Overdrive Magazine | Trucking Business News & Owner Operator Info
Issue link: http://read.dmtmag.com/i/135388
Logbook Unaware of fraud, claims Pilot CEO Pilot Flying J Chief Executive Officer Jimmy Haslam said he "absolutely did not" know about the company's alleged involvement in an ongoing fuel rebate withholding scheme prior to the April 15 FBI raid of Pilot Flying J's headquarters. Haslam spoke in mid-May to several hundred fleet and industry representatives at the 2013 Scopelitis Transportation Seminar in Indianapolis. He gave a brief address before being questioned by Bill Graves, president of the American Trucking Associations. Graves asked Haslam whether he knew about the scheme, saying that points in the federal affidavit indicate Haslam may have known about the alleged defrauding of trucking companies. Haslam said he "was absolutely not aware" of the skewing of manual rebate adjustments, but said that of the 5,000 trucking companies working with Pilot, 250 had some type of adjustment made. Roughly 400 companies were on a manually calculated rebate program, Haslam said. Owner-operators who may have lost out on rebate checks should work with their carriers, Haslam said, because Pilot works directly with carriers on the rebates, and carriers then are responsible for doling out rebates to owneroperators. Pilot has been sued at least seven times since the affidavit was unsealed April 18. All allege some variation of fraud, deceptive trade practices (violating state statues), unjust enrichment, financial conversion, breach of contract and fraudulent concealment. They're also all seeking compensatory damages, punitive damages, barring of continuation of conduct and costs incurred in seeking settlement. All seven also want a jury trial. All but one are class-action suits. Mayor nominated for DOT secretary President Obama nominated Charlotte Mayor Anthony Foxx to replace Ray LaHood as U.S. Secretary of Transportation. LaHood, the only Republican on Obama's first-term Cabinet, announced in January he would step down once his successor was confirmed. To replace LaHood, Foxx will need to be Charlotte Mayor Anthony confirmed by the Senate. Foxx is expected to In 2009, Foxx was the first Democrat to be replace Ray LaHood. elected Charlotte's mayor in 22 years. He has spearheaded several transportation-related projects while in office. Last September, he spoke at the Democratic National Convention. Foxx was expected to be confirmed this month. – Staff reports For more on Haslam's speech and to keep up with the latest on the Pilot situation, visit OverdriveOnline.com/pilot-raid. In his address at the Scopelitis seminar, Haslam said all money owed to Pilot customers would be repaid with interest by the middle of July. Moreover, all customers will be removed from manual rebate calculations after June, Haslam said. "We're committed to righting all of the wrongs." – James Jaillet FUEL TAXES in Maryland will jump July 1 after Gov. Martin O'Malley signed a bill that will set the tax on motor fuels at 1 percent this year. That will rise to 3 percent in 2015 and could go as high as 5 percent in 2016 if other legislation is not passed. AN ANTI-TOLLING bill passed the North Carolina House of Representatives May 21. The bill would prohibit tolling existing lanes of I-95. DIESEL PRICES are forecast to drop 5 cents in 2013 from 2012's average price, says the U.S. Department of Energy. DOE also projects a 7-cent drop in 2014. 16 | Overdrive | June 2013 Logbook_0613.indd 16 5/28/13 10:17 PM