FOR IMMEDIATE RELEASE
April 26, 2007
CONTACT: SUELLEN PIERCE
704.338.3120
FAX 704.227.0264
CHARLOTTE WASTE REMOVAL COMPANY INDICTED FOR FRAUD
AND CLEAN WATER ACT VIOLATIONS
CHARLOTTE, MECKLENBURG COUNTY, NC - A federal grand jury in Charlotte has indicted Ecosolve, a Charlotte company that was hired to remove, haul, pretreat, and dispose of waste from grease traps of restaurants and other establishments, as well as the company’s owner, Ralph Rogers, and a former manager and driver, Thomas Forebush. They are charged with conspiracy to commit, and with committing, mail and wire fraud and Clean Water Act violations.
Today’s announcement is made by U.S. Attorney Gretchen C.F. Shappert of the Western District of North Carolina. The following agencies participated in the investigation of this case: Environmental Protection Agency, U.S. Postal Inspection Service, North Carolina State Bureau of Investigation, Charlotte-Mecklenburg Police Department, and U.S. Department of Transportation.
According to the allegations contained in the bill of indictment the conspiracy involved a scheme in which the defendants agreed to have Ecosolve truck drivers discharge customers’ fat, oil, grease, and other waste back into the customers’ own grease traps or, sometimes to have it diverted into other businesses’ grease traps, instead of removing all of the waste and hauling it to the company’s pretreatment facility for processing and disposal. The indictment alleges that the co-conspirators thereby saved Ecosolve time and money by increasing the number of customers its drivers serviced before returning to the pretreatment facility. According to the indictment, Ecosolve’s practices were fraudulent because the company marketed itself as removing the full contents of grease traps, contracted with customers to remove the full contents, and indicated during billing that it had done so. The defendants’ alleged activities also violated the Clean Water Act, because the grease traps were not designated discharge points for such waste. Additionally, Ecosolve is alleged to have actually discharged waste into the public sewer system in some instances.
If convicted on all charges, the defendants face the following potential punishments.
The statutory maximums are:
Conspiracy (Count One): no more than five years imprisonment, a fine, or both.
Mail Fraud (Counts Two through Five): no more than twenty years imprisonment, a fine, or both.
Wire Fraud (Count Six): no more than twenty years imprisonment, a fine, or both.
Clean Water Act (Counts Seven through Nine): no more than three years imprisonment, a fine of not less than $5,000 nor more than $50,000 per day of violation, or both.
Clean Water Act (Count Ten): imprisonment for not more than 2 years, a fine of not more than $10,000, or both.
However, it is important to note that any sentence received upon conviction will be influenced by the Federal Sentencing Guidelines, which the Court consults in order to determine each defendant’s actual sentence. Sentences are based upon a formula that takes into account the severity and characteristics of the offense and each defendant’s criminal history, if any.
The charges contained in the indictment are only allegations. In the American justice system, a person is presumed innocent unless and until he or she is proven guilty in a court of law.
The prosecution is being handled for the government by Assistant United States Attorney Steven R. Kaufman. The official bill of indictment can be viewed at www.ncwd.uscourts.gov/. Dates and times for initial appearances have not yet been set by the court.
Additional information about the Clean Water Act is available at the following link: http://www.epa.gov/region5/water/cwa.htm.