Bank claims Durham had no right to sell Duesenberg
Car served as collateral for loan
Legal entanglements continue to follow Indianapolis, Ind., car collector Timothy Durham, 47, who is now being accused of selling a Duesenberg he didn’t have the right to sell.
According to the Indianapolis Business News, Durham’s bank, New York-based Webster Business Credit Corp., claims the car serves as collateral for a $3.1 million loan to Mississippi firm, U.S. Rubber Reclaiming Inc., owned by Durham.
The 1930 Duesenberg was built for publishing tycoon William Randolph Hearst and was sold by Durham for $2.9 million at an auction last September at the Auburn Cord Duesenberg Automobile Museum in Auburn, Ind. Soon after the auction, the buyer, James F. Scott of Charlottesville, Va., charged Durham and other defendants committed fraud by manipulating the auction price.
Durham, 47, is also facing U.S. Department of Justice and Securities and Exchange Commission investigations over allegations that he operated his investment company, Fair Finance, Ohio, as a Ponzi scheme. Durham has a sizable car collection and is said to hold a stake in several collector car businesses.
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