• Font Size    

Today's Most Popular Video

Couple Recalls Deadly Tour Bus Crash
E-mail

Close Window E-mail This Page

Auto Lender Sues Denny Hecker

Required fields are marked with an asterisk(*)

The information you provide will be used only to send the requested e-mail and will not be used to send any other e-mail communications. Read more in our Privacy Policy

Send E-mail

   Print     Share +   
Feb 3, 2009 6:57 am US/Central

Auto Lender Sues Denny Hecker

MINNEAPOLIS (AP) ― Chrysler Financial Services is suing Twin Cities auto dealer Denny Hecker, alleging breach of contract.

The lender claims Hecker failed to repay almost $550 million he borrowed from his longtime financing partner.

The lawsuit was filed in Hennepin County. It alleges Hecker himself owes $50 million, with the rest borrowed by his dealerships, real estate holdings and other entities he controls.

Hecker's attorney, Timothy Thornton, would not comment on what his client owed, but he confirmed $550 million was "the face value of the notes."

According to the lawsuit, Michigan-based Chrysler Financial is in the process of seizing, foreclosing against and selling assets Hecker pledged as collateral.

In November, Hecker sued when Chrysler Financial froze his credit lines.

-------

Hecker was one of Minnesota's largest car dealers and has more than 30 years in the automobile retailing business, but the economic downturn has hit his business hard.

(© 2009 CBS Broadcasting Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)

© MMIX, CBS Broadcasting Inc. All Rights Reserved.