I've never heard of anything like this around here. A local New Car dealership recently sold a used car and when the customer went to DMV to register the vehicle, he discovered that he had purchased a stolen car! There are ways for a dealership to know if a vehicle is stolen. Apparently this particular dealer didn't care about the details....he only cared about the money!
This story has not been reported by local media. I suspect this is because of the fact that this dealership spends tens of thousands of dollars every month with the local media outlets.
I think they call that "courtesey."