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Carl E. Klene, Pesticide Fraud, Indiana 1997

RENO, NV – Carl E. Klene, owner of Aquatics Unlimited, Inc., was sentenced in March 1997 following a guilty plea to federal charges stemming from the illegal application of the herbicide Karmex to waterways across the Midwest. The case, initially filed in Indiana but transferred to Nevada at the defendant’s request, revealed a scheme spanning from 1988 to 1991 where Klene’s company knowingly used a pesticide not approved for aquatic environments.

Federal prosecutors alleged that Aquatics Unlimited applied Karmex, manufactured by DuPont, to hundreds of lakes and ponds in an effort to control aquatic growth. Crucially, the herbicide’s label explicitly prohibits its use in aquatic settings. This deliberate disregard for established regulations formed the core of the criminal charges. The Environmental Protection Agency (EPA) investigated the case, leading to the initial indictment and subsequent plea agreement.

Klene was initially charged on July 29, 1996, with three counts of mail fraud (18 U.S.C. 1341) and one count of violating the Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA) – specifically, 7 U.S.C. 136j(a)(2)(G) which addresses the illegal use of a pesticide. The mail fraud charges stemmed from Klene utilizing the postal service to bill customers for services rendered using the unapproved pesticide, effectively defrauding them through misrepresentation.

The transfer of the case to the District of Nevada under Federal Rule of Criminal Procedure 20 suggests potential concerns regarding impartiality or pre-trial publicity in Indiana. While details of the reasons for the change of venue remain limited, it highlights the strategic considerations involved in high-profile criminal prosecutions. Klene ultimately entered a guilty plea, accepting responsibility for the illegal pesticide applications.

The sentencing, handed down on March 17, 1997, included six months of home detention with electronic monitoring, a 36-month probationary period, a $175 special assessment fee, and a $7,950 fine. The penalties reflect the seriousness with which federal authorities view violations of environmental regulations and consumer protection laws. The case serves as a warning to others in the pest control industry about the legal ramifications of using unapproved products and engaging in fraudulent practices.

The EPA’s enforcement of FIFRA is vital to protecting both human health and the environment. Illegal pesticide applications can have devastating consequences for aquatic ecosystems, impacting wildlife, water quality, and potentially even public health. This case underscores the agency’s commitment to pursuing criminal charges against those who knowingly violate these regulations, even in cases dating back years.

Key Facts

  • Defendant: Carl E. Klene, owner of Aquatics Unlimited, Inc.
  • Location: Midwest lakes and ponds, case prosecuted in Nevada.
  • Years Active: Illegal pesticide application occurred between 1988 and 1991.
  • Pesticide Used: Karmex (produced by DuPont), not approved for aquatic use.
  • Statutes Violated: 18 U.S.C. 1341 (Mail Fraud), 7 U.S.C. 136j(a)(2)(G) (FIFRA violation).
  • Penalties: Six months home detention, 36 months probation, $175 assessment, $7,950 fine.

Source: EPA ECHO Enforcement Case Database


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