U.S. Charges Three Companies, Six People in $100 Million Biofuels Credit Scam

Three companies and six people were indicted for orchestrating a $100 million scheme involving the sale of biofuels and fraudulent claims that the fuels were eligible for tax credits (United States v. Wilson; Sec. and Exch. Comm’n v. Imperial Petroleum Inc.).

The Justice Department said the owners of E Biofuels, a Middletown, Ind., company that claimed to produce biodiesel from renewable sources, conspired with a pair of New Jersey companies to purchase fuel that was 99 percent biodiesel (B99) stripped of its renewable identification numbers—certificates for tax credit that are issued with biodiesel production—then pretended it had ...