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Scrap Metal Scam Uncovered Print This Article

The following communication was sent to Cornerstone Chamber of Commerce executives and is being shared with you today as a public service, with the permission of our partners at the Michigan Manufacturer’s Association:

    A member of the Michigan Manufacturer’s Association located in the Detroit area called the association on Friday, November 3, 2006 to warn other members of a potential scam involving scrap metal.

Please be aware of this situation…The member company was visited by a group of three well-dressed “businessmen” who presented themselves as Ameramex Surplus, out of Brownsville, Texas. The Ameramex representatives offered a very high quote to take the company’s scrap metal and used machinery. Ameramex wrote up an estimate and left it with the company to consider for 24 hours.

When the company invited the Ameramex group back in to talk further, the men then offered to buy the company’s used carbide for cash — and take it that day — for a rate that was far below its worth.The company had asked that Ameramex wire transfer the funds for the first scrap buy into their account before picking up the used metal and machinery.

Ameramex had agreed but the company suspects that what the group would have done is take off with the valuable carbide and never make a payment for, nor pick up, the remaining scrap.

The member company had sensed this may be a scam because 1) the Ameramex representatives didn’t take a copy of the estimate they provided in the first meeting; 2) the group’s first offer on the scrap was “preposterous”; 3) the company got a “wrong number” answer when calling the cell phone listed on the Ameramex business card; and 4) the bait-and-switch type of situation they set up at the second meeting.

Please contact MMA if you have experienced a similar situation so that we can keep members informed.

Jean Eggemeyer
Vice President of Communications
Michigan Manufacturers Association
517-487-8543
eggemeyer@mma-net.org

Posted: 11/03/2006 at 02:19 PM

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38 W. Wall St., Benton Harbor, MI 49022 • Phone: 269-925-6100 • Fax: 269-925-4471
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