Stephen Phelps, owner of the now-bankrupt FSD Hot Rod Ranch, recently went face to face with the creditors to whom he owed money. After filing for Chapter 7 bankruptcy in December 2023, Phelps listed almost 100 creditors and owes more than $ 4 million in liabilities. Despite the Eustis police department and FBI investigating Phelps for fraud, he told his creditors during a recent Zoom session that his business simply failed.
“I deeply regret that you lost money,” said Phelps, according to Mike DeForest at WKMG Click Orlando. “It was simply a business plan I could not make work.” However, many of Phelp’s customers would argue otherwise.
FSD (Father, Son, Daughter) Hot Rod Ranch bought and sold hot rods and classic cars but many of its customers either failed to get their money or didn’t receive the car they bought. At least one customer received a fraudulent title, leaving them in debt to the bank for the car but unable to legally register and drive it.
During the Zoom session, Utah native Brett Pace asked Phelps about the $28,000 he was owed. In 2022, Pace agreed to sell Phelps his 1972 GMC Sierra and shipped the truck to FSD in Florida. Phelps was supposed to pay Pace the $28,000 within 90 days, under a delayed payment agreement, but never did.