Salt Lake City, UT – Michelle Helms was sentenced to three years of probation, a $10,000 fine, and ordered to pay $1,017,617.48 in restitution on February 3, 2021, after being convicted of defrauding the United States government through a complex scheme involving false claims for renewable fuel tax credits. Helms, along with her business partner Frank DiBenedetto, operated a grease recycling business and conspired to illegally obtain financial benefits through their company, Washakie Renewable Energy.
The investigation, led by federal authorities, revealed that starting in April 2011, Helms and DiBenedetto systematically submitted false statements to the government regarding the production and mixture of renewable diesel. These fraudulent claims were specifically targeted at securing refundable renewable fuel tax credits, including the renewable diesel mixture tax credit, the alternative fuel tax credit, and the alternative fuel mixture tax credit. The scheme involved fabricating data and misrepresenting the true nature of their operations to qualify for these financial incentives.
Federal prosecutors detailed how Washakie Renewable Energy intentionally misrepresented the volume and composition of their renewable diesel production, inflating figures to maximize their tax credit claims. The conspiracy involved multiple individuals working in concert to conceal the fraudulent activity and maintain the illusion of legitimate business practices. Evidence presented during the investigation demonstrated a deliberate and sustained effort to deceive the government for financial gain.
Investigation & Prosecution
The case was pursued under 26 U.S.C. 7206(2), a federal statute that prohibits the willful making of false statements to the government. This law carries significant penalties, including fines and imprisonment, reflecting the seriousness of undermining government programs through deceptive practices. The lengthy investigation involved forensic accounting, interviews with witnesses, and the meticulous examination of financial records.
DiBenedetto received the same sentence as Helms: three years of probation, a $10,000 fine, and $1,017,617.48 in restitution. The substantial restitution order reflects the significant financial loss incurred by the government as a result of their fraudulent scheme. Legal experts suggest that this case highlights the government’s increasing focus on prosecuting individuals and entities involved in renewable fuel credit fraud, a growing concern due to the increasing investment in alternative energy sources.
Key Facts
- Defendant: Michelle Helms & Frank DiBenedetto
- Location: Utah
- Year of Sentencing: 2021
- Crime: Tax Fraud – False claims for renewable fuel tax credits
- Statute Violated: 26 U.S.C. 7206(2) – Willfully making false statements to the government.
- Penalties: Three years of probation, $10,000 fine, $1,017,617.48 restitution
- Company Involved: Washakie Renewable Energy
GrimyTimes will continue to follow this case and report on any further developments.
Source: EPA ECHO Enforcement Case Database
Related Federal Cases
MORE FEDERAL CRIME NEWS
White Collar CrimeWhite Collar CrimeWhite Collar CrimeWhite Collar Crime