Sports

Monticello Man Sentenced for Mild Bulb Rebate Fraud Scheme – Combine 94.7 KMCH – kmch.com

A Monticello man has been sentenced to two years in prison for a fraud scheme involving light bulb rebates.

Officials say 35-year old Anthony Harms pled guilty to one count of mail fraud in March.

According to a press release from the U.S. Department of Justice, evidence at prior hearings showed that Dustin Hutcheson, who operated an energy-related services business in Marion called Hutch Energy, LLC, recruited Harms into the light bulb scheme. In 2017 and 2018, Hutcheson and Harms approached small business customers of a Cedar Rapids utility company and offered to replace their existing lighting with more energy efficient LED lighting for free. They falsely claimed they could do so at no cost to the customer because of a rebate program that the utility company offered. They claimed all the customer needed to do was provide Hutcheson the paperwork, which he would complete. They told the customer to send Hutcheson the rebate check once the customer received it from the utility company. Hutcheson then submitted fraudulent invoices to the utility company, making it appear as if the customer had paid for the lighting and was entitled to a rebate. Hutcheson and Harms repeatedly forged the signatures of the utility company’s customers and Hutcheson inflated the number of bulbs installed on the rebate forms. Harms also repeatedly called the utility company’s customer service line and impersonated the customers in order to learn the status of rebate forms. In total, Hutcheson and Harms received over $300,000 in rebate moneys as a result of the fraud scheme.

Neither Hutcheson nor Harms was a licensed electrician. In one case, Hutcheson’s light bulbs caused a fire in a nursing home, likely because the bulbs’ voltage was incorrect. The nursing home had to evacuate 23 residents, including elderly individuals on feeding tubes and with dementia.

Harms was sentenced on Friday in Cedar Rapids by United States District Court Judge C.J. Williams. He was ordered to make over $340,000 in restitution to the utility company, including paying the utility company’s attorney fees in responding to the government’s investigation and prosecution. Harms must also serve a three-year term of supervised release after the prison term.

Hutcheson was sentenced in June to 44 months in prison for his leadership role in the scheme.

As a result of having been caught using narcotics on multiple occasions while on pretrial release, Harms is being held in the United States Marshal’s custody until he can be transported to a federal prison.

Show More

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *