Three more former employees of Pilot Flying J pleaded guilty Monday to federal fraud charges that involved a scheme to cheat trucking companies out of fuel rebates, the Associate Press reported.
This brings the number of guilty pleas by former Pilot Flying J employees to 10 following a raid by federal agents at the company’s Knoxville, Tenn. headquarters last year. The 10 employees have agreed to cooperate with the government in return for reduced sentences.
One of the former employees who appeared in court Monday is Brian Mosher, a former director of sales from Bettendorf, Iowa. He admitted to training other company employees on how to cheat customers, according to the Associated Press.
After pleading guilty to conspiracy to commit mail fraud and wire fraud, he could face a maximum of 20 years in prison, although a reduced sentence is more likely.
In his plea agreement, Mosher admitted that he held four break-out sessions during Pilot’s annual sales meeting in Knoxville in November of 2012 to teach employees how to defraud trucking companies without getting caught.
Former employees Christopher Andrews, a regional sales manager, and Lexie Holden, a regional account representative, also pleaded guilty to conspiracy to commit an offense against the U.S. government, according to court documents, the Associated Press reported. Each could face up to five years in prison and a fine of up to $250,000.
Pilot Flying J is owned by the family of Cleveland Browns Owner and Pilot CEO Jimmy Haslam and Tenn. Gov. Billl Haslam. Jimmy Haslam has denied involvement in the rebate scheme. Gov. Bill Haslam says he is not involved with the company’s operations.
In November, a federal judge in Arkansas approved a settlement where Pilot Flying J will pay $84.9 million to 5,500 trucking companies that were cheated out of promised rebates by Pilot.