Environmental Fraud

February 6, 2018

Andre Bernard of Mount Kisco, NY was sentenced to 87 months in federal prison for conspiracy to commit wire fraud, making false statements related to the Clean Air Act, and his participation in a multi-state scheme to defraud biodiesel buyers and U.S. taxpayers by fraudulently selling biodiesel credits and fraudulently claiming tax credits. As part of his sentence, the court also entered a money judgment in the amount of $10.5 million, the amount of proceeds of the charged criminal conduct that the defendant personally received. Two accounts already seized from the defendant worth in excess of $1.5 million will be credited against the money judgment. DOJ

December 20, 2017

ArcelorMittal Monessen LLC agreed to pay a $1.5 million penalty to settle charges of violating the Clean Air Act violations at its coke (purified coal) plant in Monessen, Pennsylvania. The company also agreed to implement an estimated $2 million in air pollution controls to limit particulate and sulfur compound emissions. DOJ

December 19, 2017

Houston-based Citation Oil & Gas Corp. and its affiliates Citation 2002 Investment Limited Partnership and Citation 2004 Investment Limited Partnership agreed to pay $2.25 million to resolve allegations under the False Claims Act that they underpaid royalties owed on natural gas produced from federal lands in Wyoming. DOJ

December 12, 2017

Tecumseh Products Co., Thomas Industries, Inc., and Wisconsin Public Service Corp. agreed to pay more than $4.5 million to resolve claims for natural resource damages at the Sheboygan River & Harbor Superfund Site brought under the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA), also known as the Superfund Law. DOJ

October 10, 2017

Sage Tee LLC, a subcontractor at the Department of Energy's Hanford Site, and its owner Laura Shikashio, agreed to pay $235,000 to settle charges they violated the False Claims Act in connection with improperly receiving two small business subcontracts at DOE's Hanford nuclear site.  The allegations originated in a whistleblower lawsuit filed under the qui tam provisions of the False Claims Act.  The whistleblower will receive an award from the proceeds of the government's recovery. DOJ (EDWA)

September 27, 2017

Tyson Poultry Inc., the nation's largest chicken producer, pleaded guilty to two criminal charges of violating the Clean Water Act stemming from discharges at its slaughter and processing facility in Monett, Missouri.  The charges arose out of a spill after the company mixed ingredients in its chicken feed at its feed mill in Aurora, Missouri. DOJ

September 18, 2017

Utah-based Young Living Essential Oils pleaded guilty to federal misdemeanor charges regarding its illegal trafficking of rosewood oil and spikenard oil in violation of the Lacey Act and the Endangered Species Act.  The Company was sentenced to a fine of $500,000, $135,000 in restitution, a community service payment of $125,000 for the conservation of protected species of plants used in essential oils, and a term of five years’ probation. DOJ