Two Georgia men face federal charges in a $760,000 fuel-card fraud scheme involving a legitimate Michigan trucking company. Prosecutors accuse Mario Bailey and Zachary Walker of obtaining eight fuel cards through a fraudulent credit application. Fuel purchases spanned 23 states, contributing to an unpaid balance that included accrued interest. Federal court records identify Coyne Oil & Propane as the company that extended the credit. FreightWaves previously reported a separate $510,000 fuel-card fraud case involving fictitious fueling stations and fraudulent transactions.
The scheme began with an apartment rental in Detroit during July 2025, according to a federal indictment. Walker allegedly rented the apartment using an altered driver’s license bearing his real name and photograph. The indictment does not specify how the license was altered. The apartment later served as the delivery address for the fuel cards.
On Aug. 13, Bailey allegedly impersonated the owner of Voyager Express Inc., a Detroit-based interstate motor carrier. He submitted a credit application to Coyne Oil using an unauthorized Gmail address associated with the trucking company’s name. Voyager Express neither knew about nor approved the application, according to prosecutors. The request sought access to commercial fuel credit under the carrier’s identity. A separate $12 million cargo theft investigation also involved suspects accused of exploiting legitimate trucking company identities.
Eight fuel cards and 23 states
Coyne Oil approved the application and issued eight Pacific Pride fuel cards. The company mailed them to Walker’s rented Detroit apartment on Sept. 3, 2025. Walker subsequently arranged for Bailey to access the residence. Bailey retrieved the cards on Sept. 13, ten days after their mailing.
The cards generated $760,320.19 in unpaid fuel purchases and accrued interest. Transactions occurred across 23 states between September 2025 and January 2026. Coyne Oil received no payment for the resulting balance, according to prosecutors. Count One accuses Bailey and Walker of obtaining the cards with the intent to transfer them to others.
Some fuel-card fraud schemes involve selling discounted fuel to truck drivers. However, prosecutors have not established whether Bailey and Walker used that approach. The indictment does not identify who purchased the fuel or which vehicles received it. Prosecutors do not identify who purchased the fuel, which vehicles received it or whether anyone resold it. In another case, a California trucking company owner pleaded guilty to a $2.1 million identity theft scheme involving fraudulent credit card accounts.
Federal charges and court proceedings
A federal grand jury indicted Bailey and Walker on Sept. 23, 2026, in Michigan’s Eastern District. Both defendants face charges involving unauthorized access devices, wire fraud and mail fraud. The access-device charge carries a maximum 10-year prison sentence for a first offense. Wire fraud and mail fraud each carry maximum penalties of 20 years in prison. The court unsealed the indictment on Oct. 21.
The wire fraud charge centers on an electronic credit application transmitted from Atlanta to Mount Pleasant. Prosecutors identify the mailed fuel cards as the basis for the separate mail fraud count. The access-device charge concerns the defendants’ purported trafficking of fraudulently obtained cards. Federal authorities also seek forfeiture of proceeds traceable to the scheme if the defendants receive convictions.
Walker pleaded not guilty during his Nov. 3 appearance before U.S. Magistrate Judge Patricia T. Morris. The court released him on a $10,000 unsecured bond. U.S. District Judge David M. Lawson scheduled his jury trial for Dec. 29 in Bay City, Michigan. The available court records do not establish Bailey’s plea or trial date. Bailey and Walker remain presumed innocent unless prosecutors prove their guilt beyond a reasonable doubt.
Why it matters
Carrier identity impersonation can expose fuel providers to substantial financial losses through fraudulent commercial credit applications. Independent verification of ownership and applicant authorization helps businesses identify suspicious requests before extending credit.
Click here for more articles on cargo theft and freight fraud by Phil Brink.
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