August 1, 2014

Senior Sales Exec: Flying J Management Knew of Scheme

Pilot Flying J sales executive Jay Stinnett, who pleaded guilty to his own role in the rebate scandal, told federal investigators that “senior management” knew of the rebate scheme. He also said that he knew it was dishonest to fraudulently reduce rebates for Pilot Flying J’s trucking customers.

Stinnett, along with other Flying J employees, pleaded guilty to mail fraud charges on Monday, according to the Tennessean. Stinnett agreed to cooperate with investigators, testify in court and hand over any evidence in the case as part of his plea deal. Stinnett was promoted in 2011 to a “new position to advise senior management on operations of the direct sales division.” Before 2011 he worked as Pilot’s southwest region’s sales manager.

Stinnett is now the fifth Pilot Flying J sales staff member who has reached a plea agreement with investigators. New Browns owner Jimmy Haslam, the CEO of Pilot Flying J, has denied any knowledge or involvement of the rebate fraud and has maintained that it won’t affect the Browns.

[Related: The Current Negative Streak in Cleveland Sports is Truly Remarkable].

  • Chris

    Ya, this will end badly.

  • https://twitter.com/jimkanicki jimkanicki

    there’s actually nothing new in the stinnett plea. there was a meeting held at the VP-Sales’ lake house where a sales meeting was planned. in it, they discussed how best to train new reps in their techniques; ‘manual rebates’ were agreed to be tackled in breakout sessions. president hazelwood showed up late to this meeting and it’s not clear that he was part of the planning. haslam wasn’t at that meeting.

    so yes, senior management in the form of the VP of Sales knew about the fraud. but we already knew this.