Goldenvale Executives Admit Fraud

Two top executives of Goldenvale, Inc., one of the leading us importers of Chinese ATVs and other powersports equipment, reportedly have admitted falsifying emissions data on some of their motorcycles and ATVs but didn’t get any jail time as part of a plea bargaining deal.

Goldenvale owner Kening N. Ma to four counts of grand theft and Shirley Hyunae Ji, Goldenvale vice president,pleaded no contest to one count of grand theft, according to dailybulletin.com. The pair are scheduled to be sentenced to three years probation on July 20.

The two were arrested in March as reported by Dealernews. The executives of the company based in Ontario, Calif., were charged in a 70-count complaint with using fake certificates issued by the California Resources Board (CARB), among other offenses.

Goldenvale, which also operates a facility in Dallas, imports ATVs, dirtbikes, scooters and karts. The equipment was sold through a dealer network under the Roketa brand. JD

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Officials: Importer Used Fake CARB Certificates

One of Largest U.S. Importers of Chinese Machines Is Charged

Two top executives of one of the largest importers of Chinese and Taiwanese powersports equipment in the U.S. have been charged by California authorities with selling vehicles that did not meet that state’s emission standards, according to the complaint obtained by Dealernews.

Kening N. Ma, president and owner, and Shirley Hyunae Ji, vice president, of Goldenvale, Inc., were charged last week in a 70-count complaint. The complaint, filed in San Bernardino, Calif., Superior Court, charges the two executives and “another person or persons” with selling motor vehicles that had not been certified by the California Air Resources Board (CARB) to consumers and dealers in California.

The complaint charges the executives with multiple felony counts of grand theft of personal property (more than $400), possession of false certificates, and money laundering involving more than $448,000.

The complaint said that Ma had, and used, certificates known to be “false, altered, forged, and counterfeited.”

According to industry estimates, Goldenvale was one of the top two or three importers and retailers of Chinese and Taiwanese powersports equipment during the last several years.

Goldenvale is a diversified importer that operates facilities in Ontario, Calif, and Dallas, Texas. It imports several powersports machines, including ATVs, dirtbikes, scooters and karts. The powersports units were sold online and through a network of dealers under the Roketa brand.

The company also imported many other items, ranging from artwork and blankets, to  toys and cooking utensils.

Specific sales figures are not available from the closely held company, but import data and industry analysts believe that Goldenvale imported nearly 80,000 units in 2008. But that number dropped off sharply to only about 2,000 units last year as the company attempted to deal with a large unsold inventory of machines.

The company had big years in 2006, according to industry estimates, when it retailed nearly 50,000 ATVs, and again in 2008 when it retailed almost 50,000 scooters. Those numbers put Goldenvale in the top three importers/distributors of Chinese/Taiwanese ATVs in 2006 and scooters in 2008.

Last week’s arrests were the result of an investigation that took several years, dating back as far as 2005, according to court records. The investigation was a joint effort of CARB and the San Bernardino’s district attorney’s office.  JD

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Importers of Chinese Motorcycles, ATVs Arrested

Pair Charged With 70 Felonies; Certification Violations

Two top executives at Goldenvale Inc., a diversified California importer of powersports products, have been arrested and charged with illegally importing motorcycles, ATVs and other vehicles from China and selling the units in California without proper state certification.

Goldenvale president and owner Kening N. Ma and vice president Shirley Hyunae Ji were charged in a 70-count criminal complaint that includes conspiracy to commit theft, grand theft, and money laundering.

The pair were arrested last week, according to a published report in the San Bernardinto Sun newspaper.

The powersports products sold under the Roketa brand also include scooters, go-karts and other gas and electric-powered vehicles.  The company, which operates facilities in Ontario, Calif., and Dallas, Texas, also imports items ranging from artwork and blankets to toys and cooking utensils. The company imported fewer than 2,000 powersports units last year, according to industry estimates.

The powersports units were sold on-line and through a national dealer network.

Prosecutors said dozens of victims purchased vehicles from Goldenvale that were not certified by the California Air Resources Board (CARB), the newspaper reported. The amount paid by victims ranged from several hundred dollars up to $4,000 for each vehicle, prosecutors said.

The vehicles are illegal to operate in California if they do not have CARB certification.

Ma and Ji are named in a complaint filed in San Bernardino Superior Court. Ma faces one count of conspiracy, 33 counts of grand theft, 30 counts of possessing a false or blank vehicle registration and six counts of money laundering, according to court records.

Ji is named in the counts alleging conspiracy, grand theft and money laundering.

The certificates of origin allow consumers to register their vehicles with the California Department of Motor Vehicles.

In this case, the certificates of origin show a manufacturer name that did not manufacture the vehicles, according to the newspaper. The vehicles also were never certified by CAB, according to the newspaper report.

These arrests culminated a multi-year investigation of illegal activities, according to one CARB official.  JD

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