Jefferson Parish, Louisiana – Michael Wagner was sentenced to probation and ordered to pay over $130,000 in restitution after pleading guilty to attempted theft by fraudulent means in June 2017. Wagner, operating under the company names “Superfreeze” and “FrostyCool,” perpetrated a scheme involving the misrepresentation and sale of highly flammable propane gas as a safe refrigerant substitute.
Between 2012 and 2013, Wagner marketed his product as a “drop-in replacement” for Freon, a common refrigerant. However, investigators determined the substance sold was, in fact, a dangerous mixture of propane and isobutene. This not only misrepresented the product’s composition to consumers but also posed significant safety risks due to its flammability. Crucially, Wagner shipped this hazardous material across state lines in refrigerant cylinders that failed to meet federal safety standards.
The cylinders lacked the required specialized pressure relief devices mandated by Federal hazardous material regulations, escalating the potential for catastrophic failure and endangering anyone in proximity to the transported gas. This blatant disregard for safety protocols formed a central component of the criminal case against Wagner, highlighting a deliberate attempt to cut corners at the expense of public well-being.
Investigation & Prosecution
The investigation into Wagner’s fraudulent operation was a collaborative effort. The Department of Transportation Office of Inspector General (DOT-OIG) spearheaded the inquiry, working in conjunction with the Environmental Protection Agency’s Criminal Investigation Division (EPA-CID) and the Federal Bureau of Investigation (FBI). The Pipeline and Hazardous Materials Safety Administration and the Louisiana Liquefied Petroleum Gas Commission also provided crucial assistance. Prosecution was handled jointly by the Louisiana Attorney General’s Office and the Jefferson Parish District Attorney’s Office.
Legal Ramifications
Wagner pleaded guilty to one count of attempted theft by means of fraudulent conduct, practices or representations, violating Louisiana state statute (1427)(D)(2)(c)(i). He received a six-month suspended sentence, meaning jail time was avoided contingent upon successful completion of his probation. He was sentenced to two years of probation and ordered to pay $130,834.25 in restitution to cover the financial harm caused by his fraudulent scheme. The restitution aims to compensate those impacted by the purchase of the misrepresented and dangerous refrigerant.
Key Facts
- Defendant: Michael Wagner
- Companies Involved: Superfreeze, FrostyCool
- Crime: Attempted Theft by Fraudulent Means
- State: Louisiana
- Year of Plea: 2017
- Statute Violated: Louisiana State Statute (1427)(D)(2)(c)(i)
- Hazardous Material: Highly flammable propane and isobutene mixture sold as refrigerant
- Restitution Ordered: $130,834.25
- Sentence: 6-month suspended sentence, 2 years probation
This case underscores the importance of adhering to both state and federal regulations regarding the handling and transportation of hazardous materials. GrimyTimes will continue to follow cases involving environmental crimes and fraudulent practices that endanger the public.
Source: EPA ECHO Enforcement Case Database
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