On Tuesday, a former executive at Polar Air Cargo received an 18-month prison sentence in federal court for his involvement in a scheme that defrauded the company of $33 million over more than ten years. Robert Schirmer, who served as the senior director of customer service for the Americas at Polar, pleaded guilty last October to conspiracy to commit wire fraud and to fraud for denial of honest services.
Polar Air Cargo is a joint venture between the New York-based cargo airline Atlas Air and DHL Express, with Atlas Air responsible for operating the aircraft. While most of the cargo space is allocated to DHL, which controls the flight network, Atlas Air markets the remaining capacity to freight forwarders. The airline’s fleet consists of eight large Boeing cargo jets, including four 747-8s and four 777s, according to the aircraft database Planespotters.net.
U.S. District Judge Jesse Furman, presiding over the Southern District of New York, set Schirmer’s sentence and mandated that he report to prison on October 10. Additionally, Schirmer is required to complete 200 hours of community service following his release. Judge Furman recommended that the Bureau of Prisons assign Schirmer to a low-security correctional facility in North Carolina.
As part of his plea agreement, Schirmer has consented to forfeit over $938,000 in ill-gotten gains and to repay Polar Air Cargo $9.3 million. Schirmer, along with three associates, was accused of accepting kickbacks from a small group of customers and vendors in exchange for preferential treatment, which included advantageous contracts, priority cargo loading, favorable shipping rates, and entry into incentive programs.
The executives allegedly concealed their ownership interests in specific service providers, receiving income largely based on revenue generated from contracts with Polar — contracts that were often obtained or renewed as a result of the executives’ recommendations.
In May, Lars Winkelbauer, who was Polar’s chief operating officer until July 2021 and identified in charging documents as the leader of the conspiracy, was sentenced to four years in federal prison after being arrested in Thailand and extradited to the United States for trial.
Patrick Lau, the former head of the forwarder Cargo on Demand, had previously been sentenced to 18 months in prison. Carlton Llewellyn, a former Polar vice president responsible for operations systems performance and quality, pleaded guilty to one count of wire fraud in January. He agreed to forfeit $348,000 and repay nearly $306,000 to Polar, with his sentencing scheduled for September 24.
