Owners of Indiana biofuel producer sentenced to prison for fraud
HAMMOND, Ind. (WISH) — The owners of an Indiana biofuel producer were sentenced Tuesday to spend multiple years in prison, according to the the U.S. Department of Justice.
Fred Witmer, 46, and Gary Jury, 58, of Waterloo, Indiana-based Triton Energy LLC and Gen2 Renewable Diesel LLC pleaded guilty to conspiracy, fraud and false statements in October in the federal court of the Northern District of Indiana, the Justice Department said in a new release.
Witmer was sentenced to 57 months in prison and Jury received 30 months.
According to their pleas, Witmer and Jury generated over $60 million in fraudulent tax credits and U.S. Environmental Protection Agency renewable fuel credits — commonly called RIN credits. Witmer admitted to fraudulently claiming tax credits and RIN credits on nonqualifying renewable fuel and to deceiving the purchasers of his RIN credits, the release said. Although Witmer represented that the fuel was used as transportation fuel, he admitted selling it to be made into fire starter logs and for asphalt and cement production. Jury admitted conspiring to fraudulently claim tax credits and to providing false statements to the EPA.
Senior Judge James T. Moody issued the sentence.
“The defendants purposefully defrauded the federal government, taking illegal advantage of a program created by Congress to help our nation achieve energy, economic, and environmental goals,” said Jeffrey H. Wood, acting assistant attorney general of the Justice Department’s environment and natural resources division, in the release.
“Today’s sentencing sends a strong message that there are serious consequences for activity that defrauds the economy and taxpayers,” said Special Agent in Charge W. Jay Abbott of the Federal Bureau Investigation’s Indianapolis Division. “I commend the excellent cooperation between the prosecutors, agents and other investigators who worked tirelessly to uncover this fraudulent scheme and expose these perpetrators who were manipulating the system for their own gains.”
Chief Don Fort of the Internal Revenue Service’s criminal investigation division said in the release, “Fred Witmer and Gary Jury used their company, Triton, to run a sophisticated shell game and exploit the Alternative Fuel Credit program.”
The FBI’s Indianapolis division, the IRS’ criminal investigation Indianapolis field office and the EPA’s criminal investigation division conducted the investigation.