Is my friend getting ripped by a car lot?

My friend's boyfriend just purchased a used Pontiac from a reputable car lot. His credit is not so great, however, the lot found a lender that was willing to offer up a loan at a higher interest rate of 17%. He did all the paper work, submitted proof of income, set up the payment plan, shook hands, etc, etc...and drove the car off the lot. A week later, he goes into the same car lot to get a key made. A salesman who helped him purchase the car called him into the office and told him that there may be a problem with his loan after all and he may need to return the car. You should also know that the type of engine in this car he purchased is very rare and there are only 2 in existence in the state of California (so I've been told)..and his is the only manual. My friend's boyfriend went home worried. He received a call today from the car lot telling him that he needs to return the car tomorrow because the loan did not go through.

Something does not sound right. I am not a CFO, an accountant, or a banker...but it doesn't sound right that a car lot would even allow a consumer to drive off the lot with one of their cars without a lender approving a loan. My credit is also not so great and I purchased a car at a high interest rate in July, however, the car lot I purchased the car from would not allow me to budge from my chair until a lender would approve my financing.

My friend thinks her boyfriend is being taken by the car lot because somebody employed there wants his hands on that "rare" car. We've advised him to call the lender/bank directly to find out what is going on but he's hesitant to take advice from "girls." Go figure.

Can anybody offer up any advice or input?
Thanks!