MEMPHIS — A luxury car salesman has been sentenced to more than six years in federal prison for defrauding former NBA player Julius "Dr. J" Erving and others.
The Commercial Appeal reported that Michael Gerard Brown offered upscale vehicles for sale through his business Valkry Corp. and Exotic Cars South with offices in Collierville and the Atlanta area.
Beginning in October 2010, Brown took more than $2 million in payments for luxury cars that he failed to deliver, according to the indictment. The 57-year-old used the money for personal benefit, travel and business expenses, and to purchase new cars that he advertised on the company's website.
Brown had already pleaded guilty to wire fraud and mail fraud in February when he accepted nearly $252,000 from Erving for a 2015 Rolls-Royce Wraith. Brown failed to deliver the car and did not refund Erving's money.
Phone messages and emails left by the newspaper with Erving's booking agents and representatives were not immediately returned.
As far back as October 2010, Brown had accepted $1.2 million from M Super Car International in Macau, China, for 16 Mercedes-Benz vehicles and a customized Porsche. Brown never delivered those vehicles either, according to the indictment.
KIS Cars, based in Brentwood, England, placed an order with Valkry in November 2012 for four Mercedes-Benz sedans and four Porsche Cayennes. The company paid Valkry more than $587,000 but never received the cars. In that case, Brown issued a partial refund of $20,000, the indictment says.
In August 2013, Leonard Wright tried to purchase a 2014 BMW 650i from Brown for more than $102,000, but again Brown failed to deliver the car.
Brown was sentenced to 80 months in prison Tuesday in Memphis by U.S. District Judge Thomas Anderson. In addition to time in prison, he was ordered to forfeit $1.9 million and a 2008 Mercedes-Benz E350. The amount of restitution has not been determined.