Not surprised by this. There's a dealer on Marine Way that I once went to for a VW Corrado. It was advertised as "no accidents, perfect mechanical order" etc. In person it had obviously been in a major accident, was rusty as hell, the VR6 sounded like shit, and the sunroof didn't close properly so it had a bunch of water damage. And they were asking $10,000 for it.
A member from VWVortex in Alberta eventually ended up buying it for about a thousand dollars, took out the engine to rebuild it, and scrapped the rest of the car.