SALEM COUNTY, NJ – Nathan Frenkel, owner of Environmental Consulting and Testing Service (ECTS), faced federal charges in 1983 stemming from a scheme to defraud a Clean Water Act-funded project in Salem County, New Jersey. The case, investigated by the Environmental Protection Agency’s criminal enforcement division, revealed a pattern of falsified billing and the misappropriation of government property.
Frenkel’s company, ECTS, had been contracted to assess disposal alternatives for sewage treatment systems, a project heavily subsidized under Section 201 of the Clean Water Act. According to court documents, the investigation began after discrepancies were noted in time sheets submitted for payment. Authorities alleged that Frenkel and his company knowingly misrepresented the number of hours worked on the project, inflating costs to the federal government.
On March 2, 1983, a four-count indictment was returned against Frenkel and ECTS. The charges included three counts of making false statements in violation of 18 U.S.C. §1001, which prohibits knowingly and willfully making false or fraudulent statements to the United States government, and one count of conversion – the theft – of government property under 18 U.S.C. §641. The stolen property, investigators discovered, was a vacuum cleaner taken from the United States Naval Air Development Center.
The case did not proceed to trial. On May 23, 1983, Nathan Frenkel entered a guilty plea to the single count of converting government property. Simultaneously, ECTS pleaded guilty to one count of making false statements. The plea agreements suggest a negotiated settlement aimed at avoiding a protracted legal battle and minimizing further damage to the involved parties.
Sentencing occurred on July 8, 1983. Judge [Editor’s Note: Judge’s name not available in source data] imposed a $7,500 fine on Nathan Frenkel personally. ECTS, as a corporate entity, was ordered to pay a $5,000 fine. While the fines represent a financial penalty, legal experts at the time noted that the case served as a warning against fraudulent practices in federally funded environmental projects. The relatively light sentencing may reflect the prevalence of plea bargains in similar cases during the early 1980s.
Key Facts
- Defendant: Nathan Frenkel, owner of Environmental Consulting and Testing Service (ECTS)
- Location: Salem County, New Jersey
- Year: 1983
- Statutes Violated: 18 U.S.C. §1001 (False Statements), 18 U.S.C. §641 (Conversion of Government Property)
- Funding Source: Clean Water Act, Section 201
- Penalties: Nathan Frenkel – $7,500 fine; ECTS – $5,000 fine
GrimyTimes will continue to follow up on cases of environmental fraud and government waste, holding those accountable who exploit public trust for personal gain.
Source: EPA ECHO Enforcement Case Database
Related Federal Cases
- Orange County Woman, Wire Fraud, Identity Theft, Money Laundering, … · Florida
- Ralph Mandil, Theft of Trade Secrets and Wire Fraud, Newark NJ, 2023 · Illinois
- Barry Connell, Wire Fraud and Aggravated Identity Theft, NY 2024 · Nevada
- Rodney Bush-Rowland, Tax Fraud and Payroll Theft, NJ 2024 · New York
- Humza Khan, Wire Fraud and Aggravated Identity Theft, New Jersey 2024 · Ohio
