Beam Brothers Trucking passes all contracts on to Eagle Express Lines
After a grand jury indicted Beam Brothers Trucking on over 120 counts of alleged wrongdoing in March, the Mount Crawford company is handing its trucking contracts over to Eagle Express Lines.
According to court documents, the business — which had been transporting mail for the United States Postal Service for at least the last ten years — may have falsely recorded times when drivers were on the job, among other allegations.
Beam Brothers has insisted throughout investigation that these allegations were false, but says "the mere filing of the federal indictment and the uncertainty that has accompanied it has made it impossible for us to continue our operations."
Eagle Express will take over all trucking operations at the company at the start of May. According to Beam Brothers' website, all current Beam Brothers employees will become Eagle Express Line employees at that time, with health insurance carried over and all pay and accrued vacation with Beam brothers paid out on their final check from the company on May 12.
Here is the statement issued by Mark Obenshain, counsel for Geral Beam, on behalf of Beam Brothers Trucking, Inc. which explains what is happening:
After years of investigation, Beam Brothers Trucking and people affiliated with the company were indicted by a federal grand jury on Thursday, March 16, on more than 120 counts of alleged wrongdoing.
According to the indictment, the Mount Crawford company is accused of letting employees violate safety regulations and falsely recording when drivers were on or off duty.
Included in the court document are dozens of alleged instances when driver's time on the job was recorded incorrectly.
In addition, the indictment accuses the company and its owners, Gerald and Garland Beam, of conspiracy to commit wire fraud, citing several email exchanges.
Also listed as defendants are Shaun Beam, the former operations manager, and Nickolas Kozel, the former chief financial officer.
In a letter from the company's legal council sent out on Thursday, Beam Brothers asserted the allegations were false.
"The charges are entirely without merit and illustrate government overreaching at its worst," the letter said. "We are deeply disappointed that after almost seven years of investigation and extensive cooperation by Beam Brothers, the government has chosen to indict the company and its principals."
The indictment estimates the United States Postal Service paid Beam Brothers more than half a billion dollars over the past ten years to transport mail.
"As a mail carrier, the U.S. Postal Service has repeatedly recognized Beam Brothers' exemplary performance and incredible safety records," the letter argues. "Beam Brothers have one of the best safety records in the industry."
An arraignment hearing for the case is set for Thursday, March 30 at 10 a.m.