Results
Analysis provided sound evidence that run tickets were missing and trucks were “piggybacking” to remove crude oil illegally from over 100 wells. Upon further investigation, results uncovered a sophisticated fraud where thieves used Google Earth to find active wells, counterfeited trucks to steal thousands of barrels of crude oil, worth approximately $20,000 per load. Profits from the fraud were funneled through an elaborate money-laundering scheme.
Results were shared with the army of local, state and federal officials involved in the investigation including the FBI, IRS Service Criminal Investigation, Texas Attorney General’s Special Investigations Unit, the Bexar County District Attorney’s Office, Texas DPS, Texas Rangers, local Sheriff’s Office, and the Texas Railroad Commission. Charges included theft of oil from an interstate shipment, wire fraud, and money laundering. The indictment included a notice of criminal forfeiture where the government is seeking proceeds derived from the fraud scheme, as well as funds totaling more than $1.5 million, which represents the amount of proceeds obtained, directly or indirectly, as a result of the criminal scheme.
Oil field thefts are expected to increase as prices drop and desperate men join the unemployment lines. To prevent further theft attempts, fraud hotspots are regularly monitored, alarms have been added to the tanks to track significant or abnormal volume drops, and detailed reports are provided to well owners each month.