Officials found one registration number said to have delivered tonnes of glass actually belonged to a Harley-Davidson motorbike - another was that of a "small Fiat".
Two businessmen have each been jailed for four years after admitting a £3.1m fraud of the Government's glass recycling subsidy system.
Andrew Thomas, 46, of Cefn Road, Bonymaen, Swansea, and Paul Thomas, also 46, of Morriston, Swansea, were also both disqualified from being directors of a business for 10 years.
The pair ran Llandarcy-based Nationwide Recycling Ltd whose clients at one time included Welsh local authorities.
Tim Evans, prosecuting at Swansea Crown Court, explained that, under government regulations, Nationwide Recycling had the right to sell certificates known as Packaging Recovery Notes (PRNs) to companies which were potential polluters due to using large amounts of glass.
Mr Evans said the pair began falsifying registrations of lorries they claimed were bringing in large loads of waste glass to the site. The more glass they recycled the more PRN certificates they could sell.
Financial investigations under the Proceeds of Crime Act found Paul Thomas had a yacht worth £90,000 moored in Spain, proceeds from the sale of houses in Llanelli and some land.
And Andrew Thomas once had a £111,000 Audi R8 as his car and a BMW 4X4 as his company vehicle, and also went on a three-week holiday to Thailand paid for by the company.
But the fraud started to unravel after officials, acting on a tip-off, started checking at the DVLA the registration details of lorries said to have been dropping off glass at Nationwide Recycling.
They found one registration number said to have delivered tonnes of glass actually belonged to a Harley-Davidson motorbike and another was that of a "small Fiat".
Jailing the two men at Swansea Crown Court, Judge Keith Thomas told them: "I've no doubt you spent large amounts of money on garish tokens of wealth and lived your lives beyond legitimate means.
"The subsidy system is an important tool in controlling environmental waste and pollution, but it requires the good faith and honesty of those involved for it to operate effectively."
The judge added the two had "undermined public confidence" in the recycling system.
The judged ruled Andrew and Paul Thomas, both directors and "guiding hands" of Nationwide Recycling, benefited to the tune of £1,569,000 from the fraud.
But after exhaustive inquiries into available assets he made confiscation orders of just over £200,000 fore each defendant, or an extra 32 months in jail if the sum was not paid in six months.
He said Andrew Thomas' evidence regarding his finances was "unreliable and dishonest" and said he believed he could have hidden assets.
Undercover surveillance was carried out at Nationwide's premises and it was found in just one month in 2009 a total of £19,000 worth of PRNs was over-claimed.
While the company's records showed 29 loads of glass had come in during the month, surveillance showed only 10 had actually come in.
Both men had no previous relevant convictions and were described as honest and hard working up to the time of the fraud.
The court heard Nationwide Recycling Ltd was now in liquidation but had creditors who had not been paid.
Nominal £100 fines were given to the firm for Issuing PRN certificates for waste that had not been received and two offences of operating contrary to Environmental Permitting (England and Wales) Regulations.
Both Paul Thomas and Andrew Thomas admitted conspiracy to commit fraud, money laundering and breaching environmental regulations.
Lead officer in the case, John Rock, of Natural Resources Wales said: "As regulators of the waste industry, we have to make sure that all companies operate legally to make sure there is a level playing field. "Occasionally, there are those who break the law simply to profit from their activities and this will not be tolerated.
"In this case, the actions of the offenders have undermined the recycling markets and industry which are vital to make sure the waste we all produce is not sent to landfill.
"People who do consider breaking the law simply to make money must understand that not only will they be punished for their offences, the profits they make are also at risk."
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