Oregon Man Fakes EV Project and Walks Away With $1.8 Million in Carbon Credit Cash

A Multnomah County Circuit Court judge has ruled that Merlin K. Thompson of Tillamook must repay $1.8 million in monthly installments of $50 to the Oregon Department of Environmental Quality (DEQ) that he admitted defrauding.

He Made False Claims for Compensation From the Clean Fuels Program

Judge Andrew Lavin, who described the 55-year-old as indigent and also sentenced him to two years imprisonment, heard that Thompson submitted false reports to the DEQ, claiming he operated three electric vehicle chargers in Sheridan, a city in Yamhill County.

Thompson falsely claimed that he was eligible for compensation from the state’s Clean Fuels Program, requiring fossil fuel companies to cut emission rates by 37% by 2035. Eligible companies could buy carbon credits for environmentally friendly projects, like EV chargers.

Thompson admitted that he had made a false statement to the government agency. He used the money he received for his business, Thompson Technical Services, to buy trucks and motorcycles. Thompson also admitted to selling some of the vehicles at a later stage.

The court heard that the EV chargers were never used or plugged in, and that Thompson received carbon credits from the DEQ, which he resold for $1.8 million.

He pleaded guilty to racketeering, tax evasion, and first-degree theft.

Since this incident, the DEQ has introduced more stringent policies, closely monitoring all new submissions to the Clean Fuels Program.