, who owned Gmund Cars in Knaresborough, appeared at York Crown Court today when he pleaded not guilty to 13 counts of fraud and three theft allegations.

All the allegations relate to his car dealership at the Nidd Valley Trading Estate and involve 16 alleged victims.

The alleged offences are said to have occurred between September 2015 and December 2020.

One of the allegations is that Mr Mearns stole a £130,000 Porsche from a named man in January 2019.

Mr Mearns, now living in Conwy, Wales, is also alleged to have stolen a £60,000 Porsche Turbo from another named man in October 2018 and a £65,000 Porsche 911 Carrera in November of that year. 

Judge Simon Hickey adjourned the case for a trial on a date to be fixed. The trial is due to last between two and three weeks and may be held in a different court. 

Mr Mearns, of Colwyn Place, Llandudno, was granted bail until his next appearance. 


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Knaresborough luxury car dealer faces 16 fraud charges

The owner of a car dealership in Knaresborough has appeared in court charged with 16 counts of fraud amounting to more than £1 million.

Andrew Mearns, 54, is alleged to have committed the offences at Gmund Cars in Knaresborough between August 2016 and March 2019.

Sixteen different victims were named in the charges, with the largest individual fraud said to be worth £220,000.

Mr Mearns, whose current address was given as Colwyn Place, Llandudno, appeared at Harrogate Magistrates Court this morning to face the charges.

Wearing a white shirt and grey trousers, he spoke to confirm his name and address but did not enter pleas to the 16 counts of fraud by false representation.

Prosecutor Alison Whitely told the court the alleged offences took place over a “considerable period” while Mr Mearns owned and ran Gmund, a company dealing luxury cars.

Magistrates said the case was too serious for them to deal with and told Mr Mearns he would face trial at York Crown Court. His first appearance there was set for June 26.


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Alleged victims of fraud at Knaresborough car dealership call for more police action

The victims of an alleged fraud involving Porsches in Knaresborough have criticised police for the lack of progress in the investigation.

North Yorkshire Police launched an investigation in summer 2019 after allegations that dealership Gmund transferred ownership of cars worth more than £1 million without the owners’ permission.

A man in his 50s was arrested at the time and released under investigation.

Now, almost four years on, the alleged victims have questioned why there has been no update from police since February 2022. One told the Stray Ferret:

“Beyond the frustration, it is more a case of losing faith in the judiciary system and rule of law.”

Asked for an update, a spokesperson for North Yorkshire Police last week said:

“There is no update in the investigation into a Knaresborough car dealership previously enquired about. The investigation remains ongoing, one suspect remains under investigation.”

The Stray Ferret first published at story in summer 2020 after speaking to six alleged victims of fraud at Gmund.

One man, Anthony Place, claimed he was never paid the £52,000 he was owed when his car was sold in early 2019. He grew so frustrated that he painted a message asking for his money on the side of his other Porsche – and hired a plane with a banner bearing the same words to fly over the dealership.

Another man contacted the Stray Ferret to say he had bought a car from Gmund and had since been told by police he was unable to sell or modify the vehicle while the investigation continued.

One of the alleged victims, who asked not to be named, told the Stray Ferret last week he was frustrated by the slow progress of the investigation:

“What disturbs me somewhat is how long this has been dragging on.

“The police had advised me to appoint a solicitor. Legal advice means a lot of money and in my case we have nothing to work from except that others have not had the money they are owed.”


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Gmund was founded in 2006 and was known for buying and selling classic Porsche cars.

The company, which was based at the Nidd Valley Business Park, was dissolved in 2020 and its owner Andrew Mearns was declared bankrupt.

His wife, the former Conservative councillor for Knaresborough Scriven Park, Samantha Mearns, was company secretary from the time it was founded until December 2018.

Ms Mearns told the Stray Ferret in 2020 she was never interviewed by police in relation to the allegations. In July 2021, she resigned from the council and moved to Wales, citing family reasons.

The administrator’s report from June 2020 found more than £1 million in claims stacked up against the business with only £15,000 in assets.

The alleged victim added:

“The police do not seem to be very active. The police, particularly in North Yorkshire, need to rebuild their reputation.

“Regular updates which had been promised have not been exactly forthcoming. It does not put the police in a good light. Mum’s the word and that is not good enough.”

Police still investigating missing Porsches at former Knaresborough car dealership

North Yorkshire Police has confirmed that an investigation into missing Porsche sports cars at a former Knaresborough dealership Gmund Cars is still ongoing.

The police launched its investigation in the summer of 2019 after allegations from customers that Gmund transferred ownership of more than £1 million worth of cars without their permission.

In July 2019, North Yorkshire Police arrested a man in his fifties but no charges have been brought currently.

No further arrests have been made since the investigation began.

A North Yorkshire Police spokesperson said last week:

“The investigation is ongoing and as such we cannot provide any further statement.”

Frustration

One customer of Gmund, who asked not to be named, told the Stray Ferret last week that they are “very frustrated” with the pace of the investigation.

The customer bought a car from Gmund but said they have been told by the police they are not able to sell or modify it until the investigation is complete.

They said:

“I am very frustrated with the protracted process and total lack of transparency. After three years, the pace at which this is being conducted is incredible.”


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History

The company started in 2006 and built up a strong reputation as a place that bought and sold classic Porsche cars.

In 2020, six alleged victims told the Stray Ferret spoke to about their experiences with the firm.

The company, which was based at the Nidd Valley Business Park, has now been dissolved and its owner Andrew Mearns was declared bankrupt.

His wife, the former Conservative councillor for Knaresborough Scriven Park, Samantha Mearns, was company secretary until December 2018.

