Four people are due to be sentenced at Swansea Crown Court, after having pleaded guilty to fraud and money laundering charges in October 2012.

The charges relate to Nationwide Recycling Ltd, formerly operating out of Neath, South Wales.

Directors Paul and Andrew Thomas, as well as Beverly Bradford and Terrence Ainge, were faced with numerous charges including those relating to money laundering (to the count of approximately £295,000), conspiracy to commit fraud by false representation (representing an accrual of over £2 million), and ‘consenting or conniving’ as director in a regulated facility without the relevant environmental permits.

The company was also charged with falsely issuing packaging recycling notes for waste that had not been received and for operating without the relevant environmental permits.

Aside from the sentencing, expected to be passed down following court proceedings today (7 June), Natural Resources Wales, assisted by South Wales Police, are also attempting to recover profits made from the illegal activity using the Proceeds of Crime Act (POCA). Directors have accepted to have obtained benefit of over £1.5 million each.

Investigation background

An investigation by Environment Agency Wales (EAW, now Natural Resources Wales) in 2010 found that the company was weighing plant, machinery and lorries in order to falsify weighbridge tickets and invoices for recycled materials that it never received nor processed.

The illegal activity also included falsely registering vehicles that the company claimed were bringing recycled material to the site. For instance, the EAW investigation discovered that one such vehicle was a Harley Davidson motorcycle, which Nationwide Recycling claimed had carried 20 tonnes of glass to the premises.

Furthermore, EAW surveillance in February and March 2010 found that 62 loads of glass packaging waste was brought to the company’s facility over the course of six days. However, Nationwide Recycling claimed at this time that it had received 130 loads.

The investigation also found that company directors were taking metal cans for recycling from local authorities, then selling the cans to local scrap dealers and keeping the cash. The money generated through fraudulently selling these cans is estimated at just under £300,000.

Lead officer John Rock for Natural Resources Wales said: “As regulators of the waste industry, we have to make sure that all companies operate legally to make sure there is a level playing field. Occasionally, there are those who break the law simply to profit from their activities and this will not be tolerated.

“In this case, their actions could have also undermined the recycling markets and industry which are vital to make sure the waste we all produce is not sent to landfill.

“People who do consider breaking the law simply to make money must understand that not only will they be punished for their offences, the profits they make are also at risk.”