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From the article:

Homeland Security Investigations found that the perpetrator sold his discount codes on Facebook Groups and offered random customers the 5% family discount claiming most of the customers to be brothers-in-law or sisters-in-law. In addition to their base salary, the salesperson received over $700,000 in bonuses from FCA for their sales record.


The perpetrator regularly outsold entire car dealerships on his own and claimed to sell over 250 cars in January of 2020 alone. This illegal practice was found out when FCA employees noticed their discount codes were being used without their consent leading to the investigation.


Full article here:

FCA Lost $8.7 Million From One Sales Guy Giving Family Discounts (motor1.com)
 

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I don't see this one dealership, using a novel way of applying a discount to close a sale, as an issue, and if it really is some kind of fraudulent activity, then I sort of put some blame on FCA for not implementing more protections and safeguards in the employee discount codes, if they are so important.

After all, hasn't employee pricing for everyone been going on for quite some time now? Isn't that the same thing as giving everyone an employee discount to make the sale and get rid of a vehicle?

To me, it's akin to a seller of something accepting a competitor's coupon, which most every retailer does these days, in order to get that sale over their competitor.

In the grand scheme of overall sales for FCA during the time period involved, 8.7 million $ is like throwing a paperclip into the ocean, it's minuscule. Yes, perhaps the discount should have come out of the dealerships profits instead of from FCA, but after all, they did sell a vehicle or would FCA rather have the sales voided and have those vehicles back?
 

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THE MAD DUCK
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The Real Question is How He Got Away With It.
Who Else was Involved?
 

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I sort of put some blame on FCA for not implementing more protections and safeguards in the employee discount codes, if they are so important.
Precisely what I was thinking when I read about this. What kind of Business Intelligence did FCA use that wouldn't catch something this large? It's like not paying attention to the water bill to know you have a big leak somewhere.
 

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This was not limited to just this Parkside salesman in my experience. Salesmen have offered as much as $100 per employee purchase discount we had left. As far back as 2007 in our experience. Never clear if dealership was aware of this as we didn’t bite. The Chrysler Company Car program has been good to this family and we were not about to jeopardize that fooling with a shady salesman.
 

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This is why I never give a dealership my login information to access the random codes generated for this program. That's PART of how he was able to get away with it. Now how he randomly hit a few others (and I know a few!!!!) that didn't even go to this dealership, I'll never know.
 

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Hopefully Stellantis doesn't close it down.

Buying a Blue Rebel soon with a discount.

Navy buddy works at Sterling Stamping and is sharing one with me.

I've debated and debated over this purchase. I have a 15 Big Horn that is in top shape with zero issues with new tires, new brakes, new wipers, new filters and a current oil change.

But when another buddy offers you 28k on a trade-in. Big Blue is paid off so with zero financing it's a doable purchase.

But always hesitant on new debt.
 

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This is why I never give a dealership my login information to access the random codes generated for this program. That's PART of how he was able to get away with it. Now how he randomly hit a few others (and I know a few!!!!) that didn't even go to this dealership, I'll never know.
Exactly this. The only ones that have access to ours my father (retiree) and myself. We go to the dealer with our control number and never let the dealer pull it up.
 

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Hopefully Stellantis doesn't close it down.

Buying a Blue Rebel soon with a discount.

Navy buddy works at Sterling Stamping and is sharing one with me.
You're buddy is taking a risk at losing access to his discount privilege and possibly even his job. Unless he's just giving you the friends of Family discount, which only amounts to roughly $500.
 
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