A.M. Executive Briefing - April 14
This Morning's Headlines:
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Marijuana Operation Using FedEx Workers Broken Up by Agents
Federal officials said Thursday that they have arrested over 100 people, 25 of whom are FedEx employees, suspected of involvement in a marijuana-smuggling ring that authorities say distributed some $160 million worth of the drug to cities around the United States through FedEx's Memphis hub.The parcels, brought to Southern California warehouses from Northern Mexico before entering the FedEx system, had address labels for fictitious companies; authorities say the labels were created by New York City FedEx customer-service employees.
DEA special operations division head Joe Keefe said the smugglers paid as much as $2,000 a week to FedEx drivers to protect the marijuana bundles, which included laundry detergent or fabric softener to foil drug-detecting dogs. USA Today (04/14/00) P. 7A; Morrison, Blake
Judge Dismisses Suit Saying AAA Lied in Ads
A lawsuit from a trucking, business, and government coalition, which supports a Oregon ballot measure to change the state's fuel-tax system, has been dismissed by Marion County Circuit Judge Don Dickey.The coalition had charged that AAA's broadcast advertisements falsely claimed that large trucking firms would get a hefty tax break; the judge decided that the point was one of opinion rather than fact.
The coalition used a study saying heavy trucks' taxes would exceed their share of road expenses, while AAA's ads pointed to two studies saying large carriers would save some $50 million annually while the increase on motorists would be twice that.
Several supporters of the ballot measure conceded Wednesday that the measure, under which gasoline taxes would go up five cents per gallon, will fail when it goes to a vote May 16. Seattle Post-Intelligencer Online (04/14/00)
FBI: Trio Caught Stealing Truckload of Luxury Shoes
The FBI has arrested and charged a trio of men in the theft of a trailer carrying 524 pairs of $325-a-pair Bostonian shoes – cargo that had been headed for stores in five states – from a Secaucus, N.J., warehouse early Wednesday morning.The bureau said 54-year-old Jose Luis Maldonado and 36-year-old Nasin Arafet parked outside the Federated Logistics warehouse in a tractor. Then, said the FBI, 43-year-old Jorge L. Arrieta went inside and pulled the trailer out with a warehouse-owned tractor; as Maldonado and Arafet – who had the trailer number written on his hand – drove away with the trailer, Arrieta left and was arrested later at home, according to the bureau.
Federal and local authorities, who had received a tip, were on watch as the alleged theft of the $172,000 load took place; all three of the accused, who were released on $50,000 bail, are residents of Hudson County, N.J. Associated Press (04/14/00)
Vehicle Utilization Up in First Quarter
A MacKay & Co. Researchers survey indicates an average first-quarter vehicle utilization for Class 6-8 vehicles of 83.5%, compared to 81.4% in the year-earlier quarter, setting a 12-year high. Class 8 utilization rose 2.5 percentage points to 84.1% and trailer utilization rose 5.2 points to 84.4%, as lease/rental utilization rose 8.7 points; Class 7 rose 1.4 points to 83.3% while Class 6 dropped 2 points to 75.5%.Between fourth quarter 1999 and first quarter 2000, power unit utilization fell a mere 0.6 points, much lower than the average drop of 5.2 points from the fourth to first quarters of the previous 7 years. Heavy Duty Trucking Online (04/14/00); Smith, Patricia
Truck Drivers Ordered Out of US
The U.S. government last month ordered a group of truckers from Australia and New Zealand, who had allegedly been brought illegally to work in the United States, to leave the country within a month.The roughly 90 truckers, who were allegedly lured by ads in newspapers, had reportedly been living in motels and tractors in Little Rock, Ark., where the government had kept them as potential witnesses. An agreement with a federal prosecutor had allowed them to continue to earn money by driving, but now most have been told to leave, although some will remain in the United States to serve as witnesses.
In New Zealand, the Amalgamated Workers' Union has been telling truckers to be wary of lucrative offers for employment in the United States. The Press (Christchurch, New Zealand) (04/13/00) P. 4; Yvonne, Martin
'Trashnet' Finds 1 in 4 Trucks Had Problems
A recent "Trashnet" – a surprise crackdown on trash trucks in eight Pennsylvania counties – found that close to 25% of the trucks violated environmental or safety regulations. The crackdown was conducted by the state Department of Environmental Protection, the Motor Carrier Enforcement Group of the state Department of Transportation, and state police.The most common infractions were enclosure or waste leakage violations and incorrect signage; other violations were lack of daily municipal- or residual-waste reports and lack of spill plans, as well as a single infraction regarding residual-waste safety equipment.
Since last year, the DEP has taken part in three Trashnets. Morning Call (Allentown, Pa.) (04/13/00) P. B2
Cummins to Join DOE Project
Cummins Engine has been chosen for a federal Energy Department plan to create heavy-duty diesel engines with superior fuel efficiency and much lower soot and nitrogen oxide emissions. The department will give Cummins as much as $5 million in the first year of the partnership, expected to last until January 2006, which has a goal of creating engines that cut emissions by 90% of the targets for 2002. Oil Daily (04/12/00) P. 8© copyright 2000 INFORMATION, INC. Terms of Service
