Knaresborough Porsche dealer jailed

Knaresborough Porsche dealer jailed after £1m fraud left customers without cars or cash

A former Knaresborough supercar dealer who sold customers’ valuable Porsches and kept the proceeds has been jailed for two-and-a-half years following a major North Yorkshire Police fraud investigation.

Andrew Mearns, 57, formerly a director of Gmund Cars Limited in Knaresborough, was sentenced at Sheffield Crown Court on Friday, 14 August 2026, after pleading guilty to 14 counts of fraud involving more than £1 million.

The court heard how Mearns acted as a broker for Porsche owners, agreeing to sell their vehicles on a commission basis. However, customers later discovered their cars had been sold without them receiving the money they were owed.

In some cases, owners only realised what had happened after contacting the DVLA and discovering their vehicles had been registered to new owners.

From respected Porsche specialist to £1m fraud

Mearns founded Gmund Cars in 2000 and built a legitimate business specialising in buying, selling, modifying and restoring high-value Porsche cars.

The court heard that the business later ran into financial difficulties and Mearns began operating fraudulently.

Rather than passing sale proceeds to customers, he retained the money and used it in an attempt to keep Gmund Cars trading.

Judge Jeremy Richardson KC, the Recorder of Sheffield, described the situation as Mearns “borrowing from Paul to pay Peter” as the business struggled financially.

The judge said the losses went far beyond money because many customers had a strong emotional attachment to their cars.

“These vehicles were valuable to their owners, not only in economic terms, but there was an emotional attachment to many of these vehicles.”

He added that customers had been left without either their cars or the money from their sale.

14 fraud reports sparked major police investigation

North Yorkshire Police received 14 separate reports of fraud between October 2017 and July 2019, triggering an extensive investigation.

Mearns was arrested in July 2019 and later told police his business was struggling and that he had hoped to trade his way out of debt.

Less than two weeks after his arrest, he was made bankrupt.

The court heard that Mearns had not used the money to fund a lavish lifestyle. His lack of previous convictions, positive character and genuine remorse were also taken into account during sentencing.

Judge Richardson told him:

“Fraud is a serious crime. People have lost out here and have lost prized possessions.”

He added:

“I am afraid you are the architect of your own misfortune.”

Police: victims suffered ‘devastating’ impact

Police Staff Investigator Corrina Graham-Merrett, of North Yorkshire Police, said the force had worked for years to secure the evidence needed to bring the case to court.

She said:

“Mearns lied to his customers time and time again. Thankfully, his offending was brought to a stop, and we have worked tirelessly to secure evidence against him over many years.”

She described the financial and emotional impact on victims as “nothing short of devastating”, with civil proceedings continuing in attempts to recover vehicles.

She added:

“This case delivers a firm warning: fraud will be met with zero tolerance in our communities. We will pursue those who exploit honest trust by ensuring that we hold them to account.”

What happened to Mearns after Gmund Cars?

Following the collapse of the business, the court heard that Mearns worked as a labourer and mechanic and volunteered with the RNLI in Llandudno.

In December 2024, he was recognised by the Welsh Parliament after helping rescue a seal pup that had crossed a busy road and ended up on a pavement.

Despite the mitigation presented to the court, Judge Richardson concluded that the seriousness of the fraud required an immediate prison sentence.

Mearns, now living in Llandudno, was sentenced to two years and six months in prison.

How to report fraud

Anyone who believes they have been a victim of fraud can contact North Yorkshire Police on 101. Fraud can also be reported through Action Fraud or by calling 0300 123 2040.