LUBBOCK, TX (KCBD) -
It looks like there is even more trouble for a Lubbock
business accused of faking federal renewable energy credits. KCBD NewsChannel 11 has obtained a copy of
the official EPA notice sent to Absolute Fuels and its CEO Jeffrey Gunselman.
A search of federal records shows neither Gunselman nor
his company have been charged with a crime, but the EPA has officially put the
company on notice of violations which could result in severe financial
penalties.
In October, federal agents carried out raids against Absolute
Fuels Lubbock office in the 2500 block of 74th, and a company facility near
Littlefield.
Also back in October, a search of federal records by KCBD
NewsChannel 11 showed what the company was suspected of doing.
Some of those same allegations are repeated in a letter
from the EPA to Absolute Fuels, dated February 2nd. It says in part that federal law allows the
EPA "... to assess a civil penalty of up to $37,500 for every day for each
violation plus the economic benefit or savings resulting from each
violation." The letter says
violations went on from August 31, 2010 through October 11, 2011, which is a
period of more than 400 days.
That same letter goes on to say, "We are offering
you an opportunity to confer with us about the violations alleged in this NOV
[Notice Of Violation]." Gunselman
and the company are invited to offer information about any steps taken to
correct violation and to prevent future violations.
Recent changes to federal law mandate companies to use a
certain amount of renewable fuels. Those
that cannot do so, can instead purchase RIN's or Renewable Identification
Numbers from companies that make renewable fuels or companies that have
leftover credits.
Absolute Fuels is accused of generating RIN's with no
actual renewable fuels to back them up.
Court records say the company tried but failed to make renewable fuels
that meet proper standards. But even
without the fuel, the company sold $40 million of credits.
The allegations of fake RIN's were made in court records
last year and repeated in the recent letter.
Federal officials have seized both company property and
Gunselman's personal property such as 11 vehicles including a 2011 Bentley, and
a Shelby Cobra 427. Also seized is a
home in Boerne, Texas worth $2.65 million and a private jet worth $2.5 million.
Company employees have complained that they are still
owed their last paychecks. They were
ordered to leave during the federal raid and the business has been shut down
ever since.
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Copyright 2012 KCBD NewsChannel 11
Jeff and Crissy Gunselman
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