Trucking news and briefs for Friday, Feb. 7, 2025:
Trucking company owner charged in $4.6M overbilling scheme
A New Jersey-based trucking company owner has been charged in federal court for allegedly bilking over $4 million from a national home goods company in an overbilling scheme.
Jose Pena, 46, of Monroe Township, New Jersey, was charged with one count of conspiracy to commit wire fraud.
According to the criminal complaint, Pena owned and operated a trucking company that subcontracted with a national transportation and logistics company, referred to as “Company-1” in the complaint, to provide delivery services in the New Jersey/New York metropolitan area for Williams-Sonoma out of Williams-Sonoma’s distribution center in Cranbury, New Jersey.
From approximately June 2018 through September 2020, Pena conspired with others who worked at Williams-Sonoma and Company-1, among others, to overbill the victim companies for over $3.6 million in fabricated deliveries and services that Pena and his firm did not complete. In exchange for his co-conspirators’ participation in the scheme, Pena paid to them lavish kickbacks, including cash, checks, a sport utility vehicle, and a Rolex watch.
After an internal audit revealed the fraud and the victim companies no longer wished to contract with Pena, Pena hid his interest in another trucking firm that contracted directly with Williams-Sonoma in September 2021. Pena continued to work with a subset of his co-conspirators to overbill Williams-Sonoma for fabricated deliveries through June 2024, resulting in nearly $1 million in additional losses to Williams-Sonoma.
Two of Pena’s co-conspirators, Raymond DeLeon and Cintia Elaxcar, pleaded guilty last month for participating in this conspiracy in their capacities as former employees of Company-1.
DeLeon, 38, of Ridgefield Park, New Jersey, pleaded guilty on Jan. 3 to one count of conspiracy to commit wire fraud. DeLeon worked as an operations general manager for Company-1 and received over $200,000 in kickback payments in exchange for his role in causing the fraudulent billing requests to be submitted to the victim companies.
Elaxcar, 40, of Perth Amboy, New Jersey, pleaded guilty on Jan. 15 to one count of conspiracy to commit wire fraud. Elaxcar worked as a billing and dispatch manager for Company-1 and received over $435,000 in kickback payments in exchange for her role in causing the fraudulent billing requests to be submitted to the victim companies.
The charge of conspiracy to commit wire fraud -- which Pena is charged with and which DeLeon and Elaxcar have each pleaded guilty to -- carries a maximum penalty of 20 years in prison. It also carries a fine of up to $250,000 or twice the gain or loss from the offense, whichever is greatest.
[Related: Fleet owner pleads guilty after illegally consolidating loads, overbilling shippers]
Spicy haul: Nearly $20M in drugs found in jalapeno, cucumber load
U.S. Customs and Border Protection Office of Field Operations officers at the Pharr International Bridge cargo facility in Texas intercepted $19,800,000 in methamphetamine and $144,500 in heroin concealed within a shipment manifested as cucumber and jalapeno.
Packages containing 2,217.85 pounds of methamphetamine and 7.53 pounds of heroin were seized by CBP officers at the Pharr International Bridge.U.S. Customs and Border Protection
After physically inspecting the shipment, officers extracted 26 packages of alleged heroin weighing 7.53 pounds (3.42 kg) and 8,206 packages of alleged methamphetamine with a total weight of 2,217.85 pounds (1,006 kg) concealed within the shipment.
CBP seized the narcotics and the tractor-trailer. Homeland Security Investigations (HSI) special agents initiated a criminal investigation.
ATRI seeks guidance for research on diesel tech shortage
The American Transportation Research Institute (ATRI) is seeking input and guidance for its priority research on the growing diesel technician shortage.
Recognizing the complex issues that exist in training, recruiting and retaining diesel technicians, ATRI has developed three separate surveys for technicians, maintenance facilities and technician training schools.
All diesel technicians – from any industry – are encouraged to answer a five-minute survey about their career path and workplace preferences. Responses are strictly confidential; only anonymized, aggregated data will be published.
Diesel truck repair and maintenance shops are encouraged to complete a survey on recruiting, supporting and retaining diesel technician hires.
Diesel technician schools and training programs are asked to complete a survey that focuses on curricula, emerging technologies and industry partnerships.
"I understand the complexities of hiring and retaining quality technicians all too well, and it's an even more risky investment to train a less-qualified technician who might use their new skills as leverage elsewhere,” said Randy Obermeyer, Online Transport’s Vice President of Safety and Maintenance. “All of these factors place an immense financial burden on the industry as a whole and our customers. ATRI’s comprehensive research will identify the sources of these challenges and how we can increase the number of qualified technicians in our industry."
All three surveys can be accessed online here. The survey will remain open through Friday, March 7.
