Other LanguagesKevin Wilkerson and his companies illegally charged tens of thousands of dollars for shoddy work that increased the risk of underground fuel leaks
TACOMA — On Friday, a Pierce County judge ordered a local business owner to pay more than $360,000 in penalties and restitution for unlawfully charging gas station owners for unfinished, unnecessary, or shoddy work on underground fuel storage tanks. The order is the result of a consumer protection lawsuit filed by Attorney General Bob Ferguson’s Wing Luke Civil Rights Division.
The judgment includes full restitution, plus interest, for nine gas station owners — all but one of whom identify as Korean or South Asian — who were scammed by Kevin Wilkerson and his companies, Northwest Environmental Services and Core Environmental Group. Wilkerson collected payment from the small businesses for work he did not perform or performed so poorly the businesses had to pay thousands more to other companies for the same services. In many cases, Wilkerson stopped responding to the owners of the gas stations when they attempted to contact him and refused to refund what they paid.
“My office stands up for Washington small businesses that follow the rules and contribute to our economy,” Ferguson said. “Wilkerson and his companies not only took advantage of Washingtonians trying to follow the rules, he put their livelihoods at risk. We are committed to protecting hardworking small businesses from bad actors who prey on them.”
An Olympia gas station owner, who immigrated to the U.S. 40 years ago, told the Attorney General’s Office: “(Wilkerson) took my money and then didn’t respond to me and made excuses. I trusted him. He was supposed to be an expert in the field. He was supposed to know what he’s doing. If he had said something needed to be done, I listened and asked him to do it because I relied on his word. Instead, (Wilkerson) and NES did work they were not qualified to do and cost me thousands of dollars in the process.”
Wilkerson’s unlawful conduct affected small businesses in Pierce, King, Snohomish, Thurston, Grays Harbor and Lewis counties.
Wilkerson’s unlawful conduct violated the state Consumer Protection Act. On Friday, Pierce County Superior Court Judge Clarence Henderson, Jr., found that Wilkerson violated the law and ordered Wilkerson to pay a total of $360,741, which includes $195,000 in enhanced civil penalties for harming individuals in Washington based on their national origin. Wilkerson must pay nine gas station owners a total of $165,741, amounting to full restitution plus interest.
Moreover, Wilkerson and his companies must cease all unlawful conduct or face further penalties from the court.
Wilkerson’s companies advertise maintenance services for underground storage tanks, which are used by gas stations across Washington to store fuel. There are approximately 8,700 underground storage tanks located at more than 3,400 sites statewide. Gas stations, which are primarily independently owned and operated, are responsible for periodic testing, maintenance and servicing for underground storage tanks. Service providers for this maintenance work must be certified, follow state regulations, and report the services they perform to the state Department of Ecology, which enforces regulations for underground storage tanks. Despite advertising a “skilled and certified in-house team” that “performs to the highest of standards,” Wilkerson and his companies have been taking advantage of small business owners since at least 2015, including:
- Accepting payment for services that were not completed or only partially completed;
- Completing services that violated regulations and exposed customers to liability for environmental damages;
- Misrepresenting certifications to customers;
- Persuading gas station owners to purchase and install unnecessary equipment and make unnecessary, expensive repairs; and
- Telling gas station owners they had submitted required documentation to Ecology when they had not.
In one instance, an Indian gas station owner in Toledo paid Wilkerson a $50,000 deposit to install new underground fuel storage tanks at his gas station. Six months later, the business owner learned that Wilkerson had not applied for the permits and, as a result, the work could not begin on time. The gas station owner had already purchased two new underground tanks, each capable of holding 25,000 gallons of fuel. With nowhere to install them, the owner had to pay an additional $7,000 to store them above ground behind the gas station. The gas station owner has hired a different contractor to complete the work, which will not be done until summer 2025. As a result, the business will lose a significant portion of monthly sales until then. The court ordered Wilkerson to repay the business owner $94,119 for this and other shoddy work, an amount that includes 12 percent interest.
In another instance, a Korean gas station owner in Olympia paid Wilkerson nearly $9,000 for upgrades to the gas station’s cathodic protection system, which protects underground storage tanks from corrosion to prevent underground fuel leaks. Wilkerson performed the work without proper certification and never returned to do required testing to ensure the system was working properly. When the gas station owner paid another service provider to come out to do the required testing, the system failed. The owner discovered Wilkerson had used incorrect parts and had to pay to have all the work redone. Wilkerson stopped responding to the gas station owner and never refunded the money he was paid for the shoddy work. The court ordered Wilkerson to repay the business owner $13,163, which includes 12 percent interest.
While the restitution provided by the court on Friday is limited to the nine impacted business owners who submitted declarations to the court, the Attorney General’s Office believes more businesses may have been harmed by Wilkerson’s conduct. Business owners who wish to report harm from Wilkerson or his companies should contact the Attorney General’s Office at civilrights@atg.wa.gov or toll-free by calling 1-833-660-4877 and selecting option 1.
Assistant Attorneys General Emily C. Nelson and Alyssa P. Au, Investigator Rebecca Pawul, and Paralegal Logan Young handled the case for Washington.
Ecology asks Attorney General to investigate Wilkerson’s repeat violations
The Attorney General’s Office filed the lawsuit against Wilkerson in March after the state Department of Ecology requested the office’s intervention. For years, Wilkerson repeatedly violated state regulations and disregarded penalties from Ecology.
Ecology received repeated complaints over many years from gas station owners and operators regarding Wilkerson. He faced multiple complaints for shoddy work that increased the risk of environmental damages, such as underground fuel leaks.
Despite the penalties, Wilkerson remains undeterred. Ecology continues to receive new complaints about similar conduct by Wilkerson.
To report a complaint to Ecology’s underground storage tank program, email tanks@ecy.wa.gov or call the UST Hotline at 800-826-7716.
Anyone who believes they are the victim of unfair or deceptive business practices should file a complaint with the Attorney General’s Office: https://www.atg.wa.gov/file-complaint
Read the Korean translation of this press release here.
Read the Punjabi translation of this press release here.
-30-
Washington’s Attorney General serves the people and the state of Washington. As the state’s largest law firm, the Attorney General’s Office provides legal representation to every state agency, board, and commission in Washington. Additionally, the Office serves the people directly by enforcing consumer protection, civil rights, and environmental protection laws. The Office also prosecutes elder abuse, Medicaid fraud, and handles sexually violent predator cases in 38 of Washington’s 39 counties. Visit www.atg.wa.gov to learn more.
Media Contact:
Brionna Aho, Communications Director, (360) 753-2727; Brionna.aho@atg.wa.gov
General contacts: Click here