David Ladell Frisby, Conspiracy to Commit Wire Fraud, New York 2016

FULTONVILLE, NY – A former Fultonville resident was sentenced to 18 months in federal prison this week for orchestrating a complex environmental fraud scheme that bilked scrap metal brokerage firms out of over $144,000. David Ladell Frisby, 65, currently residing in Kiln, Mississippi, appeared before Chief United States District Judge Glenn T. Suddaby on July 13, 2016, to receive his sentence and was also ordered to pay $144,216 in restitution to the victims of his deceit.

The investigation, a joint effort by the Environmental Protection Agency’s (EPA) Criminal Investigation Division and the EPA Office of Inspector General, revealed that Frisby and his co-conspirators falsely presented themselves as authorized representatives of a legitimate scrap metal recycling firm. They contracted with businesses and individuals to dispose of batteries and other metal waste, claiming the materials would be shipped to Korea for environmentally sound recycling. However, authorities determined that the group never possessed the necessary EPA authorization and had no intention of fulfilling the contracted services.

According to court documents, Frisby, formerly the Chief Executive Officer of D & L Heritage Enterprises, Inc., leveraged his position to further the fraud. He provided fraudulently altered incorporation documents for D & L Heritage to his co-conspirators, who then used these documents to deceive victims. Funds received for the non-existent recycling services were transferred into bank accounts controlled by Frisby, who then retained a portion for personal gain and distributed the remainder to accomplices overseas. The scheme relied on a false pretense of environmental responsibility to extract money from unsuspecting businesses seeking legitimate waste disposal solutions.

Frisby pled guilty on December 10, 2015, to one count of conspiracy to commit wire fraud (18 U.S.C. 1349), admitting to his central role in the fraudulent operation. The initial charges were filed on May 16, 2014, triggering the investigation that ultimately led to his conviction. Assistant United States Attorney Sean O’Dowd prosecuted the case, successfully demonstrating the deliberate and calculated nature of Frisby’s criminal activity.

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Key Facts

Defendant: David Ladell Frisby, 65
Location: Fultonville, New York (scheme originated in NY)
Crime: Conspiracy to commit wire fraud related to environmental services.
Victim(s): Scrap metal brokerage firms and individuals.
Loss: Over $144,000
Sentence: 18 months imprisonment and $144,216 restitution.
Statutes Violated: Title 18 U.S. Criminal Code, specifically 18 U.S.C. 1349, and violations of the Resource Conservation and Recovery Act (RCRA) through fraudulent misrepresentation of recycling services.

The EPA emphasized that this case highlights the agency’s commitment to combating environmental fraud and holding individuals accountable for exploiting environmental regulations for personal profit. “Environmental crimes are not victimless,” stated Vernesa Jones-Allen, Special Agent in Charge of the EPA Criminal Investigations Division. “They undermine the integrity of environmental programs and can have serious consequences for public health and the environment.” The investigation serves as a warning to others considering similar schemes that the EPA and the Department of Justice will vigorously pursue and prosecute those who attempt to profit from environmental deception.

Source: EPA ECHO Enforcement Case Database

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