Omaha businessman Matthew Petersen, 39, has pleaded guilty to a pair of federal crimes related to the Covid-19 pandemic, according to the United States Attorney’s office in Omaha. Petersen, the President of Quin Global, a manufacturer of adhesive and tool systems based in Omaha, pleaded guilty to mail fraud and selling an unregistered pesticide.
The crimes date back to March 2020, when Quin Global began manufacturing and selling a pesticide product called Ramsol-RS1. The product, which was marketed as being effective against the Covid-19 virus, was not registered with the Environmental Protection Agency (EPA) as required by law. Instead, Quin Global purchased the product from Buckeye International, a supplemental distributor of Lonza, Inc.’s product Formulation HWS-64, and then diluted and repackaged it into its own proprietary pressurized canister and application systems.
Quin Global sold Ramsol-RS1 to 73 of its distributors in the United States and Canada, who then supplied the product to their own retail customers. Despite receiving numerous inquiries from customers about the product’s validity and efficacy, Quin Global repeatedly assured its customers that Ramsol-RS1 would be effective against viruses and cited to the EPA registration for the Lonza/Buckeye product.
Petersen faces a maximum of 1 year in prison, a $50,000 fine, a 1-year term of supervised release, and a $25 special assessment for his role in selling the unregistered pesticide. Quin Global faces a maximum possible penalty of 5 years’ probation, a fine of $200,000 or twice the gross gain or loss (whichever is higher), and a mandatory special assessment of $125 for the sale of the unregistered pesticide.
Quin Global also faces a maximum possible penalty of 5 years’ probation, a fine of $500,000 or twice the gross gain or loss (whichever is higher), and a mandatory special assessment of $400 per count for the mail fraud charge. The company’s sentencing hearing is scheduled for July 19, 2024, at 10:30 AM, while Petersen’s sentencing hearing is scheduled for July 19, 2024, at 10:00 AM.
The Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA) regulates the distribution, sale, and use of all pesticides in the United States, including antimicrobial pesticides. Antimicrobial pesticides are substances used to destroy or suppress the growth of harmful microorganisms, such as the coronavirus that causes Covid-19, on inanimate objects and surfaces.
Quin Global’s actions demonstrate a blatant disregard for the safety and well-being of its customers, who were sold a product that was not registered with the EPA and may not have been effective in preventing the spread of Covid-19. The company’s guilty pleas serve as a reminder of the importance of complying with federal regulations and laws, particularly in times of crisis.
The case is being investigated by the Federal Bureau of Investigation (FBI) and the Environmental Protection Agency (EPA). The case is being prosecuted by Assistant U.S. Attorney, Douglas L. County Attorney, Omaha, NE.
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Key Facts
- State: Nebraska
- Category: White Collar Crime|Public Corruption
- Source: DOJ Press Release â†â€â€
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