Four Plead Guilty In Pilot Flying J Diesel Rebate Scam

The 'architect' of the scam could face could face 20 years in prison and a $250,000 fine.

Judge says no: Pilot Flying J ex-president to spend Christmas behind bars

Four former Pilot Flying J employees have agreed to plead guilty for their roles in a multi-million dollar diesel fuel rebate scandal.

“Architect” Of Rebate Scheme Could Face 20 Years In Prison

Today former Vice President of Sales John “Stick” Freeman along with John Spiewak, Vicki Borden, and Katy Bibee pled guilty to charges of wire fraud and conspiracy to commit mail fraud. As part of the plea deal, these four employees have agreed to cooperate with the ongoing investigation.

If convicted, Freeman — who has been described as the architect of the scheme — could face 20 years in prison and a $250,000 fine.

The rebate scandal involved Pilot employees conspiring to dupe trucking companies that they considered to be too unsophisticated to notice out of promised diesel fuel rebates and then pocketing the extra commission. Freeman reportedly nicknamed the scheme “Manuel” because it preyed on numerous Hispanic owned trucking companies. Charges were filed following a 2013 federal raid on company headquarters.

Four other Pilot employees decided not to take the plea deal and will stand trial on October 31 in Chattanooga.

Pilot CEO Jimmy Haslam has never been personally charged for the rebate scheme and says he had no knowledge of it.