A major fuel supplier, Mansfield Oil Company, has filed a lawsuit against New Jersey distributor KRSM Inc. and its president, Syed Kazmi, in the U.S. District Court for the Eastern District of Pennsylvania. The suit claims KRSM failed to pay nearly $4 million for gasoline later sold at Freedom Fuel Network stations, a brand promoted by President Donald Trump.

According to court documents, KRSM allegedly withdrew about 1.1 million gallons of fuel—worth $3,998,868.46—from Mansfield’s account at the Twin Oaks terminal in Pennsylvania between May 21 and July 7. Mansfield claims KRSM then supplied some of this fuel to stations operating under the Freedom Fuel Network, which gained attention during President Trump's push for lower gas prices.

Mansfield says a technical glitch delayed the delivery of invoices until July, after which adjusted bills were sent to KRSM on July 17. The complaint alleges KRSM rejected attempts to collect payment electronically. Mansfield argues that KRSM was able to sell gas at lower prices because it had not paid for the fuel.

KRSM, however, disputes these charges. In a statement, Kazmi argued the amounts claimed were inaccurate and that the dispute centers on the pricing Mansfield applied. KRSM maintains that it raised concerns about the invoices before any lawsuit was filed.

Judge Gerald Austin McHugh lifted a previous order freezing a KRSM bank account but required the company to keep at least $2.75 million in the account as the legal process continues.

The Freedom Fuel Network, which describes itself as a private company, responded to President Trump’s call for lower gas prices by rolling out price cuts at participating stations in the greater Philadelphia area. The company claims these cuts led to volume gains of over 50 percent at 25 stations, though these numbers have not been independently verified.

The case remains active as both sides prepare for further court hearings, with millions of dollars and the reputation of the Trump-promoted fuel brand at stake.

The Herd with Colin Cowherd