Five Elkhorn-area wholesale dealers have licenses revoked for lack of dealer bond

​Release date: July 25, 2024

The Wisconsin Department of Transportation (WisDOT) Division of Motor Vehicles (DMV) revoked the wholesale dealer licenses from five dealers at four Elkhorn locations for violating state law when they failed to maintain a dealer bond.

Wisconsin law requires wholesale dealers to carry a security bond to ensure if they commit illegal actions, such as rolling back an odometer or making an illegal sale, a consumer may file a claim against their bond to recoup money lost. Maintaining a bond is a standard business practice and an added security measure that is meant to protect consumers.

The following dealers, located at 209 O’Connor Dr., Elkhorn, had their licenses revoked effective July 20, 2024:

• KAC Auto Sales, LLC​
  
• Sir Henno’s Auto, LLC

These Elkhorn dealers also had their licenses revoked:

• Elektra Auto Sales, Inc., located at N5876 US Highway 12, revoked effective July 20, 2024.
• E and R Motion Group, LLC, located at 735 N. Wisconsin St., revoked effective July 20, 2024.
• Blue Auto Sales, Inc., located at 613 E. Geneva St., revoked effective July 21, 2024.

Since dealers are given 30 days to appeal, and no appeals were received, the decision is final.

In recent years, Wisconsin has seen a dramatic increase in the number of wholesale dealer licenses and consumer complaints resulting in investigations. Wisconsin is one of the few states that offers wholesale dealer licenses to business owners. A Wisconsin wholesale dealer license allows businesses to only sell vehicles between dealer to dealer. A wholesaler may not sell vehicles to the public.

DMV’s Dealer and Agent Section licenses and regulates dealers in Wisconsin. DMV also supports consumers by investigating complaints about odometer tampering and title fraud that involve dealerships and private sellers. It also works to resolve disputes about dealership sales and warranty repairs.