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The operation was facilitated by Houston-based Econ Midstream (or Icon)—a midstream company that bought stolen crude oil from Canada, falsely labeled as lubricants to evade Mexican import taxes. This company then chartered the Torm Agnes to deliver the refined product into front companies like Intansa in Mexico, a shadowy front with no physical offices or visible operations.
The scheme resulted in evaded taxes estimated at $7 million on a shipment worth $12 million. The CEO, Rhett Kennagi, leads a lavish lifestyle, flaunting wealth through reality TV appearances and luxury homes, a stark contrast to the illicit nature of his business.