By: Richard L. Smith
U.S. Attorney Philip R. Sellinger reported Thursday that the owner of a New Jersey-based scrap metal company admitted illegally obtaining more than $2 million through a multi-year scheme that victimized more than ten businesses.
Federal officials said Mr. Creed White, 64, of Freeland, Maryland, pleaded guilty before U.S. District Judge Christine P. O’Hearn on August 2, 2023, to an information charging him with one count of wire fraud.
According to documents filed in the case and statements made in court:
From 2010 through September 2020, White used his Camden-based business, American Scrap LLC, to victimize at least 13 firms.
White fraudulently purported to engage in the business of shipping scrap metal.
He obtained payments from certain victims for shipments of scrap metal that he never shipped and received scrap metal from certain victims and then failed to pay those victims for the materials he obtained.
White’s scheme defrauded the victim companies of more than $2.1 million.
The charge of wire fraud is punishable by a maximum potential penalty of 20 years in prison and a fine of $250,000, or twice the gross profits or gross loss suffered by the victims of his offense, whichever is greatest.