Is this Andy Stacy that got indicted?

Bauer
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Bauer
Edited Date/Time 12/15/2014 1:24pm
Scandalous shit here

FBI indicts former racer, team owner
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Tim507
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Tim507 8/30/2013 12:36pm
8/30/2013 12:36pm
If and when they are convicted there will be some serious jail time layed down
slipdog
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slipdog 8/30/2013 12:36pm
8/30/2013 12:36pm
Umm, wow!

I do recall him being involved with Tuff Racing.
ehr400
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ehr400 8/30/2013 12:37pm
8/30/2013 12:37pm
I know some people who personally got defrauded by these shit bags. They put one of the guys name on a big diesel pusher RV and he never knew it until the bank came to him after John and Stacy had named him on the loan by forging his name and info. Stacy was the big one and this guy who owned the Pro Source dealer in Tecumseh with the indoor track.

"John Materyn, 50, of Ypsilanti, Michigan, who worked for Ott at Pro Source in 1998 and later at Liberty Cycle. Materyn acted as a straw borrower on seven fraudulent loans totaling more than $2.3 million, and after making certain periodic payments, he used a portion of the funds to operate Pro Source Motorsports in Michigan and for personal expenses."

I believe Suzuki was coming after him too because he was acting as a Suzuki dealer via Pro Source in Chicago. He would bring bikes to Michigan and act like a Zuk dealer.
ehr400
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ehr400 8/30/2013 12:39pm
8/30/2013 12:39pm
Tim507 wrote:
If and when they are convicted there will be some serious jail time layed down
A couple of them left the country for a while too. They were some shady ass dudes. There were alot of classaction suits filed by past customers in Tecumseh, Mi due to John forging people names onto loans as cosigners for total strangers. I also heard of some drug trafficking as well and money laundering. Serious crimes.
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The Shop

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Sandberm
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Sandberm 8/30/2013 12:39pm
8/30/2013 12:39pm
Russel Ott...wasnt there a Rusty Ott that used to race in the 80's?
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czernik 8/30/2013 12:45pm
8/30/2013 12:45pm Edited Date/Time 8/30/2013 1:22pm
uhoh
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Arkmx 8/30/2013 12:47pm
8/30/2013 12:47pm
Sandberm wrote:
Russel Ott...wasnt there a Rusty Ott that used to race in the 80's?
.

Yep, Rusty Ott, raced with him at LL's a few times!

Last time I saw them there they had a big Fun Mover type rig etc...

I think Andy is Frank Stacey's brother....

Dang, not good for any of them....

.
ehr400
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ehr400 8/30/2013 1:48pm
8/30/2013 1:48pm
Yep it was talked about a few years ago here.
Bauer
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Bauer 8/30/2013 2:00pm
8/30/2013 2:00pm
ehr400 wrote:
Yep it was talked about a few years ago here.
What was talked about a few years ago here? So Vital MX and the vitards are complicit in this conspiracy?
TX24
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TX24 8/30/2013 2:06pm
8/30/2013 2:06pm
I remember the Ott name also as an IL racer.

Federal crimes. Rough times for them ahead.
gharmon
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gharmon 8/30/2013 2:18pm
8/30/2013 2:18pm
As a great a group of folks we have in motocross you just never know who/what's lurking. Shit is f#*ked up right there, especially the child abuser guy!!
fullfloater 8/30/2013 2:20pm
8/30/2013 2:20pm
Wait a minute, there are crooked people in the moto industry?
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TerryK
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TerryK 8/30/2013 2:36pm
8/30/2013 2:36pm
Owen Weichel used to race in Canada I believe and the US as well.
500guy
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500guy 8/30/2013 3:00pm
8/30/2013 3:00pm
TFS always said "follow the money "

I bet if they follow it closely there is a few Bankers in this scandal too,
Sully22
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Sully22 8/30/2013 3:04pm
8/30/2013 3:04pm
Was this the guy that was helping Hamblin out with that privateer Yamaha he was riding?
Gym Briggs
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Gym Briggs 8/30/2013 3:14pm
8/30/2013 3:14pm
Can someone explain the scam? I am a little confused...

Its unfortunate def not the kind of charges you want to be looking at.

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shiftmx_22 8/30/2013 3:27pm
8/30/2013 3:27pm
Gym Briggs wrote:
Can someone explain the scam? I am a little confused...

Its unfortunate def not the kind of charges you want to be looking at.
Sounds like they were running an "RV sales" business. They would apply for loans on behalf of others (who didn't actually apply, nor did they receive anything), and take all the sweet $$$ and disperse it elsewhere.

Or I could have got all mixed up in the legal jibberish and be off in left field.
Tim507
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Tim507 8/30/2013 3:49pm
8/30/2013 3:49pm Edited Date/Time 8/30/2013 3:51pm
They built a legit operation or two or three. Then obtained cash flow -term loans - Lines of Credits for big numbers for these operations.
They needed to make loan payments - reductions and provide Current Financial Info annually to the lenders. So the Scam needed to keep growing to keep the source of funds flowing to meet the lenders obligations

They used the proceeds of the loan(s) to pay the reductions - payments and created false FS data to the lenders. This is just the outline. To keep the scam going they then created false sales and false guarantors and straw man…….A straw person or straw man is a figure not intended to have a genuine beneficial interest in a property, to whom such property is nevertheless conveyed in order to facilitate a transaction. Some of the property (RV - Motorcycles) may have been sold several times.


