KS auto dealer liable for $394K fine, can’t sell cars anymore after skipping court
The owner of a used car dealership in Wichita has been found personally liable for a hefty fine levied on his business this past spring after he failed to show up for a court hearing in a case where they were in trouble for selling cars with blown airbags.
The Sedgwick County District Attorney’s Office says a judge entered the Nov. 22 default judgment against Kayode Ajibolade after he skipped a pretrial conference hearing on Halloween and had no lawyer or other representative appear on his behalf.
Because Ajibolade missed the Oct. 31 hearing and a subsequent hearing, he was found “to be personally liable, ‘jointly and severally’ with CarNation LLC” for $394,197, the remaining balance of a $418,000 judgment ordered in April against his car lot, the DA’s Office said in a news release Monday.
“In addition, the court revoked Ajibolade’s license to do business and permanently prohibited him from selling cars in the State of Kansas,” the release says.
Kansas law lets judges sanction parties for disobeying court orders, including failing to appear for hearings. A default judgment is a type of sanction where a judge decides a case in favor of one side because the other didn’t show up to court, respond to a lawsuit or file paperwork on time.
It’s unclear why Ajibolade, who also goes by the name Olukayode I. Ajibolade, missed the October hearing and whether he intends to pay the money. No one answered a number listed online for the car lot or returned a voicemail message asking for comment Tuesday morning. An internet listing for CarNation says it is permanently closed. The business was located at 1301 E. Lincoln in Wichita.
In May, a man who answered the phone at CarNation denied wrongdoing and told The Eagle the $418,000 judgment would put his car lot out of business. The Eagle was asking for comment about the judgment against CarNation at that time.
The court previously ordered CarNation to pay the penalties, revoked its business license and barred it from future car sales in Kansas over bad business practices that included selling vehicles outfitted with devices that hide blown airbags. The DA’s Office alleged that the car lot and Ajibolade sold 13 cars in early 2023, knowing the airbags had been deployed but didn’t tell buyers about it.
In at least one instance, a car buyer found a so-called airbag simulator device that disabled the airbag light on the dashboard.
Concealing such information is considered deceptive and violates the Kansas Consumer Protection Act.
CarNation was also in trouble over airbag issues when it entered into a consent judgment with the DA’s Office in 2019. Selling vehicles with undisclosed airbag problems in 2023 violated the terms of that consent judgment and subjected the business to additional fines.
The man who answered the phone at CarNation in May told The Eagle customers knew they were buying previously wrecked vehicles and that airbags aren’t included in their fixes because they only check for and guarantee “mechanical reliability.”
The court in April ordered CarNation to pay around $418,000 total in restitution, fines and other costs. The DA’s Office says the car lot’s bonding company covered the restitution ordered — $24,000 to 12 customers. But the rest is outstanding.
