Authorities in the United Kingdom have arrested two men as part of an investigation into an alleged fraud and money-laundering scheme tied to illegal waste exports.
As the BBC reported, the men were arrested in Doncaster during a joint operation with South Yorkshire Police.
The arrests are connected to suspected abuse of the country's waste export and recycling credit system, which is designed to ensure that packaging waste is processed responsibly rather than dumped or shipped illegally.
The Environment Agency said the case centers on alleged manipulation of credits known as Packaging Export Recovery Notes, or PERNs.
Under U.K. law, companies that produce packaging made from materials like plastic, glass, or cardboard are required to help cover the cost of recycling. They do this by purchasing PERNs from accredited exporters or reprocessors that prove the waste has been handled properly.
But because those credits are worth money, officials say organized criminal groups have started targeting the system.
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"We are calling time on fraudulent activity in the recycling sector, which harms law-abiding businesses and threatens our environment," said Lauren Pigg, the EA's deputy director for waste markets and shipments.
She added that investigators are now reviewing evidence gathered during the raids to determine next steps.
Fraud in the recycling sector can lead to waste being illegally exported, improperly processed, or dumped, increasing pollution and undermining trust in sustainability systems meant to protect communities.
Unfortunately, reports of this are more common than you think — in 2025, two other men were arrested in connection with a recycling fraud worth nearly $1 million, and some recyclers have been caught improperly disposing of waste they've assumed responsibility for.
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$200 or more 💰 In a related Facebook post, the EA said that waste criminals cost the U.K. over $1 billion a year, and organized crime groups are responsible for about 35% of all waste crimes.
It urged residents to report any illegal waste activity to one of its hotlines, emphasizing that reporters can remain anonymous.
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