Hyundai's finance unit illegally seized service members' vehicles, feds allege

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Justice Department accuses Hyundai Capital America of failing to obtain court orders before repossessing service members' cars.

Hyundai and Kia's American financing arm repossessed more than two dozen vehicles leased by U.S. military service members without first getting court orders, as legally required, federal prosecutors alleged on Wednesday.

In 2017, for instance, Hyundai Capital America seized and sold a a three-year-old Hyundai Elantra belonging to Navy Airman Jessica Johnson after determining that she was on active duty but 'not deployed,' according to legal documents. Johnson still owed $13,769 on the car, and the company realized in 2020 it should not have repossessed the vehicle, according to the complaint. Irvine, Calif.-based Hyundai Capital America did not immediately respond to a request for comment.

 

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