Pocono News Section

Victims Of Local Car Warranty Scam Speak Out

Victims Of Local Car Warranty Scam Speak Out - Tuesday, December 22, 2009 at 7:16PM EST

Reported by: Jeff Chirico
Tuesday, Dec 22, 2009 @ 07:16pm EST
SCRANTON, LACKAWANNA COUNTY --The state's top cop says a Lackawanna County car warranty company scammed customers in more than a dozen states out of tens of thousands of dollars. And today, some of those customers spoke with Eyewitness News. Consumer and I-Team reporter Jeff Chirico first blew the whistle on Eagle Warranty last year. He has the story you'll only see on Eyewitness News.

The attorney general filed a consumer protection lawsuit against Eagle Warranty of Eynon last week --14 months after the I-Team first warned you about the company. Today --we spoke with the company vice president --who blames his new legal problems on customer complaints.

Chirico asks “Did you do anything wrong? How did you end up in court?" "People complain," says Edmund Yaskulski as he left court in Scranton Tuesday. He's vice president of Eagle Warranty in Eynon. The corporation closed its doors earlier this month leaving customers with warranties not worth the paper they're written on.

Gregory Green of Scranton says "I called nobody answered the phone. I spent $1900 for a three year warranty"

Gary Patrick says “they were ignorant to myself and service manager." Patrick has been waiting for months for Eagle to pay for disassembling the engine it demanded.

But perhaps no one has lost as much as Michael Gaughan, owner of Gaughan Auto Store in Taylor. More than a hundred of his customers bought warranties through Eagle. Now he's paying thirty grand to buy new warranties for them from another company. Gaughan says "it affected me and family and our staff because we relied on a company that was reputable at the time. It hurts us to mislead anyone."

Chirico asks Edmund Yaskulski “these people said you were ignorant. Didn't accept claims. Didn't honor claims.” Yaskulski responds “Not always the case."

The attorney general's office says otherwise. It sued Eagle; its vice president Edmund and president Charles Yaskulski for violating consumer protection laws. JP McGowan of the Attorney General's office says “the accusations are that they closed their doors while owing thousands, tens of thousands in payments for warranty repairs that had already authorized and that consumers had performed. "

The Yaskulski’s attorney Joe Toczydlowski says “We're working with the attorney general's office to resolve matter. Any apologies? No further comment."

The Yaskulski's assets have been frozen. Meaning they can't spend money except for essentials.

The attorney general hopes to get restitution for customers. The corporation filed chapter 7 bankruptcy last night.

If Eagle Warranty owes you money, the Attorney General's office wants to hear from you. File a complaint at .