The owner of a Fort Pierce-based biofuel company, Christopher Burdett, has pleaded guilty to conspiracy in connection with a scheme that generated over $7 million in fraudulent Environmental Protection Agency (EPA) renewable fuel credits and sought more than $6 million in fraudulent tax credits related to biodiesel production.
Court documents indicate that Burdett’s company claimed to convert various feedstocks into biodiesel but reported inflated production volumes to the IRS and EPA. This allowed the company to obtain additional fuel and tax credits. When auditors requested further information, Burdett and general manager Royce Gillham—who was sentenced last year to 37 months in prison—provided false details about their operations.
“The defendant’s fraud undermines the integrity of EPA’s Renewable Fuel Standard and hurts farmers and refiners who follow the law,” said Principal Deputy Assistant Attorney General Adam Gustafson of the Justice Department’s Environment and Natural Resources Division (ENRD). “This guilty plea is another example of the Justice Department’s broader efforts to hold those accountable, like Burdett and Gillham, who defraud American taxpayers.”
“This was not a paperwork error or a regulatory misunderstanding — it was fraud,” stated U.S. Attorney Jason A. Reding Quiñones for the Southern District of Florida. “The defendant inflated production numbers to steal millions in fuel and tax credits, taking money straight from taxpayers. Working closely with our partners at EPA and IRS, we will continue to hold accountable anyone who lies, cheats, and tries to game federal programs for personal profit.”
Assistant Administrator Jeffrey A. Hall of EPA’s Office of Enforcement and Compliance Assurance added: “The defendants compromised the core of a program designed to secure abundant renewable fuel. By claiming credit (RINs) for fuel they never produced or sold, the defendants not only defrauded American fuel producers and consumers but also compromised our energy security. Lying to the federal government and to others under federal programs for profit is an elemental federal crime and intolerable in our society.”
Ron Loecker, Special Agent in Charge of IRS Criminal Investigation for Florida Field Office commented: “Fraudulent tax schemes erode trust in our tax system and harm every honest taxpayer. Our mission is to ensure that those who attempt to exploit tax credits are identified and brought to justice, protecting the integrity of our nation’s tax laws.”
Burdett admitted guilt on charges including conspiring to commit wire fraud as well as filing false claims. He faces up to five years in prison on the conspiracy count along with a potential $250,000 fine; sentencing will be determined by a federal district court judge after review of relevant guidelines.
The case was investigated by both EPA’s Criminal Investigation Division and IRS Criminal Investigations units.
Prosecution is being handled by Senior Trial Attorney Adam Cullman from ENRD alongside Assistant U.S. Attorney Daniel Funk from the Southern District of Florida.
ENRD participates in the Department of Justice Trade Fraud Task Force—a multi-agency initiative targeting trade fraud that impacts government revenue streams as well as national industries—and encourages whistleblowers with credible allegations through mechanisms such as qui tam provisions or via its Corporate Whistleblower Program at CorporateWhistleblower@usdoj.gov using resources available online.
Further details regarding this case can be found at www.flsd.uscourts.gov or http://pacer.flsd.uscourts.gov under case number 25-cr-14071.
