The first set of Pilot Flying J employees have pled guilty to charges including conspiracy to commit mail fraud and wire fraud due to their part in the fuel rebate scam allegedly perpetrated by members of the sales team at Pilot Flying J.
The two employees, Ashley Judd, a regional account executive in Knoxville, and Arnold Ralenkotter, director of sales for the Northeast Region, based out of New York State, both entered their guilty pleas in the U.S. District Court for the Eastern District of Tennessee.
A spokesperson for Pilot Flying J said that the guilty plea agreements were not a surprise.
“The statements released by the federal court today do not come as a surprise given what we’ve been learning in our own internal investigations, but are nonetheless disappointing,” said PFJ spokesman Tom Ingram. “We want to assure our customers that we are taking every step to correct any wrongdoing that has occurred and to make certain that it does not happen again.”
The exact details of the plea agreements have not been released, but they do imply cooperation with authorities. There is no word yet on whether or not Judd and Ralenkotter will be giving information to authorities that might implicate other members of the sales team, higher executives, or even owner Jimmy Haslam himself, all of whom were at least mentioned in the mid-April affidavit that was released by the FBI.
Both Judd and Ralenkotter were quoted in the affidavit saying fairly damning things such as when Ralenkotter was discussing one reason why he took part in the scheme: “He thinks you’re ****ing ’em. So you might as well be ****ing ’em.”
There are still multiple employees who have yet to enter a plea, including the Vice President of Sales who infamously was recorded saying “F*** ‘em early and f*** em often.”
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This must be the new corporate greed in America, I say this with tongue in cheek because this is what the new corporate America looks like; anything to build profits and I mean anything. This is what is ruining America because there is no true sense of ethics.
What where the employees to gain by a rebate scam? They need to go a little higher up the food chain. I hope companies and O/O stop feeding these vultures.
It will never happen,they are to big and most trucking companys are still useing them
Exactly,most trucking companies never even batted an eye. If trucking companies were out to strike a blow against the giant,the truck stop fuel islands/parking lots would be ghost tows.
Oops ghost towns ,excuse the typo.
Well I’m not to sure about the big trucking companies not batting an eye.
I am an OTR driver with Prime Inc., and during the four weeks before the raid on the Pilot/Flying J headquarters I fueled at their truck stops 5-6 times per week.
Since the news broke, I have not been routed to a single Pilot/Flying J fuel pit once for regular fill-ups. I have been to three of their fuel centers, but only because they were the closest stations to my drop points, and I only got 20 gallons or less refer fuel each time.
Coincidences maybe, but there is a lot of anger our there from the Trucking companies ownership and management. BTW, how many class action and other law suits have already been filed against Pilot?
Rose the best I could tell was the ones who were in on it would make a larger bonus by “saving” the company money. You would have to read the indictment to see what the plan was. There was no trickle down effect for lower employees such as sales clerks or managers in the Pilot/Fly J buildings
yes … but the problem is you still fueled up at the business, which still feeds there greed. I myself am an owner operator. but I quit using them all together. if people don’t stick together and stop this greed it’s only going to get worse. they took western express for six million, but I still see them still fueling at pilot facilities. which prove some of there theories that some people don’t do anything even when there is evidence. so sad, that they will get away with it because people won’t do anything about it. this only hurts people like us that are trying to make a living in this business or any other.
They fell on their swords quickly by pleading guilty. What were they promised by Pilot executives for doing so?
Pilot and flying j by all standards have a very poor fuel rebate. When Wilco Hess can offer .25 and .32 cent a gallon discounts bel
Boycott them and let them take it in the shorts and see how they like it! They are not worthy of our business.
I agree with boycotting all big corporate greedy millionaires. There is no ethics anymore and I say we force that on them. How much more they want? Sick of it.
This is corporate America. They take what they want with all the support from our wonderful government. Just a smack on the hand and a Time Out. Corporate America does not and did not build America. The small man, mom and pop built America and made here great. Until America realizes that and puts a leash on Corporate America and puts every day Joes in Congress nothing will change. Only people that bleed and sweat and know what it is like to go hungry can fix America. The rich will not do anything to fix or help the real people of America. Just screw us out of everything.
I personally feel that Mr. Jimmy Haslam wasn’t aware of this scheme, And “Robert is right on the money” this is what’s ruining America because there is no true sense of ethics.
A prime example is they steal back every Shower credit after 7 days, they are not giving us the drivers the showers we are paying for them with the high pricing, plain and simple. Pilots fuel prices are always very high, and always has been, Loves is the better Yellow store and better attitudes.
As far a Fuel prices T/A gives a discount to Landstar drivers Last night in Knoxville the pump price was $3.75 with my discount I paid $3.40 plus I got a shower credit at least for 10 days I believe. The simple solution for showers is to give the shower credits and work them as roll over credits that roll off after 6 months. I run expedite and always loose the shower credits.
I personally stay away from all Pilot and Flying J stores.
I choose not to spend my hard earned money there. because of their attitude and the high prices.
Well that’s all of my 2¢ worth for now.
Greed can do awful things to people. Its hard to tell how many were / are involved. Unfortunately, it reflects on the company poorly. It doesnt matter whether or not a small portion of people were involved or it goes higher. it plants a seed in peoples mind. However, once the FBI gets involved there are only so many corners people can hide in.
Corporations have always been greedy and willing to rip off anyone. The unions slowed them down for a while but not any more. Read Sinclair’s novel, “The Jungle” for a peek at the meat packing industry in the early 1900s.