Ms Mearns told the Stray Ferret in 2020 she was never interviewed by police in relation to the allegations.

In July 2021, she resigned from the council and moved to Wales citing family reasons.

Harrogate MP refuses to answer Porsche investigation questions

Andrew Jones MP has refused to answer the Stray Ferret’s questions relating to Cllr Samantha Mearns and a police investigation into missing Porsche cars.

The Stray Ferret revealed yesterday allegations that Gmund Cars Ltd transferred ownership of more than £1 million worth of cars without the owner’s permission. The company was run by Andrew Mearns and dissolved in June 2020.

Cllr Samantha Mearns was a “person with significant control” and company secretary of Gmund Cars Ltd until December 2018. Cllr Mearns remains as an aide to Andrew Jones MP and a councillor for Harrogate Borough Council.

North Yorkshire Police is investigating the allegations and arrested a man in his fifties in July last year. He has not been charged and the force released him under investigation.

The Stray Ferret asked Andrew Jones MP if he had confidence in Cllr Mearns, when he first became aware of the allegations against Gmunds Cars Ltd and whether he had any comments to make on the investigation into Gmund Cars Ltd. Mr Jones has not responded. Harrogate Borough Council told the Stray Ferret that it will take the questions surrounding its confidence in Cllr Mearns and her involvement in Gmund Cars Ltd further.


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We do know that both the council and Andrew Jones MP have received complaints about Cllr Mearns in relation to Gmund Cars Ltd.

The Stray Ferret has seen emails of a complaint put into both Andrew Jones and Harrogate Borough Council about Cllr Mearns and Gmund Cars Ltd. The complaint was made in the spring of last year.

Anthony Place wrote to Mr Jones and told him that Gmund Cars Ltd had transferred ownership of his car without his permission in March 2019  and questioned the “integrity and business practices” of Cllr Mearns.

Andrew Jones MP responded in May 2019 to say he had a conflict of interest and directed Mr Place to his own MP. Mr Jones also pointed Mr Place towards the council’s complaints procedure.

The email in May 2019 response Andrew Jones MP sent to Anthony Place.

 

Harrogate Borough Council’s head of legal and governance responded to Mr Place in June 2019. Jennifer Norton said that the council would not take the complaint further because Cllr Mearns was not acting in her public office duties at the time.

For more on Harrogate Borough Council’s response to Anthony Place’s complaint Read here.

Exclusive: Harrogate MP aide and councillor at centre of £1 million Porsche investigation

The Stray Ferret can reveal that a councillor in the Harrogate district and case worker for Andrew Jones MP is at the centre of a police investigation into missing Porsches where victims lost out on a total of more than £1 million.

Gmund Cars Ltd, which was based at the Nidd Valley Business Park, has since gone into dissolution. Andrew Mearns was the owner. Conservative Cllr Samantha Mearns had “significant control” which she gave up in December 2018.

The company started in 2006 and built up a strong reputation as a place which bought and sold classic Porsche cars. The six alleged victims the Stray Ferret spoke to said it started to unravel in 2018.

Andrew Jones MP endorsed the shop as an “amazing business” on December 1, 2018 at the time when Gmund Cars Ltd allegedly started to transfer ownership of cars without the owners’ permission. There is no suggestion that Andrew Jones MP was aware of the allegations when the above picture was taken. Mrs Mearns remains as his case officer.


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The administrator’s report from June 2020 found more than £1 million in claims stacked up against the business with only £15,000 in assets.

North Yorkshire Police is investigating the allegations and arrested a man in his fifties in July last year. He has not been charged and the force released him under investigation.

The Stray Ferret has spoken to six alleged Gmund Cars Ltd victims. Some said they lost out on medical treatment, time away from work to see terminally ill parents or their entire pension pot as a result of not receiving money from the sale of their cars.

Six alleged Gmund Cars Ltd victims speak out

Matt Saphier believes that he is the earliest victim. He took his Porsche 911 valued at more than £80,000 to Gmund Cars Ltd back in May 2017.

After many months of waiting, Mr Saphier received a DVLA notice to say that his car had changed ownership in November 2018. He claims he did not give permission for the sale and Gmund Cars Ltd never sent him the money. Mrs Mearns still held her position of “significant control” in the company in that period.

Anthony Place also claims he lost out on more than £52,000. He took his Porsche 924 Carrera GT to Gmund Cars in August 2018 to be sold on a ‘Sale Or Return’ basis.

Anthony Place’s simple message: Where’s my money?

The DVLA sent Mr Place a notice in March 2019 to say his car had changed ownership but he also never received any money from the sale. After a couple months of pestering Mr Place lost his patience.

Mr Place decided to head down to Gmund Cars Ltd for an open day where more than 200 people were in attendance. He printed t-shirts, painted on the side of one of his other cars and even paid for a plane to carry a banner. The message was simple: “Where’s my £52,495 Gmund?”

He told the Stray Ferret:

“I personally feel quite battered and bruised by this. I may be able to bounce back from this loss and some of the other victims were left devastated. This car sale was supposed to fund my time off work. My plan was to go part time so I could spend some time with my terminally ill parents.”

All alleged six victims were critical of the police’s handling of the case and urged the force not to drop its investigation.

The Stray Ferret has approached both Samantha Mearns and Andrew Jones MP for a comment. Andrew Jones MP did not reply by the time of publication.

Samantha Mearns told the Stray Ferret:

“I was a shareholder in my husband’s business until December 2018.  When the business was put into administration in June 2019, allegations were made which resulted in a police investigation.  As far as I am aware the investigation has concluded with no further action being taken.  I was never interviewed in relation to any of the allegations.”