Jefferson Parish, Louisiana – Michael Wagner was sentenced in June 2017 after pleading guilty to attempted theft through fraudulent practices, stemming from a scheme to illegally market and sell a highly flammable propane mixture as a refrigerant. Wagner, operating under the company names “Superfreeze” and “FrostyCool,” falsely advertised the product as a safe replacement for Freon, defrauding customers and endangering public safety.
Between 2012 and 2013, Wagner’s companies distributed the propane and isobutene blend – a dangerous substitute for established refrigerants – across state lines. Crucially, the product was shipped in standard refrigerant cylinders lacking the mandatory pressure relief devices required by federal hazardous material regulations. This omission significantly increased the risk of explosion or rupture during transportation and use, potentially causing severe injury or death.
The investigation, a collaborative effort between the Department of Transportation Office of Inspector General (DOT-OIG), the Environmental Protection Agency’s Criminal Investigation Division (EPA-CID), and the Federal Bureau of Investigation (FBI), revealed a deliberate effort to circumvent safety standards and profit from a dangerous product. The Pipeline and Hazardous Materials Safety Administration and the Louisiana Liquefied Petroleum Gas Commission also provided vital assistance.
Prosecutors from the Louisiana Attorney General’s Office and the Jefferson Parish District Attorney’s Office successfully demonstrated Wagner’s fraudulent intent and the inherent danger posed by his actions. The investigation uncovered that Wagner knowingly misrepresented the composition and safety of his product, prioritizing profit over the well-being of consumers and the public.
Penalties & Restitution
On June 6, 2017, Wagner pleaded guilty to attempted theft by means of fraudulent conduct, practices or representations, violating Louisiana state law specifically citation (1427)(D)(2)(c)(i). He received a six-month suspended sentence and a two-year probationary period. Furthermore, Wagner was ordered to pay $130,834.25 in restitution to compensate those harmed by his deceptive business practices. While avoiding jail time, the conviction and financial penalty represent a measure of accountability for Wagner’s reckless and illegal behavior.
Key Facts
- Defendant: Michael Wagner
- Companies Involved: Superfreeze and FrostyCool
- Crime: Attempted theft by fraudulent conduct
- Location: Jefferson Parish, Louisiana
- Years Active: 2012-2013
- Illegal Product: Propane/Isobutene mixture marketed as refrigerant
- Statute Violated: Louisiana State Law (1427)(D)(2)(c)(i)
- Penalties: 6-month suspended sentence, 2 years probation, $130,834.25 restitution
- Hazard: Flammable mixture shipped in non-compliant cylinders
This case underscores the importance of vigilant oversight in the refrigerant market and the potential consequences of prioritizing profit over safety. Law enforcement agencies continue to prioritize investigations into fraudulent schemes that endanger the public and violate environmental regulations.
Source: EPA ECHO Enforcement Case Database
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