I said earlier in this thread Cal. authorities would get aggressive with the practice of Arizona and Nevada aluminum can fraud, here is a little update. The following is copied from CalRecycle and the links for more info:
Update Jail Time for Recycling Scammers: Ringleader of $14 million fraud scheme awaiting trial. August 27, 2015 Press Release.
Five Indicted in CRV Recycling Fraud Scheme: $14 million in fraud uncovered in multi-state investigation, May 7, 2015 Press Release
I personally think they got away with millions and got a slap on the hand (maybe a little more).
- In September 2013, agents observe Rodriguez Recycling (Los Angeles) importing used beverage containers from Arizona.
- In April 2014, agents travel to Phoenix and see individuals load a tractor-trailer with empty beverage containers. Agents follow the truck to Bakersfield and witness the delivery to Sequoia Resources.
- S&S Recycling of Bakersfield, Ignacio Recycling of Lamont, and Gonzalez Recycling of Bakersfield claim California Redemption Value for the loads.
- Subsequent warrants reveal a loan and delivery scheme at Sequoia Resources.
- Agents uncover a large-scale fraud operation, organized by Gonzalo Rodriguez. The scheme spanned from 2012 to 2014 and resulted in $14 million in fraudulent redemptions by Rodriguez and his family.
- CalRecycle terminates the program certifications of 20 recycling centers, and four others voluntarily decertify from the Beverage Container Recycling Program.
- The California Department of Justice indicts five individuals on criminal charges.
- Update: Guilty Plea from Recycling Fraud Ringleader. Two Await Sentencing in $14 Million Fraud Scheme
- SACRAMENTO--The Department of Resources Recycling and Recovery (CalRecycle) will receive $1.3 million in restitution from the alleged ringleader of a recycling scheme involving more than 20 recycling centers in Southern California. Gonzalo Rodriguez is the fourth suspect to accept a plea deal from CalRecycle’s enforcement partners in the California Department of Justice.
- Gonzalo Rodriguez will be sentenced Oct. 1 after pleading guilty to felony recycling fraud and grand theft with a white-collar enhancement. As part of the deal, Rodriguez will spend 14 months in custody, have 22 months supervised release, and pay CalRecycle $1.3 million in restitution.
- Belen Gonzales will be sentenced Oct. 1 after pleading guilty to being an accessory (to a felony) after the fact. She was sentenced to time served (five months actual time) and no restitution.
Bookmarks