Millions lost in Indiana biofuel scam
LOUISVILLE, Ky. (WDRB) -- An Indiana company is accused of running a more than $100 million biofuels scam.
Middletown, Indiana based E-Biofuels is at the center of the investigation. Officials say six people have been arrested on conspiracy, wire fraud and other charges.
Investigators say despite having its own equipment, the company would buy lower-grade biofuel and sell it at a higher price claiming they made it, and it was 100% biofuel.
Besides E-Biofuels, investigators say two other companies were reportedly involved.
Officials say customers were defrauded of more than $55 million, the IRS lost $35 million and that investors lost tens of millions of dollars.
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