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Rotten Apples (Ghost Ships, part II)
A preview of my column for the March 19 issue. Thought I'd do my bit
to help spread the word about this guy..... Rotten Apples A "mirage" is something that appears very real, but upon closer inspection proves to be only an optical illusion. Likewise, hunters or nature photographers tracking down an elusive cat in an Asian jungle might rely on "tiger tracks" to help locate a predatory animal laying in ambush along a trail. The Hollywood version of a pirate flag, (black with skull and crossbones), is often referred to as the "Jolly Roger". What do these terms for a false impression, the sign left by a deadly predator, and a reference to thievery on the high seas have in common? Mirage, Tiger Trax, and Jolly Roger are trademarks used by boat manufacturing companies owned by Phillip Warnock. Public records reveal that in 1985 Phillip Warnock entered into a consent agreement with the Washington State Attorney General. The AG's office accused Warnock of collecting money for boats he never intended to deliver, and to avoid prosecution Warnock agreed to abstain from such practices in the future. The Attorney General kept a watchful eye on Warnock's subsequent non-compliance with the consent decree, and in 1993 filed a134-count indictment charging Phillip Warnock with defrauding customers, suppliers, and employees. Warnock pled "guilty" to at least some of the charges and was sentenced to prison. By 2002, Warnock was out of prison and building "Tiger Trax" ski boats. At least he appeared to building boats. An investigation by Seattle television station KING 5 at that time alleged that Warnock was once again promising deep discounts to any buyers willing to pay for a boat before it was manufactured. Some of the unlucky would-be purchasers expressed frustration with what appeared to be total non- performance. One individual complained that he brought a boat to one of Warnock's companies for repair, and was unable to get the boat returned. This missing boat was eventually discovered abandoned in a field, stripped of the engine, the outdrive, and everything else of value that was removable from the hull. It has been alleged (but not in the 2002 KING 5 broadcast) that this particular vessel was originally built by another manufacturer, and illegally "splashed" by Warnock to create a mold for a new model of Tiger Trax ski boat. In the last several years, Warnock's manufacturing business has been located for various intervals in Auburn, Union, and Tacoma. Allegations of overdue rent, unmet payrolls, and unpaid suppliers seem to follow Warnock's operations wherever he goes. Bankrupt marine companies associated with Warnock include Gaelic Marine, Sunday's Marine Corp, Fibertech, and New Jolly Roger Marine. A KING 5 newscast early in 2008 revealed that Warnock's previously admitted and recently alleged misdeeds may not be entirely behind him. A former manager at Warnock's freshly shuttered Tacoma plant claimed that the company "never finished a single boat." A woman who paid $25,000 for a Mirage boat at a charity auction has an almost-finished boat, parked outside a Tacoma area upholstery shop. The shop claims that Mirage owes $6000 in unpaid upholstery charges, and will not release the boat until either Warnock or the customer clears the bill. The customer also states she learned that the charity (Ronald McDonald House) was slated to receive only $3000 of her winning bid- and that to date the charity has not seen a dime. Sad as this continuing drama may be, for everyone fortunate enough to avoid being among Phillip Warnock's alleged victims there's a sterling silver lining. The very few rotten apples in the boating business absolutely have not spoiled the barrel. Well over 95% of the individuals and firms with whom we are in regular contact are honest and ethical. We do not knowingly accept advertising from any who are not. It's an easy standard to uphold, due in part to the unique nature of boating related businesses. "Get rich quick" schemers aren't generally attracted to boat selling or the marine trades. Some fortunate folks may indeed wind up relatively rich after a lifetime of hard work- but it tends to be a long, slow, legitimate process based upon delivering outstanding customer service rather than a short interval of slick con jobs and broken promises. Others will never accumulate incredible financial wealth, but are content to earn a modest living in a "people business" career that dovetails with their personal recreational interests. I worked in the automobile business for about 15 years, beginning as a salesman on "the line" and progressing until I was a partner in a new car dealership and owner of an independent used car lot. The long immersion in an industry with a checkered reputation clearly demonstrated that in some dealerships and among some individual auto salespeople the bad press is definitely deserved. Automobile dealers are used to beginning every turn at the plate with two strikes already called and a defensive, (likely even hostile), umpire looking for any excuse to toss the batter entirely out of the game. (The secret to success in the auto business is to disarm the customers by dealing honestly.) It would be a shame to see the antagonistic attitude of so many car shoppers become commonplace in the boat business, and with alleged bad actors like Phillip Warnock representing only a tiny minority of boat builders and dealers there is no need to turn the purchase of a pleasure boat into an unpleasant experience. Buyers are well advised to exercise normal prudence, carefully consider any and all sales claims, do at least a little comparison shopping, and bear in mind that anything that sounds "too good to be true" likely is not. While one should be wary of accidentally selecting a random rotten apple, the very good news is that the barrel consists of an overwhelming number of decently firm and delicious choices unwilling to compromise integrity or be spoiled by the rare exceptions to the rule. |
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