Had to be a lot of stress in this kinda of operation. Also lots of blackmail and extortion. It will be interesting who is or becomes the key witness.
mj731
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mj731 8/30/2013 4:03pm
8/30/2013 4:03pm
I bought a bike from Andy a few years ago at another dealership he had. I had heard this story but I thought he had already done some time for it. I'm just happy he wasn't still running the scam then.
newmann
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newmann 8/30/2013 4:05pm
8/30/2013 4:05pm
Tim507 wrote:
They built a legit operation or two or three. Then obtained cash flow -term loans - Lines of Credits for big numbers for these operations. They...
They built a legit operation or two or three. Then obtained cash flow -term loans - Lines of Credits for big numbers for these operations.
They needed to make loan payments - reductions and provide Current Financial Info annually to the lenders. So the Scam needed to keep growing to keep the source of funds flowing to meet the lenders obligations

They used the proceeds of the loan(s) to pay the reductions - payments and created false FS data to the lenders. This is just the outline. To keep the scam going they then created false sales and false guarantors and straw man…….A straw person or straw man is a figure not intended to have a genuine beneficial interest in a property, to whom such property is nevertheless conveyed in order to facilitate a transaction. Some of the property (RV - Motorcycles) may have been sold several times.


Had to be a lot of stress in this kinda of operation. Also lots of blackmail and extortion. It will be interesting who is or becomes the key witness.
That's about how I read it. Gotta keep feeding the monster.

I'd hate to get up every morning and have to see that in the mirror. I'll just keep knocking out my dents one at a time.....
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Ing
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Ing 8/30/2013 4:07pm
8/30/2013 4:07pm
I bought one of his factory Huskys back in the 80's. A 250 if I remember right.
mxnick
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mxnick 8/30/2013 4:18pm
8/30/2013 4:18pm Edited Date/Time 8/30/2013 4:21pm
Ouch. I had heard Rusty and Andy had stepped in some shit, but those are some serious numbers. Believe it or not, you hear about those things happening in powersports dealerships. Things like selling bikes and stacking empty crates so they look like they are still "in stock" and so the dealer does not have to pay it off.

But these guys really got some serious numbers of fraud in. I assume that selling those those big rig style fun mover type rigs, which are $200K+, and which add up quickly. The bikes are smaller dollar value, so it takes a shit ton of bikes to add up to a million or two, but only a few motorhomes!

There was a honda dealer in new hampshire that got in a similar situation a while back. Every year there are maybe 4-8 motorcycle dealerships where you hear shenanigans like this....just not $70mm worth!

Thats too bad though, those guys are in some serious trouble.
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Coyote 8/30/2013 5:13pm
8/30/2013 5:13pm
Bauer wrote:
Scandalous shit here

FBI indicts former racer, team owner
Damn, sad to hear. Don't remember why but we called Andy "Lou", was a good rider and I thought good guy, got wrapped up in some scandalous shit (to quote SCool for sure...damn!!
MX Culture
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MX Culture 8/30/2013 5:13pm
8/30/2013 5:13pm
There's so much more to this story and more than I know too.
But one day in late 08 I think, like 8 dealerships in Chicagoland all got shut down and locked up. It was crazy.
What I can tell you is that Pro Source sponsored my bud Tommy Hofmaster from 2001 to 2003 until he got picked up by Shogun/Factory Yamaha for Arenacross.
They were cool as hell and gave him plenty of bikes and parts, but this was all before the crazy stuff started going down. Rusty was always cool and really low key and I'd see him at the races all the time.
I'm kinda glad it wasn't a few years later, we woul'dve maybe got sucked into the scheme.
There was always talk of shady stuff going on in the later years because eveyone was getting free Yami's and we were like wtf, why him?
You'd see Pro Source graphics everywhere and I knew a bunch of the guys that worked there, but we kinda kept our distance too.
ehr400
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ehr400 8/30/2013 6:25pm
8/30/2013 6:25pm
ehr400 wrote:
Yep it was talked about a few years ago here.
Bauer wrote:
What was talked about a few years ago here? So Vital MX and the vitards are complicit in this conspiracy?
No, the Dave Mack issue.

As to the Pro Source folks this these guys did such shady stuff for so long in our areas everyone knew it was only a matter of time.
RandyS
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RandyS 8/30/2013 6:25pm
8/30/2013 6:25pm
There are two lines in the RacerX story that are amusing.

Andy had to put his head down and basically start from ground zero and grow in to the same reputable business standards as the company was when he took over.

In the meantime, Mr. Stacy will be enjoying his time with wife, Jackie and his two girls, Amera and Syndey.

Unfortunately there's a picture of his two daughters below the last line. That's not amusing.
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Highsider 8/30/2013 6:47pm
8/30/2013 6:47pm
i bought a new YZ450F from them in Feb 2007 and later, when I heard this stuff, I was
feeling pretty happy that I received the title.
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Ray Blazak
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Ray Blazak 8/30/2013 10:52pm
8/30/2013 10:52pm
I first started buying parts from Rusty Ott when he was a parts guy at DGY. He used to do some occasional test riding for one of the dirt magazines in the late 80's early 90's. Rusty used to win a lot at local Northern IL district 17 tracks such as Byron & Santa Fe. Back in those days I was a lowly C class guy and he was awesome fast. I remember him being hauled off by the IRS at his smaller Pro Source location in Yorkville IL before he opened the mega dealership in Morris IL. My friends and I bought numerous bikes and parts from Pro Source over the years and it was a bummer when they closed. But now I know why. I never got to know Rusty personally ,but I do know he lost a young daughter around 2006 as well. I just am shocked to learn all of this today. I live a few miles away from where all this took place in Morris IL and remember the RVs in the lots.

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