Jeffrey David Gunselman Sentenced to 15 Years in Prison for Fraudulent Bio-Diesel Business
The former owner of a bio-diesel fuel company has been sentenced to more than fifteen years in prison.
Jeffrey David Gunselman received the 188-month sentence, a $175,000 fine, and was ordered to pay nearly $55 million in restitution Friday.
The sentence comes following the 30-year-old Gunselman’s December 2012 guilty plea to 51 counts of wire fraud, 24 counts of money laundering, and four counts of making false statements in violation of the Clean Air Act.
Gunselman was arrested in July of 2012 on a related charge and was released on bond with conditions. He was remanded into custody in September 2012 for violating the conditions of pretrial release.
Gunselman reportedly devised a scheme to defraud the Environmental Protection Agency by representing that he was in the business of producing bio-diesel fuel, but did not have a bio-diesel fuel producing facility. He generated renewable fuel credits and sold them to oil companies and brokers.
Gunselman made nearly $42 million from the fraudulent practices, and spent $12 million on property, several vehicles, a Patton Military Tank, a Gulfstream airplane, San Antonio Spurs season tickets and corporate sponsorships.
The case was prosecuted by Assistant U.S. Attorneys Paulina Jacobo and Justin Cunningham of the U.S. Attorney’s Office in Lubbock.