A North Carolina towing company is paying a close to a $70,000 settlement after being accused of repossessing and selling vehicles that belonged to deployed U.S. Marines.
The Justice Department announced Tuesday that Billy Joe Goines, the owner and operator of Goines Towing & Recovery, has reached a settlement with the government over alleged violations of the Servicemembers Civil Relief Act (SCRA) that stemmed from his towing and selling vehicles without properly disclosing to the courts that they were owned by servicemembers.
“Servicemembers sacrifice a lot — and, in many cases, everything,” Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division said in the release. “Debt collectors and towing companies shouldn’t be allowed to take and sell their property behind their backs. The Justice Department will vigorously enforce servicemembers’ rights under the SCRA. Try to illegally take property from a Marine and find out.”
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Signage stands on the main gate to Camp Lejeune Marine Base outside Jacksonville, N.C. (AP Photo/Allen G. Breed)
The SCRA provides a “wide variety of financial and housing protections to members of the military,” the release notes, including requiring companies to file accurate affidavits disclosing whether a vehicle belongs to a member of the military.
But the Justice Department claims that Goines, who operated the shop near Camp Lejeune, did not follow such protections for servicemembers, instead auctioning off, selling, or disposing of vehicles owned by at least eight members of the military, including at least one servicemember who was deployed to Japan when the tow company owner sold the Marine’s vehicle and kept the proceeds.
The U.S. Department of Justice is seen on June 20, 2023 in Washington, DC. (Kevin Dietsch/Getty Images)
“Under federal law towing companies are required to file accurate military affidavits after making a good faith effort to determine whether vehicle owners are in military service,” Clarke said in the release. “By failing to follow federal law, Goines deprived servicemembers of the opportunity to reclaim their vehicles. This consent order demonstrates the Justice Department’s ongoing commitment to protecting the rights of servicemembers and their families.”
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The case against Goines was the first ever brought against a U.S. towing company under the SCRA, the release notes. Goines agreed to settle the case in the U.S. District Court for the Eastern District of North Carolina, including payments of $66,805.06 to the impacted servicemembers.
United States Marine Corps members standing in formation. (iStock)
Goines also agreed to forgive storage fees that were assessed to some servicemembers and attend SCRA training courses to help guide to policies and procedures to ensure his company stays in complaints with the law.
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Goines Towing and Recovery declined a Fox News Digital request for comment.