Bear Trail Bikes Update: Federal Asset Seizures, Delivery Delays and Safety Questions

Last Updated on September 2, 2026 by Kristina

Update – September 2, 2026: This article has been substantially updated as new information has emerged about Bear Trail Bikes. Since the original June report, federal asset seizures tied to the company’s owner have been reported, customers have continued to describe long delivery delays, a heavily promoted August delivery event reportedly produced only 40 bikes, and Colorado officials have raised questions about the safety and certification of some recently delivered bikes. Bear Trail’s website remains active, and some customers have received bikes after extended waits. The developments described below do not establish criminal wrongdoing by Bear Trail Bikes or its owner.

A Colorado e-bike promotion that attracted significant attention by offering heavily discounted or nearly free electric bikes has continued to generate complaints from customers who say they waited far longer than expected for delivery.

The situation is now broader than the fulfillment problems described in the original version of this article. New reporting has raised questions about delivery promises, company operations, federal asset seizures involving the owner, state tax-credit explanations, and the certification and safety of at least some bikes supplied through the promotion.

⭐ What You Need to Know

Colorado’s statewide e-bike tax credit remains a legitimate state program and is separate from Bear Trail Bikes. For 2026, qualifying consumers receive a $225 point-of-sale discount, while the corresponding retailer tax credit is $250, allowing up to $25 for administrative costs.

Bear Trail Bikes has paused new free-e-bike orders while it works through earlier orders. Its website remains active as of September 2, 2026, even though 9NEWS reported in late July that locations it checked were empty and the company’s phone was disconnected.

CBS Colorado reported that Bear Trail promoted an August delivery event involving nearly 1,000 bikes, but staff at the event said the truck contained 40 bikes. Some customers did receive bikes at that event after waits lasting many months and, in some cases, more than two years.

How We Researched This Story

This update is based on reporting from CBS Colorado, 9NEWS, and BusinessDen; Bear Trail Bikes’ current website; Colorado Department of Revenue information about the statewide e-bike tax credit; and available consumer-protection guidance.

I have tried to separate confirmed facts from allegations and unresolved conflicts. Federal seizure or forfeiture activity does not establish criminal guilt, and publicly available reporting reviewed for this update did not identify a publicly announced criminal charge against Bear Trail owner Takuma Owuo-Hagood as of September 2, 2026.

What Is Colorado’s E-Bike Tax Credit?

Colorado offers a statewide point-of-sale e-bike tax credit that reduces the purchase price of qualifying electric bikes purchased through participating retailers.

For 2026, qualifying riders receive a $225 discount directly at checkout. The retailer-side tax credit is $250, with up to $25 available for administrative costs. This distinction is why some reporting refers to a $250 tax credit even though the consumer sees $225 taken off the purchase price.

The statewide credit is currently scheduled to remain available through 2032.

Some cities and local programs may offer additional incentives that can sometimes be combined with the statewide credit, depending on the program rules.

Related:

• State E-Bike Rebate Programs Guide
• State-by-State E-Bike Laws Guide
• Colorado State E-Bike Law Guide
• Colorado State E-Bike Rebates Guide

What Happened?

Bear Trail Bikes attracted significant interest by promoting certain e-bike models as nearly free after available discounts were applied.

The promotion combined Colorado’s statewide e-bike tax credit with additional retailer discounts. Customers were still responsible for applicable taxes and fees, but the final out-of-pocket price could be dramatically lower than a typical e-bike purchase.

Initial complaints centered on customers waiting far beyond expected delivery windows. Some said they received periodic messages about their place in the fulfillment queue but could not get firm delivery dates.

By August, the story had developed further. CBS Colorado reported that Bear Trail said nearly 1,000 bikes would be delivered at an August distribution event. Staff at the event told CBS the truck actually contained 40 bikes.

Some customers did leave with bikes. CBS interviewed riders who said they had waited approximately eight months, while others described waits stretching beyond two years. The event therefore showed both sides of the situation: some long-delayed orders were being fulfilled, but the number of bikes reportedly available was far below the scale previously discussed.

Federal Asset Seizures Add Another Layer

BusinessDen reported, citing a federal forfeiture notice, that federal authorities seized a Lamborghini, Range Rover, and Mercedes associated with Bear Trail owner Takuma Owuo-Hagood. CBS Colorado separately reported that a federal forfeiture notice tied the seizures to a money-laundering statute.

CBS also reported that the FBI would neither confirm nor deny involvement when asked about the matter.

It is important not to overstate what that means. An asset seizure or forfeiture proceeding does not by itself establish that a person committed a crime. I did not find a publicly announced criminal charge against Owuo-Hagood in the sources reviewed as of September 2, 2026.

What Is the Current Store Status?

9NEWS reported on July 30 that Bear Trail locations it checked were empty and the company’s phone was disconnected after the federal asset-seizure news emerged.

That does not mean I can accurately describe Bear Trail Bikes as permanently closed. The company’s website remains active as of September 2, lists Colorado locations, maintains an order tracker, and displays e-bikes for sale. It also states that new free-e-bike orders are paused while previous orders are addressed.

Because the physical-store situation and online presence do not point in exactly the same direction, riders should verify the latest pickup, delivery, and customer-service arrangements before traveling to a location.

Bear Trail Bikes’ Current Explanation

Bear Trail’s current website continues to acknowledge delays and says new free-e-bike orders have been paused while the company works through previous orders.

The company’s order-tracking language says certain December orders cannot be fulfilled until state funding is released.

