NGL Crude pays $25M penalty for RFS fraud and retires $10M in RINs

September 30, 2018 |

In Oklahoma, NGL Crude Logistics LLC agreed to pay $25 million civil penalty and agreed to retire $10 million in renewable fuel production credits as part of the settlement with the Department of Justice and the Environmental Protection Agency.

The Department of Justice and EPA alleged that NGL entered into a series of transactions with Western Dubuque Biodiesel, LLC in 2011 that resulted in the generation of an extra set of renewable fuel credits for approximately 24 million gallons of biodiesel. NGL’s scheme generated approximately 36 million additional credits or RINs.

“Enforcement actions such as the one we announce today are essential to ensuring the integrity of government programs,” said Principal Deputy Associate Attorney General Jesse Panuccio.  “Fraud in the RFS market will not be tolerated. I applaud the work of the EPA and DOJ enforcement team who achieved today’s excellent result for the taxpayers.”

“A strong enforcement program is essential to maintaining the integrity of the RIN market,” said Assistant Administrator of the Office of Enforcement and Compliance Assurance (OECA) Susan Bodine.  “Through this settlement EPA and DOJ are holding NGL accountable for its violations of the RFS program.”


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