WAYNE, N.J. (CBSNewYork/AP) — The assets of a New Jersey dress shop that closed in the middle of prom season are on the auction block Wednesday.

The state says Red Carpet Pageant and Prom in Wayne failed to deliver dresses to at least 16 customers who had paid in full or part. The transactions totaled $5,400.

1010 WINS’ Glenn Schuck reports

Proceeds from the auction will go to those who lost money.

“Our goal is to get restitution into the hands of the consumers who did not receive their merchandise or the return of the monies they paid for the dresses they never received,” Attorney General Jeffrey Chiesa said in a statement.

Many who came to bid at the auction on Wednesday said they are happy the money will be going back to the teens.

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“The money raised will go to the people who lost dresses or lost money and for that reason it’s a good cause,” said Kristy Kaluki of Wayne. “A lot of them got scammed and ripped off.”

“These kids suffered through enough already and whatever we can do to help, will help,” another woman said.

Consumer affairs officials said store manager Patricia Dowling and her husband, Michael, of Deptford, have not responded to a complaint and the state will seek a default judgment.

Patricia Dowling also is charged with filing a false police report after she claimed 40 dresses were stolen. Police said the store’s security cameras captured Dowling taking the dresses off the rack.

“This week’s auction is the next step in our ongoing efforts to aid consumers who were victims of the defendants’ alleged fraud,” Eric T. Kanefsky, Acting Director of the State Division of Consumer Affairs, said in statement.

In addition to dresses, other merchandise up for bid includes dress accessories, store fixtures, furniture and equipment.

For more information about the auction, click here.

(TM and Copyright 2012 CBS Radio Inc. and its relevant subsidiaries. CBS RADIO and EYE Logo TM and Copyright 2012 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)

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