That explanation conflicts with what the Colorado Energy Office told CBS Colorado. According to CBS, the state said participating retailers do not receive the tax credit until after a qualifying e-bike has been delivered.

Electric Bike Explorer has not independently resolved that conflicting explanation. The safest conclusion is simply that Bear Trail and the state have offered materially different descriptions of how state payment relates to the outstanding orders.

Is Colorado’s E-Bike Tax Credit Program the Problem?

The issues surrounding Bear Trail should not be confused with the legitimacy of Colorado’s statewide e-bike tax credit.

The state program continues to operate through participating retailers. The Bear Trail controversy involves one retailer’s promotions, order fulfillment, communications, safety questions, and differing explanations about the timing of state payments.

That distinction matters for riders who may otherwise assume that problems reported at one shop mean Colorado’s statewide incentive itself is invalid or unavailable.

Safety and Certification Questions

CBS Colorado also reported a new safety concern involving at least one bike delivered through Bear Trail.

CBS examined an Ursus Cub and reported that it did not display a UL certification mark or another certification label. Bear Trail’s owner told CBS that the bikes were not UL-certified but were “certified to UL standards.”

Colorado officials separately warned some consumers that recently delivered Bear Trail bikes could present riding or charging concerns.

This reporting does not establish the certification status or safety of every bike sold or delivered by Bear Trail. Riders should check the certification markings and documentation on the specific bike and battery they receive rather than assuming all models are identical.

Why So Many Riders Were Interested

The promotion generated attention because it lowered the financial barrier to e-bike ownership.

Many electric bikes cost $1,000 to $3,000 or more. When customers saw promotions reducing that cost to little more than taxes and fees, demand was understandably strong.

The situation shows how quickly interest can surge when a statewide incentive is stacked with an aggressive retailer discount. It also shows why shoppers should distinguish the government incentive from the retailer responsible for inventory, delivery, warranties, and customer service.

What To Do If Your E-Bike Order Is Delayed

If you are waiting on an e-bike order that has exceeded the promised delivery timeframe, consider taking the following steps:

1. Contact the retailer and request an updated timeline in writing.
2. Save all receipts, order confirmations, payment records, text messages, and email communications.
3. Review the company’s refund and cancellation policies.
4. Document any delivery estimates or representations made when the order was placed.
5. Contact your credit card company or payment provider if merchandise is not delivered and a legitimate refund request is denied.
6. If you believe a seller misrepresented a product, failed to perform, or engaged in an unfair business practice, consider filing a consumer complaint with the Colorado Attorney General.

CBS reported that the Colorado Energy Office directed concerned Bear Trail customers toward the Colorado Attorney General’s consumer complaint process.

Red Flags To Watch For Before Ordering Any E-Bike

Long delivery times do not automatically indicate fraud or misconduct. Supply-chain problems, inventory shortages, and unexpectedly high demand can affect legitimate bicycle businesses.

However, I generally recommend paying attention to these warning signs before placing an order:

• Delivery estimates that repeatedly change.
• Difficulty reaching customer support.
• Vague responses regarding inventory availability or order status.
• No clearly published refund or cancellation policy.
• Significant backlogs without clear communication.
• Unclear battery or electrical-system certification claims.

These warning signs apply to any retailer, not just businesses participating in rebate or tax-credit programs.

Related:

• How to Avoid E-Bike Scams
• Electric Bike Buying Guide
• Best Affordable Electric Bikes

@stevestaeger

INVESTIGATION: I’ve gotten dozens of tips from people who paid a small fee to get a free e-bike – and never got it. The company making the offer, Bear Trail Bikes, did it with a state tax credit. Up until last year Colorado was offering bike retailers a $500 tax credit if they reduced the price of an e-bike by $450 for Colorado residents. We asked the state how many credits this company got and got strange answers. Now the company is telling us customers to contact the state and tell them to release tax credits. (Credit to @CO Consumer Investigations who put in a ton of legwork on this investigation) #colorado #denver #ebike #bike #tax

♬ original sound – Steve Staeger | Consumer News

My Take

When I first covered this story, the available information pointed mostly to fulfillment delays and poor communication. The developments since then make that description incomplete.

The federal asset seizures, reports of empty shops and disconnected phone service, the gap between a nearly 1,000-bike delivery expectation and a reported 40-bike truck, the conflicting explanations about state payments, and the certification questions all deserve careful scrutiny.

At the same time, I do not think it is responsible to jump from those facts to an accusation of criminal wrongdoing. Some customers have received their bikes, Bear Trail’s website remains active, and an asset seizure does not by itself establish guilt.

For riders, the most important lesson is to separate the Colorado tax credit from the retailer fulfilling the order. A legitimate government incentive does not guarantee that every participating seller will provide the same inventory, communication, delivery experience, or product documentation.

If I were waiting on one of these bikes, I would keep every piece of order documentation, ask for delivery or refund commitments in writing, verify the certification markings on any bike and battery received, and use Colorado’s consumer-protection process if the seller does not resolve a legitimate complaint.

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External Sources

• CBS Colorado – Bear Trail Bikes delivery event and customer delays
• CBS Colorado – Bear Trail bike safety and certification concerns
• BusinessDen – Federal asset seizures tied to Bear Trail owner
• 9NEWS – Bear Trail phone disconnected and shops reported empty
• Bear Trail Bikes – Current website and order information
• Colorado Department of Revenue – Electric Bicycle Tax Credit
• CBS Colorado – Colorado retailer tax-credit reimbursement reporting