It’s not that easy these big trucking company’s have already purchased fuel 2 + years in advance so they have to use them. Pilots, J’s , loves all the big chain truck stops sell it in bulk to the company’s with a portion of the rebate at the pump
Leaves one to wonder how many more scapegoats there will be pushed out into the front before this is all over – while the rest of Pilot/Flying J’s bureacracy sits back and plays dumb till it all blows over.
I have always hated going into Flying Js, even well before the Pilot buyout/what it was that joined the two. But now, after they have joined, it seems like all Pilots are turning into Flying J’s.
“Do you have your rewards card?”
“Would you like to buy some candy bars? They’re two for a dollar!”
Rewards card, constant upselling, and that damn intercom thing they have, that is constantly raining ad after ad down on customers. And I won’t even mention that corny country music that twangs constantly by the GPS displays.
I feel psychologically pummeled every time I have to go into one of their stores. I feel so disgusted and drained every time I leave, that I have simply stopped patronizing their stores. I go to loves or to TA. Sure, maybe their prices are just as high and maybe their diesel is a little higher, but you’re not subject to a continuous barrage of advertisement.
And now this; they were literally caught STEALING from their customers.
Ask me, Pilot/Flying J is a lowlife organization that DESERVES to go out of business, and much of their upper-management protagonists deserve to be cooling their dishonest heels in jail.
Honestly, life on the road would be so much better without these stores. I completely hate going into them.
I think their theory is if you have to stand there in line for 45 minutes to pay for your thermos of coffee, you’ll see/think/impulsively buy other crap?
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All truck stops rape drivers it’s a fact of life…our OTR life. There is no need for it except for greed. We provide everyone’s livelihood yet we are treated like scum.
It’s our life so it is just to be dealt with. PFJ will continue on with there status qua because they can.
I understand many are dismayed by the findings of this investigation. As an employee of PFJ (driver), I ask those who read this to not forget the many honest employees who work for PFJ, and to not indict the whole company based on the actions of a few. PFJ treats us very well and all of the fellow employees I have come into contact with are good wholesome people working hard and doing right by their families, and our customers. Let justice takes its course, and let those who are indicted have the same due process granted we all have a right to, while at the same time remembering that your local PFJ employees care about how we serve you. God bless all of you out there on the road tonight.
This isn’t an issue of “greed” run amok. Greed is the driving force behind a pretty much all industry. It’s the reason why we get up and go to work at 0100 in the morning, take risks, make investments, and constantly seek to improve our profit margins. There are many degrees of it, true, but it’s still the driving force. If you weren’t greedy you’d volunteer to go out for days and weeks driving that truck for the good of your friends and neighbors. No, the problem is NOT greed. “Greed,” as was famously said by a character in a movie years ago, “…is good.”
No, what actually is the problem, and several have mentioned it, is a lack of ETHICS. Yeah, ethics. That’s a bit more difficult concept to get a grasp of. And, it also implies that there are actual standards of Good and Evil which, as we may have observed, seems not to be a popular concept these days. The problem is, if the truth be told, most of us really think ethics only apply to others. Today’s Golden Rule is no longer, “Do unto others as you would have them do unto you.” Rather it has become, “Do unto others BEFORE they do unto you.” Frankly, I hate to say it, but probably the biggest difference between Pilot/Flying J and a lot of the customers they’ve been screwing is Pilot/Flying J got caught.
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i wonder if the reciept of rebate is nothin more than a income tax loophole for the carrier…certainly no major carrier is avoiding pilot flying j.
since this story broke i get my fuel at love’s most of the time.it’s kinda nice to be treated like a human being rather than just a piece of meat.i got fuel in hayti ,mo 2 months ago and the fuel was bad and it cost me over 800.00 to get everything cleaned and fixed plus the cost of the fuel .we sent the bill to PJF with all the documents on what was wrong and and that they’re fuel was the cause.they pretty much said ” tough sh*t” it’s not our problem.i haven’t bought fuel from them since and then this story breaks i say boycott them and hit them where it hurts which is in the wallet since they have no problem ripping us off
I’m sure of one thing they charge 50 cents more for a refill on a soda. Ya I know you think I’m crying over 50 cent, your right. 50 here 50 there they have paid back what they stole. Please go ahead help them its no skin of my wallet. I go to Loves,TA, and Petro. Whats wrong with America isn’t the people we elect its the fact that we keep on reelecting the losers. Oops of subject. Has this country become a joke or has it always been this way?
Look at it this way. PFJ may have hurt the idea we have of them but if they go under jobs lost there besides overnight parking spaces gone. With HOS It’s hard enough to find a space now. I for one do not like the reserve spaces. I loose enough money with the food prices at the truck stops being about double of what a normal franchise would be. We do not make as much as what they use to make. We work longer hours for too little pay. We leave our homes and families for next to nothing anymore. I love to see the scenery and most drivers are courteous but there are a few who are nasty and could just walk to the truck stop for a bathroom but no they choose to pee in parking lot or dump it in the parking lot. I get so sick of smelling urine soaked parking lots. Sorry off on a tyrant. Anyway yes they were unethical and tried to get away with it. Now this will be a lesson to the others. I hope.
I believe the scam goes to the TOP officers because;
Profits are #1, and the CEO is given large multimillion $ bonuses based on profit. They are aware of any movement up or down with profit and loss.
The CEO is the primary one to be motivated by greed. Most are cold hearted, fearless, and extreemly narcissistic. This CEO was immediately aware of any spike in profits and quickly found the source of the spike. Don’t believe me? How quick would any good CEO find the slightest LOSS on the books. Think about it.
The big dogs do, however, cover their tracks thoroughly, and the small dogs take the fall when trouble comes.