INDIANAPOLIS — Chris Ducey, North Webster, has been sentenced to 72 months to “the prison camp in Terre Haute; Milan, Mich., or as close to North Webster as possible,” as recommended by the U.S. District Court, Southern District.

Ducey plead guilty to conspiracy to defraud the United States, six counts of false claims against the Internal Revenue Service; 13 counts of wire fraud and two counts of obstruction of justice. He was given 60 months for the conspiracy charge; 17 months for the false claim, wire fraud and obstruction of justice charges. All counts will be served concurrent. Upon release he will be on supervised release for 3 years per count, also to run concurrent. He has been assessed a $2,200 fine and ordered to pay restitution in the amount of $56,135,811. He also forfeited any personal property and assets seized by the government.

A total of 68 different victims, including the IRS are listed in the court documents. A complete list and restitution amount can be found here.

Ducey entered a plea agreement on April 21. 2015, which was accepted. He was sentenced on March 2.

Ducey was originally charged with count 1: conspiracy to defraud the United States; counts 2-10, false claims against the IRS; counts 13-25, fraud by wire; count 26-36, false statements (Clean Air Act); counts 37-38, obstruction of justice; and counts 41-46, engaging in prohibited financial transactions.

Indictments Unsealed

On Sept. 17, 2013, indictments were unsealed against Craig Ducey, Chad Ducey, Christopher Ducey, Joseph Furando Evelyn Katrina Pattison, also known as Katrina Tracy, and E-Biofuels, LLC, Caravan Trading Company, and CIMA Green LLC were opened. Ducey and other defendants in the case fraudulently sold more than 35 million gallons of biofuel for a total cost of more than $145.5 million and realized more than $55 million in profits. The scheme ranks as the largest in Indiana history.

E-Biofueld owned a production plant in Middletown, an hour northeast of Indianapolis. The company bought biodiesel that had already been used to claim the tax credits at a lower price and resold it to others, claiming it produced the fuel itself and it was eligible for the tax incentives according to the U.S. Department of Justice. The DOJ said because biodiesel that is eligible for credits commands a higher price, the company was able to make a profit on the transactions.

Ducey and other E-Biofuels owners and executives conspired with executives of New Jersey companies caravan Trading Co and CIMA Green to buy the finished biofuel and falsify invoices claiming the product was the raw “feedstock” required to make biodiesel.

It is alleged the mixed biodiesel was transported from fuel terminals to an E-Biofuels facility, reloaded into tankers and delivered to unwitting customers, along with fradulent paperwork misidentifying it as pure biodiesel. This is worth up to $2 more per gallon.

Status Of Others Involved

The status of others involved, listing the charges by counts as referenced earlier to Chris Ducey’s charges, are:

(Note: charges are listed by counts as referenced earlier to Chris Ducey’s charges

Craig Ducey: count 1, counts 2-10, counts 13-25, counts 26-36, counts 37-38, counts 41-46, and counts 47-66, engaging in prohibited financial transactions. He entered a guilty plea agreement on April 21. No sentencing has been noted on the court documents.

Chad Ducey: count 1; counts 2-3, 4-10; counts 11-12, false statements to the EPA and IRS; counts 13-25; count 40, false statements to the EPA and IRS; and counts 41-46, 47, 48-50, 51-66. Chad Ducey entered a plea agreement on April 25, 2014. No sentencing has been noted on the court documents.

Furando was charged with: count 1; counts 13-25, and counts 41-66. He entered a plea agreement on April 13, 2015 and was given: 240 months on count 1: 60 months on counts 1 and 39; 250 months on each count 13-25; 120 months on each count 54-65, with all sentences to run concurrent. He was designated to the Otisville, N.Y., facility and ordered to participate in mental health treatment. He was given three years supervised release on each count, to run concurrent, ordered to pay a $2,700 fee and restitution of $56,135,811. He has reportedly appealed his sentence. Furando was connected with Caravan Trading Co and CIMA Green.

Pattison was charged with count 1, counts 13-25, and counts 41-66. She entered a plea agreement on July 29, 2014. No sentencing has been noted on the court documents.

E-Biofuels, LLC was charged with count 1, counts 2-10; counts 11-12, 13-25, Count 26-36, and counts 37-38.

Caravan Trading Company and CIMA Green LLC both charged with count 1: conspiracy to defraud the United States, and 13-25.

Related: North Webster Man Among Three To Plead Guilty In Biofuels Scam