Jefferson County Attorney Declines to File Charges Against Salvage Company

By Gordon HopkinsJefferson County Attorney Joseph Casson indicated to FJN that, at this time, he would not be bringing criminal charges against a salvage company accused of taking more than $100,000 worth of machines from the City of Fairbury without paying. One of the reasons Casson gave was because the city chose to handle the matter as a civil case instead. Another is that, per Casson, a criminal investigation would more appropriately be handled by the Attorney General’s Office, as the Jefferson County Sheriff’s Office does not have the resources for such an investigation.FJN has corresponded with the Attorney General’s Office on multiple occasions. Representatives from Attorney General’s Office said they will not confirm if there is an investigation ongoing.In 2022, the City of Fairbury contracted with Texas-based Industrial Engineering Solutions LLC (IES) to purchase several large machines from the power plant no longer in use. Also included in the contract was the demolition of an oil tank and disposal of the oil. That was also not completed and the city was forced to foot the bill for that as well.The City of Fairbury received a down payment of $12,000 but has never received the balance. Civil versus CriminalRembolt Ludtke LLP, representing the city, filed the lawsuit on September 29, 2023. On July 15, 2024, District Court Judge Julie D. Smith granted a motion for default judgment in the amount of approximately $144,000.It is Casson’s belief that, because the city opted to handle the matter with a lawsuit, in this case for breach of contract, and received a judgment, IES likely cannot also be successfully prosecuted for theft by deception or other criminal charges stemming from the failure to pay.However, that does not mean the matter cannot be handled in both criminal and civil court.Professor Lori Hoetger of the University of Nebraska-Lincoln, who is not involved in this matter, told FJN via email, “Generally, there is no prohibition on both civilly suing an individual and pursuing criminal charges. There are some complicated legal doctrines like estoppel that work to prevent relitigating the same issue repeatedly, but that usually does not apply to barring criminal charges even if there was a civil suit filed.”“If the alleged offense occurred in 2022, there may be an issue with the statute of limitations,” added Professor Hoetger. “So depending on the offense and when it allegedly occurred, the statute of limitations might be a bar.” In Nebraska, the statute of limitations for most felonies, such as theft by deception, is three years. The statute of limitations for fraud in Nebraska is four years, but fraud can be more difficult to prosecute as it requires proving intent. Why the Matter Was Not Reported BeforeSpencer Brown, who was Mayor of Fairbury when the city contracted with IES, disputed the notion that the failure to pay was a criminal matter. On December 17, 2023, Brown told FJN via email, “If you don’t pay your car payment does that make you a robber?”This is despite the fact that IES and its representatives provided the city with false names, addresses and phone numbers.It is also worth noting that IES and some of those individuals associated with the business have been sued on multiple occasions over the last 15 years. FJN has not found a single instance where a plaintiff ever received payment of a judgment.Mayor Davis has expressed frustration about how the previous administration handled the IES matter. He told FJN on Thursday, February 6, 2025, “I don’t understand why something wasn’t pursued. I always got push back from Spencer when I would ask any questions related to this.”EPA Investigation Alleged violations of environmental laws and regulations are a separate matter and come under the purview of the EPA (Environmental Protection Agency). While in Fairbury, IES recruited a number of locals to work in the power plant. Those locals have since alleged exposure to asbestos and PCBs (polychlorinated biphenyls), both known carcinogens.Casson told FJN, “To me, this seems to be the most egregious.”The EPA confirmed to FJN in 2023 that an investigation had been opened by the EPA’s Criminal Investigation Division. Since then, the EPA has provided little information as to progress. Jacob Nicholls, Special Agent for the EPA’s West Central Region, advised FJN that the EPA’s standard procedure is “radio silence” until an investigation is complete.

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