Feds Crack Down on Diesel Fraud: $10M in Fines for Emissions Equipment Tampering
United States Federal Government Takes Aim at Clean Air Act Violators
In a recent move, the United States federal government has demonstrated its commitment to enforcing the Clean Air Act by issuing a massive fine and penalty to a North Carolina aftermarket shop. Rudy’s Performance Parts and its owner, Aaron Rudolf, have been ordered to pay a whopping $10 million for violating the act by manufacturing, selling, and installing emissions defeat devices.
The Largest Fine Yet
The $10 million fine is the largest penalty handed out to an independent diesel shop, surpassing other notable cases involving diesel truck tuners. Rudy’s generated tens of millions of dollars in revenue from selling software tuning devices alone, highlighting the massive profits to be made by violating the Clean Air Act.
Rudy’s Performance Parts: A Case Study
According to court documents, Rudy’s highest-selling product was the Mini-Maxx tuner, a part manufactured by another entity. The company sold XRT Pro tuners as well, which were also made by the same manufacturer. Notably, H&S Performance, another aftermarket manufacturer that was forced to pay for violating the CAA, also built products by the same name.
Faking Tuners and Fake Brands
Rudy’s conspired with others to make imitation tuners that were falsely branded, initially through an agreement with a software technician. This arrangement lasted from July 2015 to December 2016. The company then started faking these tuners in-house, purchasing an $850,000 laptop containing software to convert other tuners into Mini-Maxxes and XRT Pros. Until stopping in July 2018, Rudy’s sold nearly 44,000 imitation tuners and generated about $33 million in revenue from them.
Consent Decree Requirements
As part of the consent decree, Rudy’s and Rudolf must:
- Stop providing technical support for defeat devices
- Deny all warranty claims
- Instruct authorized dealers to do the same
- Refrain from selling or transferring intellectual property related to defeat devices
- Striking marketing materials mentioning emissions control tampering
- Forfeit all remaining aftermarket defeat devices in their possession
A Strong Message
The EPA and DOJ are sending a clear message to those who violate the Clean Air Act: you will be held accountable and face significant fines and penalties. This case demonstrates the administration’s commitment to enforcing environmental regulations and protecting public health.
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