Posted: 20/03/2025

Two men arrested in Conjunction with PERN Fraud worth £747,000

As part of an ongoing investigation into a recycling fraud scheme, the Environment Agency (EA) and the North West Regional Organised Crime Unit conducted a joint operation which resulted in the arrest of two men in Manchester, on 12 March 2025.

The scheme involved the illegal sale of Packaging Export Recovery Notes (PERNs) worth £747,000.

A 45-year-old man was detained in Rusholme, while a 43-year-old man was arrested in Stretford. Both were questioned and later released on bail as the investigation continues.

Authorities believe the suspects unlawfully sold export notes intended to ensure proper recycling of packaging waste. The financial value of these credits has been a key driver of high-value fraud and money laundering schemes, undermining legitimate UK recycling businesses and infrastructure.

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In 2024, RECOUP called for an urgent review and overhaul of the PRN system, arguing that the current scheme lacks the stability needed to prevent waste crime and false recycled content claims.