Firm used marked fuel in an ‘act of desperation’

A CASE involving the use of marked fuel saw a number of defendants handed €3,500 fines at Arklow District Court last Wednesday.

LMC Transport, Croghan Industrial Estate, had pleaded guilty to having marked fuel in tanks on March 21, 2017.

Dean Chambers Transport pleaded guilty to the use of marked fuel in three vehicles on the same date. Dean Chambers, Mullawnview, Ballyfad, Oulart, pleaded guilty to the use of marked fuel in two vehicles on the same date.

The facts of the case had been outlined in full at an earlier court date.

An officer of Customs and the Revenue Commissioners summarised for the court in evidence that a surveillance operation had been carried out on the date in question.

An oil tanker was observed heading to the premises of Dean Chambers Transport at 12 p.m. The tanker was not analysed on the day, but was later confirmed to contain 4,750 litres of marked fuel. It was seized by the officers of Customs and the Revenue Commissioners.

Dean Chambers confirmed that the delivery had come from a company that offered fuel at a discount price. The officer said he believed the fuel had travelled from Northern Ireland and that the defendant had decided to take advantage of the offer of fuel at a reduced price.

The tank of marked fuel was worth €2,432 in lost tax, carbon tax and VAT to the Exchequer. The use of marked fuel would also give a competitive advantage to a haulage firm. The defendant had also admitted to taking a previous delivery.

Chambers had no previous convictions and had been co-operative with the investigation, the court heard.

In mitigation, solicitor Padraig Hyland said that the defendant had been in difficult circumstances at the time. It was a relatively small haulage firm with 15 vehicles at that time. Chambers was separated with two children and had built up a successful business.

He had debts of over €300,000 to a local fuel company at the time and had accepted the marked fuel in a foolish and selfish ‘act of desperation’. The defendant was glad that everything had come to a head and he accepted he should have made more enquiries about the source of the fuel.

Evidence of the company’s 2017 accounts was submitted which showed debts of €600,000. His debtors had made moves to have the company struck off. It was still operating but had reduced to three lorries and eight employees. Chambers had lost contracts as a result of this action. He now had a better source of fuel and was dealing with his debts, the court was told.

In evidence, Dean Chambers said he had taken the fuel to try to save the business and he realised this was the wrong decision. His debts had been restructured and the business scaled down.

Mr Hyland asked Judge David Kennedy to use his discretion as any fines would have an impact on the business’s viability.

He suggested Judge Kennedy reduce the fine for each charge from the maximum of €5,000 to €2,500.

The prosecution confirmed they were not looking for costs in this case.

Judge Kennedy said he would not reduce the fines from the maximum. He said the use of marked fuel had given the business a significant advantage and caused a loss to the Exchequer. There was no doubt in his mind that the defendant knew the fuel came from illegal sources.

He imposed a fine of €3,500 for each charge with 12 months to pay due to the guilty plea.