Scam in scrap

[needtoknow]

Be very careful in accepting loads of scrap. We got caught with 3 tractor trailer loads of scrap foam. This is how the scam works. One guy will go to a company that is producing product, lets say car seats, in which there will be scrap foam left over. He will charge the manufacturer a fee which is less than the waste companies charge. He'll call around to trucking companies to get these loads picked up and stored on trailers claiming this foam to be used as insulation for homes. He will make up some excuse that the grinding company is over loaded with scrap and he will need to store. He prepays with a bogus check and disapppears leaving you with having to pay for disposal of $1,000.00 per truck and you can't take it back.

 

[whatiship]

Same scam has been done with tires. They open a warehouse and charge less than the going rate for accepting used tires. Fill the warehouse and then start calling in carriers. The loads are always consigned to somewhere very far away. The trucker shows up in BC or wherever at a fake address and no way to unload. He calls the shipper to find the lines disconected. He now has 40,000 lbs of scrap to dump somewhere which costs a fortune.
Meanwhile buddy the scrap dealer is long gone and starting up somewhere else.

If its scrap anything, get paid upfront and triple check the destination to make sure it exists.