Posted on 09/28/2007 11:58:39 AM PDT by nuconvert
Michigan Officials Bust Bottle-Deposit Fraud Ring
DETROIT — They did what Kramer and Newman of "Seinfeld" could not.
Thirteen people have been arrested in connection with a smuggling ring that collected millions of beverage containers in other states and cashed them in for 10 cents apiece in Michigan as part of a scam straight out of a "Seinfeld" episode, authorities said Wednesday.
Authorities seized more than $500,000 in cash and 15 people were named in a 67-count warrant issued as part of Operation Can Scam, Attorney General Mike Cox said Wednesday. Some suspects were members of two smuggling rings based in Ohio and others were Michigan merchants who took part in the scheme, he said.
The probe recalled a 1996 episode of "Seinfeld" in which two characters learn about Michigan's 10-cent deposit law and head there with a truckload of 5-cent New York cans, hoping to cash in on the difference, before getting sidetracked.
"A half-million in cash is not 'Seinfeld' humor," Cox spokesman Matt Frendewey said.
Investigators alleged that millions of non-redeemable out-of-state cans were collected, crushed, packaged in plastic bags and sold at a discount to merchants who then redeemed them. Bulk redemption payments from the state are based on weight.
The scheme defrauded the Michigan Bottle Deposit Fund, whose proceeds are used to pay for environmental cleanup efforts, Cox said in a statement.
"Each year, this type of activity defrauds the state approximately $13 million," said Col. Peter Munoz,
(Excerpt) Read more at foxnews.com ...
I left MI for the Air Force in 1976 and came home to finish college in the early 80’s. When I drove up north to visit the parents and go hunting and fishing I could tell the difference on the roadsides and in the campgrounds.
When my dad and I would go fishing on the Pine River we would park at the campgrounds and walk to our fishing spots. We would take empty garbage bags and collect the beer and pop cans left in the trash cans by out of state types who did not care to stop and get their deposits back. Back then few states had the deposit thing so the cans that were stamped properly were purchased at some Michigan retailer.
We would go fishing and get five to ten dollars in cans! Thanks to all the beer drinking rabble from out of state!
And you can be sure the funds are used for other purposes, too. My point was that, once again, the government taxes a product to control a behavior. They hope the behavior is not changed because they count on the funds for other uses.
I've seen quite a few beer bottles in Texas with labels saying they are eligible for refunds in other states. Unfortunately, it would cost me a lot to redeem them, because I'd have to drive across half the country.
OK, let's say it's just the liberal rabbel that trashes our state.. like they do everywhere else...
Now folks get paid to pick up after them.
Whatever.. it works.
The scheme defrauded the Michigan Bottle Deposit Fund, whose proceeds are used to pay for environmental cleanup efforts, Cox said in a statement.
“Each year, this type of activity defrauds the state approximately $13 million,” said Col. Peter Munoz,
A deposit is money held against the return of an item. What the hell is the government doing spending money from this fund?
Also; the state is being defrauded due to it’s own incompetence!
Which is why I will never move back!
Exactly. It was the beginning of the recycle movement only you were charged “back in the day” for the deposit. (I made 15 cents for every 32 ounce bottle and 10 cents for every 16 ounce bottle) Candy time!
I believe the purpose of the deposit is to encourage people to not throw the cans out their windows, so the state does not have to pay someone to go around and collect them.
One environmental problem is people pissing in a bottle and throwing it out of their window. If they paid $100 per bottle of piss nobody would throw bottles of piss out of their truck windows.
Why does lib think make my head hurt?
“Cans bought in states without a deposit program do not have that stamp”
Depends on the product. I just checked my fridge and some had the deposit info and some didn’t. The Anhueser Bush product didn’t, the bottled water did. The soft drinks only had ME and HI, either of which would a long trip from TN
ping
OK, let’s say it’s just the liberal rabbel that trashes our state.. like they do everywhere else...
Now folks get paid to pick up after them.
Whatever.. it works.
Point taken.
That’s not true, I buy cans in Arkansas all the time and We don’t have a can deposit and they read: HI-MA-ME-NY-OR-CT-VT 5c refund, MICHIGAN 10c refund, CA CASH REFUND, IOWA 5c refund. But, I was only able to find that on WalMart cans (Sam’s cola, Dr. Thunder) But I only checked those cans and a Monster energy can and an Arizona Sweet Tea can, bottles don’t have them on it, but I do remember Dr. Pepper cans having it on them.
CC,
Please tell me, I have to know: How in the world did you even find a two year old post of mine, let alone answer it?
I know that in Florida there is no stamping on the can, but the bar code on the side of the can is the same, so if you were so inclined to steal, you could run Florida cans through a Michigan located self-service bottle return machines.
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