HOUSTON, Texas (KTRK) — The plot thickens at Tricolor Auto after ABC13 first reported on Thursday that court documents revealed the company had filed for bankruptcy. Now, one of its lenders confirms the dealership is being investigated for fraud.
PREVIOUS STORY: Texas auto group files for Chap. 7 bankruptcy, allegedly owing billions for liabilities, docs say
As this situation works its way through the legal system, the tricolor dealerships remain shut down on Friday.
The dealership has still not commented on the situation, as signs outside their gates here locally direct customers to call their customer service line, which remains unanswered.
“Really frustrated,” customer Derrion Crenshaw said. “No one is answering the phone. If you go to the places, the doors are locked. So nobody, there’s no way to get in touch with them. So I haven’t even dealt with them.”
Crenshaw has been a customer of Tricolor Auto since last year. For the last several weeks, he says he’s been fighting with the company over an insurance claim, and now they’ve gone silent.
Gates are locked, and customers are puzzled.
Some customers tell ABC13 they took their cars in to be serviced at Tricolor and now can’t get them out.
“I felt like they were scamming,” Crenshaw said.
Fifth Third Bank confirms it funded a $200 million loan to Tricolor Auto. The bank now believes it will lose that money.
In a company presentation this week, Fifth Third CEO Timothy Spence said it appears there’s significant fraud in the collateral file that was used to support the borrowing base in all their warehouse facilities, as well as the audited financial statements of the company.
It comes at a time when court documents reveal Tricolor Auto filed for Chapter 7 bankruptcy, claiming more than a billion dollars in liabilities and having between $1 billion and $10 billion in assets.
“You can’t even call them. Nobody is answering the phone,” Crenshaw said.
The company has not gotten back to our request for comment.
Texas DMV confirms it is investigating complaints involving the dealer and is asking people to file a complaint if they’ve experienced a problem.
Link to file a complaint: Complaints | TxDMV.gov
For updates on this story, follow Daniela Hurtado on Facebook, X and Instagram.
Copyright © 2025 KTRK-TV. All Rights Reserved.
Niko Travis is a dedicated health writer with a passion for providing clear, reliable, and research-backed information about medications and mental health. As the author behind TrazodoneSUC, Niko simplifies complex medical topics to help readers understand the benefits, uses, and potential risks of Trazodone. With a commitment to accuracy and well-being, Niko ensures that every article empowers readers to make informed decisions about their health.
