Bert Adams, Taylor Garbage admit to colluding to scam customers

BROOME COUNTY – Criminal convictions and a civil resolution were filed against trash collection firms Bert Adams Disposal, Inc. and Taylor Garbage Service, Inc. after its owners and employees conspired to rig bids, allocate customers, and fix prices, Attorney General Eric T. Schneiderman announced Monday.

Schneiderman's investigation revealed that dating as far back as July 2014 and until May 2016, Bert Adams Disposal, Inc. and Taylor Garbage Service, Inc. were in a collusive agreement to rig bids for trash and recycling services, forcing customers to pay excessive prices for basic services.

“Bert Adams Disposal and Taylor Garbage Service illegally and secretly divided up their territory so they could rig the market and rip-off their customers by charging inflated prices,” said Schneiderman. “I am pleased we were able to bring these perpetrators to justice. My office is committed to protecting New York consumers from anticompetitive and illegal business tactics wherever they occur.”

Schneiderman's investigation revealed hundreds of text messages and phone calls between the companies. One such text message reads, "I'd like to try to work out a plan to work with each other rather than working against each other. Because the customer is the only one that wins when we're at each other's throat."

Other text exchanges reveal the companies conspired the timing of, and pricing of, raising rates, and also show evidence of the companies submitting inflated bids to customers to "ensure that the other firm would keep its current customers without raising suspicion by being the only bidder," states Schneiderman's investigation report.

A representative from Bert Adams Disposal, Inc. said the company had no comment at this time. On Monday, majority owner Elbert Adams pleaded guilty to the felony charge of Combination in Restraint of Trade and Competition in Broome County Court––a class E felony.

The company Bert Adams Disposal, Inc. also pleaded guilty and will be required to pay $850,000 in criminal penalties. Adams is personally responsible for paying $75,000 as part of his felony plea.

Taylor Garbage Service, Inc. reached a settlement agreement with the state, reflecting "the company's early confession of its responsibility for the anticompetitive conduct and its prompt cooperation..." said the report from Schneiderman's office. Taylor Garbage Service, Inc. will pay $500,000 in civil penalties, and its president, Robert Taylor, will pay an additional $50,000.

The settlement states that Taylor Garbage Service, Inc. has agreed to undergo an antitrust compliance program under the supervision of an officer.

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