Petroleum Manager Sentenced to Prison for $600K Heating Oil Scam at Brooklyn Terminal

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Photo Source: FBI

Manhattan District Attorney Cyrus R. Vance, Jr., and Acting Brooklyn District Attorney Eric Gonzalez today announced the sentencing of Scott Vitello, 40, to 1-to-3 years in state prison for facilitating the theft of hundreds of thousands of gallons of heating oil, valued at over $600,000, from a fuel terminal in Brooklyn. On March 1, 2017, the defendant pleaded guilty in New York State Supreme Court to Grand Larceny in the Second Degree.

As admitted in the defendant’s guilty plea, between January and July 2014, Vitello managed a heating oil terminal located at 722 Court Street, which was owned and operated by Buckeye Partners, L.P. (“Buckeye”), a major petroleum distributor. During this period, the defendant allowed unauthorized individuals and tanker trucks to pull into the loading racks, fill their tanks, and leave the terminal with stolen heating oil, which was sold by the defendant at a fraction of the retail cost. To cover the theft, Vitello disabled counters that track the number of gallons dispensed at the loading racks, changed the position of security cameras at the terminal, and allowed unauthorized pick-ups during early morning or late evening hours.

To date, all seven individuals indicted in Brooklyn have been convicted of crimes related to the theft of heating oil from the Buckeye terminal. Additionally, more than 40 defendants indicted in Manhattan have pleaded guilty to fraudulent schemes in the heating oil transportation industry, and more than $7.4 million has been ordered in restitution, fines, and forfeiture.

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