Trial underway in AMX theft case

Matt Ludlam says he is not his brother’s keeper. And he says he was not a co-conspirator with his brother in a multi-million dollar scheme that defrauded a local trucking company of more than $2 million.

That was Matt Ludlam’s position Monday at the beginning of his theft trial, where he is charged with helping his brother bill American Motor Express in Ashford for fake services to a fictitious tire company.

Matt Ludlam is charged with seven counts of theft of property in relation to the scheme. Prosecutors claim he signed off on several fake invoices for a fictitious tire company created by his brother, Billy, after taking over Billy Ludlam’s job at the trucking company in January of 2008.

But Matt Ludlam’s defense attorney, Joey Sheffield, said Matt Ludlam was as much in the dark about his brother’s alleged scheme as the employees and executives at the trucking company, who never knew thousands were being billed to the made-up company every month for almost 10 years.

“What they’re wanting to do,” Sheffield said during opening arguments Monday. “Is they are wanting to convict Matt for something Billy did.”

But assistant district attorney Banks Smith said Matt Ludlam was a willing participant in his brother’s scheme.

“We’re not saying Matt Ludlam was responsible for all of the theft over all of the time it occurred,” Smith said. “But he is for part of it.”

Authorities believe Billy Ludlam, while working at AMX, created a fictitious company in 1998 known as National Tire Company. Billy Ludlam would then create false invoices from the company for fictitious work done to AMX trucks on the road. Checks were cut to the fake company for about 10 years and authorities believe the money found its way to Billy Ludlam’s pocket.

When Billy Ludlam left AMX in December of 2007 to take another job, AMX management placed Matt Ludlam in a similar position. Matt Ludlam had been employed with AMX in a different role for the previous six years. Just weeks after Matt Ludlam began work there, an invalid post office box for the National Tire Company account caused an employee to question the account. AMX executives soon discovered the company did not exist.

Belinda Benton, who works in the billing, payroll and invoicing department for AMX’s fleet management company, said she was made aware of the National Tire Company account question in January of 2008.

“I asked about it and nobody in the office had ever heard of National Tire Company,” Benton said during testimony Monday. “I said ‘somebody has to have heard of them. We’ve been cutting them a check every month for eight years.”

Sheffield said there is no indication Matt Ludlam benefited from any part of the multi-million dollar scheme, stating the family lives modestly.

But Smith said Billy Ludlam paid Matt Ludlam more than $2,000 in January of 2008, just after Matt Ludlam signed off on invoices from National Tire Company totaling more than $14,000.

Sheffield said there is no connection between the two transactions.

Billy Ludlam is charged with 24 counts of theft of property. He is awaiting trial.