An arrest warrant has been issued for a Tucson business owner who allegedly defrauded Arizona consumers in a motor- home sales scam, then failed to pay court-ordered restitution and allegedly started another fraudulent business.
Attorney General Mark Brnovich announced that a judge ordered Claude Thomas Kennedy, owner of Kennedy Motorhome Services, to go to jail for continuing to scam consumers in violation of a 2010 Arizona consumer-fraud judgment.
In May, a Pima County Superior Court judge found Kennedy in contempt of court and ordered him to pay a $100,000 fine by June 10 or face jail time. Kennedy did not pay the fine, and the court issued an arrest warrant for him on June 16.
Kennedy’s whereabouts are unknown, the Attorney General’s Office said.
In 2010, the Attorney General’s Office won a consumer-fraud lawsuit against Kennedy, and the court ordered him to pay nearly $500,000 after defrauding Arizona consumers in a motor-home sales scheme.
Kennedy falsely offered motor-home owners the chance to sell their motor homes, claiming he would find new owners to assume the loan payments, the attorney general said.
Kennedy defrauded both the original owners, who were stuck with bills Kennedy never paid, and prospective buyers who paid thousands of dollars in down payments for motor homes and never received title, the attorney general said. The court also ordered Kennedy to stop selling, purchasing or leasing motor homes.
Kennedy did not pay the ordered restitution and the state’s collection efforts were unsuccessful, the attorney general said.
In 2015, the Attorney General’s Office received new consumer complaints against Kennedy and filed a petition to find Kennedy in contempt of court for ignoring the court’s 2010 order.
During a hearing in April, consumers testified Kennedy had used the same motor home sales scheme to defraud them. Based on the evidence presented, the court found Kennedy in contempt of court.
Assistant Attorney General Stephen Emedi handled the matter.
Consumer who believe they’ve been defrauded can contact the Attorney General’s Office in Tucson at 628-6504, in Phoenix at 1-602-542-5763, or outside the metro areas at 1-800-352-8431.
Consumers can also file complaints online by visiting the attorney general’s website at www.azag.gov/complaints/consumer
