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Company Admits Falsifying Statement To Allow Import Of Double-Decker Tour Buses

Release Date: 09/15/1999
Contact Information: Mary Mears (212) 637-3673 / [email protected]

(#99149) New York, N.Y. -- A tour company that operates in New York City today admitted making false statements to avoid meeting federal safety and environmental standards for about 70 double-decker sight-seeing buses imported from England, U.S. Attorney Faith S. Hochberg announced.

New York Apple Tours Inc., formerly based in Fort Lee, New Jersey, pleaded guilty to a two-count Information, charging that it filed falsified documents with the U.S. Customs Service, Department of Transportation and U.S. Environmental Protection Agency, indicating the buses were manufactured in 1967, thus exempting them from safety and emissions standards, according to Assistant U.S. Attorney Lorraine S. Gerson.

"These double-decker buses have become a ubiquitous attraction in New York and serve thousands of tourists," said U.S. Attorney Faith Hochberg. "Unfortunately, their success was achieved through fraud at the expense of environmental and safety regulations. That suggests a blatant disregard for the law and Apple Tours' patrons, for which the company will now pay considerably."

As part of a plea agreement entered today before U.S. District Judge John W. Bissell, Apple Tours is required to pay an $800,000 fine, bring it's buses into compliance with DOT and EPA safety and emission standards and establish a trust fund- in addition to the fine to ensure compliance.

The plea agreement also bans for 10 years all persons connected with Apple Tours from submitting compliance certifications for its buses to government agencies. The tour company is further required to notify all licensing authorities where it operates - authorities which may have relied on false claims of federal exemptions - so that they may independently evaluate Apple Tour's standards compliance.

Sentencing has been scheduled for October 6 at 9:00 a.m. before Judge Bissell.

"What this company did was unconscionable and showed no respect for the environment or for their own patrons." said Jeanne M. Fox, EPA Regional Administrator. "In order to avoid environmental and transportation safety regulations, they lied about the age of more than 70 buses. It's ironic that a company that depends on a clean and healthy New York City to draw tourists had no qualms about sending these buses out to foul the City's air."

"Combating unsafe importations is a Customs enforcement priority," added Marvin Walker, U.S. Customs Acting Special Agent in Charge in New York. "Though New York Apple Tours is in the business of promoting our local sites, this Customs Service focuses its sights on stopping the company's use of false statements to import buses that did not comply with EPA and DOT safety standards."

From about 1991 to 1995, Apple Tours imported the familiar double-decker buses from England for its sight-seeing business. Federal regulations require buses and bus engines within certain age requirements to comply with federal environmental and safety standards. To be exempted, importers must submit documentation to the Customs Service as well as to DOT and EPA, identifying the age or year of manufacture of each imported vehicle.

Apple Tours admitted today that it created and altered documents making it appear that all of the buses were manufactured in 1967, when, in fact, the buses were newer and subject to applicable environmental and safety regulations and Customs service review, according to the Information.

At times, according to the Information, Apple Tours obtained blank letterhead bearing the name of the bus seller and created invoices that falsely stated the year of manufacture as 1967. Other times, Apple Tours admitted today, it "whited out" the true year of manufacture on the imported buses and substituted "1967."

These documents were submitted to Customs, DOT and EPA, the company admitted.

Federal DOT regulations require buses imported into the U.S. that are 25 years old or newer to conform to federal motor vehicle safety standards, while exempting vehicles older than 25 years.

Federal EPA regulations require bus engines imported after 1971 to comply with certification requirements of the Clean Air Act and meet emission standards for the year in which they are imported. Engines more than 20 years old when imported are exempt from these regulations.

Hochberg credited special agents of the U.S. Customs Service, under the direction of Walker, the Acting Special Agent in Charge in New York, and William Lometti, Special Agent in Charge of EPA's Criminal Investigation Division, Region 2, New York, with developing the case against Apple Tours.

The government is represented by Assistant U.S. Attorney Gerson of the U.S. Attorney's Frauds and Public Protection Division in Newark, New Jersey.

For more information contact:

Mary Mears, Press Office
EPA Region 2
290 Broadway
NY, NY 10007-1866
Voice: 212-637-3669 FAX: 212-637-5046 E-Mail: [email protected]