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Oklahoma man indicted in well service fraud scheme

Oklahoma man indicted in well service fraud scheme

OKLAHOMA CITY (AP) — The head of an Oklahoma well servicing company has been indicted for allegedly cheating an energy company out of more than $4.3 million.

The Oklahoman reports that 41-year-old Justin Lane Foust is charged with wire fraud, aggravated identity theft and money laundering. Foust pleaded not guilty Friday in Oklahoma City federal court.

A Chesapeake Energy subsidiary hired Foust’s company, Platinum Express LLC, to haul wastewater from well sites. Foust is accused of allegedly billing the subsidiary for work that was never conducted.

The indictment says Foust’s scheme involved more than 1,100 fraudulent invoices with forged or pasted signatures from the subsidiary.

Chesapeake Operating LLC sued Foust and four other defendants in 2016. Foust says he’s a victim of fraud by the other defendants’ criminal actions.

The suit is pending in Washita County District Court.

Information from: The Oklahoman, http://www.newsok.com