Oliver Auto Group assets up for auction

Journal Record, The (Oklahoma City), Jan 30, 2003 by Matt Maile The Journal Record

The assets of luxury automobile dealer Oliver Auto Group in north Oklahoma City will go on the auction block Friday, a month after the dealership closed its doors.

Dakil Auctioneers, on behalf of a trustee for the assets, will hold an auction beginning 9 a.m. Friday at 13431 N. Broadway Extension, the site of the dealership. Inspection and registration begins at 8 a.m.

"Just about anything you would find at a dealership you'll find at this auction," said Louis Dakil, president of the auction company.

Oliver Auto Group closed its doors in December after its bank lender, Arvest Bank Norman, alleged the dealership had defaulted on a debt agreement. In Oklahoma County District Court, Arvest said the auto dealer was in default on a $2.5 million loan it received in March, of which about $2.22 million plus interest was still outstanding.

The lawsuit named David Oliver, president of the dealership, as a defendant as a guarantor of the loan and asserted that much of the dealership's inventory of Jaguars, Mercedes and Lexus cars, among other luxury vehicles, was collateral under a security agreement with the bank.

While litigation in the case is ongoing, District Judge Noma Gurich agreed to an order naming a receiver for some of the assets of the dealership but not for the Oliver Auto Group business. The receiver has until late February to sell the assets and return proceeds to Arvest and other groups with claims to the property.

Among the assets Dakil Auctioneers will offer Friday are dozens of items classified as automotive equipment, vehicle parts, tools, and electronic vehicle diagnostic equipment. Dakil said the sale also may include some vehicles from the company's inventory and vehicle lifts used in the maintenance department of the auto dealer.

Also on the block will be the office furniture and equipment used by the dealership, including computers, monitors, copy machines, and furniture from the executive offices of the auto dealer.

The court appointed Mike Deeba as receiver for several vehicles and for the office furniture and equipment of the dealership. The receiver is not the receiver of the overall business operations of Oliver Auto Group.

Deeba will determine who should receive the proceeds of the property sales and distribute the funds.

Oliver Auto Group once offered one of the largest inventories of pre-owned luxury cars in the Oklahoma City area.

The dealership operated out of a 60,000-square-foot indoor auto showroom that fronts the Broadway Extension and a more than 5,200- square-foot office building.

At the time of the lawsuit, Arvest Bank alleged Oliver Auto Group in late November was in the process of removing inventory from the dealership and not replacing the inventory, in apparent violation of a security agreement on the bank loan.

In December, Arvest Bank recorded an inventory at the dealership of 150 vehicles that it said were reasonably valued at about $1.5 million.

The bank won a temporary restraining order that barred the removal of vehicles from the dealership, except in cases where vehicles were sold as part of the dealership's retail business operations. The court ordered an injunction in mid-December implementing terms of the restraining order.

Attorney Jeff Tate, who along with business partner Gary Hammond, represent David Oliver and Oliver Auto Group, said Wednesday he could not comment on details of the court case.