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A fuel supplier is accusing a company linked to several Freedom Fuel gas stations — a discount network promoted by President Donald Trump — of taking more than $4 million worth of gasoline without paying for it.
Mansfield Oil Co., a Georgia-based fuel supplier, filed the lawsuit Aug. 19 in U.S. District Court for the Eastern District of Pennsylvania. The complaint alleges that Syed Kazmi’s company, KRSM Inc., obtained more than 1 million gallons of fuel from a Sunoco terminal in Twin Oaks but failed to pay for it.
Mansfield alleges some of that fuel was subsequently sold to stations operating under the Freedom Fuel Network, which says it has 29 locations.
“KRSM was able to sell such fuel for such low prices and garner such publicity because it never paid Plaintiffs for such fuel,” the complaint states.
KRSM denies the allegations, calling the lawsuit “an accounting dispute over fuel invoices misplaced by Mansfield Oil.”
The company said in an emailed statement that it would not comment further because the case is pending.
Freedom Fuel draws Trump’s attention
Freedom Fuel attracted national attention shortly before the July Fourth holiday after Trump praised the stations on Truth Social for offering unusually low prices.
“They are doing this because they love the U.S.A.,” Trump wrote.
The White House later promoted a video showing customers buying gasoline at one of the stations for $3.47 a gallon — a price tied to Trump being the 47th president.
At the time, neither the White House nor Freedom Fuel publicly explained how the stations could consistently sell gasoline below competing prices. The White House said the company was privately owned and was willing to accept lower margins.
Subsequent reporting identified people connected to the network, including a former New Jersey mayor and a Baltimore Ravens special teams coach who is a Republican donor.
Freedom Fuel has rejected speculation surrounding its business model, saying it is “proudly lowering prices to benefit our community and strengthen our local economy.”
White House denies connection to KRSM
The White House said the administration has no relationship with KRSM or Syed Kazmi.
“The Administration has had zero contact or dealings with the defendant: KRSM Inc or Sayed Kazmi,” a White House official said.
A person familiar with Freedom Fuel also said KRSM and Kazmi are not associated with the network “in any capacity.”
Mansfield’s attorney, Urs Broderick Furrer, disputed that characterization, saying Kazmi is a principal owner and president of KRSM and that the unpaid fuel was delivered to at least 10 Freedom Fuel locations listed on the network’s website.
The lawsuit does not establish that Freedom Fuel or the White House knew the fuel had allegedly been obtained without payment.
Kazmi companies have faced previous lawsuits
The current case is not the first legal dispute involving companies associated with the Kazmis.
In February, a federal judge entered a default judgment against a company belonging to Shamikh Kazmi after a fuel distributor alleged it had taken about $667,000 worth of fuel without fully paying for it in 2021. Kazmi denied the allegations.
The judge cited what he described as the defendants’ “serial flouting of Court orders and the Federal Rules of Civil Procedure” in entering judgment.
In a separate case, 7-Eleven accused Syed Kazmi’s KRSM of taking tens of thousands of dollars worth of cigarettes. A judge ruled in favor of 7-Eleven in 2024. KRSM disputed the allegations and argued that 7-Eleven had breached its contract.
The Mansfield lawsuit also alleges that KRSM is not authorized to conduct business in Pennsylvania or New Jersey. State officials have not commented on the allegation.
The case is ongoing, and the allegations against KRSM have not been proven in court.
