Compliance and Enforcement

Michigan Computer Company Owner Sentenced for International Environmental, Counterfeiting Crimes

From the USEPA Office of Criminal Enforcement, Forensics, and Training

Environmental Crimes Case Bulletin for March 2013

On March 25, 2013, MARK JEFFREY GLOVER was sentenced in federal district court for the Eastern District of Michigan to 30 months in prison and a $10,000 fine.  His company, DISCOUNT COMPUTERS, INC. (DCI), was fined 2 million dollars, including $10,839 in restitution to Michigan landlord, for trafficking in counterfeit goods and services.  DCI was also sentenced for storing and disposing of hazardous waste without a permit.  Glover pleaded guilty to the charges on his behalf and that of his company in October 2012.
DCI, headquartered in Canton, Michigan, with warehouses in Maryland Heights, Mo., and Dayton, N.J., operated as a broker of used electronic components, including computers and televisions.  DCI resold working and disassembled broken items, selling them for scrap. A large part of DCI’s business involved exporting used cathode ray tube (CRT) monitors to countries in the Middle East and Asia.  Egypt prohibits the importation of computer equipment more than five years old.  To evade this, all three DCI locations replaced the original factory labels on used CRT monitors with counterfeit labels, which reflected a more recent manufacture date.  Over a five-year period, DCI sent at least 300 shipments to Egypt, with a total shipment value of at least $2.1 million, constituting more than 100,000 used CRTs monitors.  Under federal law it is illegal to knowingly use a counterfeit mark on or in connection with goods and services for the purpose of deceit or confusion.

It is also illegal to store and dispose of hazardous waste, which includes certain electronic waste, or e-waste, without a permit.  Glass from older CRT monitors is known to contain levels of lead, a known toxic hazardous waste. When deposited in landfills, the lead can leach out and contaminate drinking water supplies.  These CRT monitors are required to be disposed of as hazardous waste under the Resource Conservation and Recovery Act.  By exporting older CRTs with fraudulent manufacture dates, Mark Jeffrey Glover sent a large quantity of older e-waste overseas, thus subjecting it to improper recycling, increasing the potential for environmental and human exposure to hazardous materials.

E-waste disposal is a global concern.  Used electronic equipment contains more than 1,000 different substances, including toxic heavy metals and organics that, if disposed of improperly, can cause significant pollution problems.  Improper e-waste disposal is common in third world and developing countries because they are ill equipped to conduct safe, appropriate recycling, refurbishing, and disposal.  It is also common in these countries to find black-market recycling groups that extract valuable metals from e-waste without regard for the safety of their impoverished employees who are exposed directly to toxic materials.

This case was investigated by EPA’s Criminal Investigation Division and U.S. Department of Homeland Security–Homeland Security Investigations, Detroit. It was prosecuted by the U.S. Attorney’s Office in the Eastern District of Michigan by Assistant U.S. Attorney Jennifer Blackwell.

Is your e-waste and e-scrap being handled and disposed of properly?  Have you performed an audit of your e-waste recycling company?  Do you know their status?  It is important to be aware that even commonplace items like a computer can be a hazardous waste if not recycled properly.  Proper training for you and your employees will help to raise awareness of this and other regulatory concerns of hazardous waste generators.

New York Coke Maker and Environmental Control Manager Convicted of CAA and RCRA Crimes

From the USEPA Office of Criminal Enforcement, Forensics, and Training

Environmental Crimes Case Bulletin for March 2013

On March 28, 2013, TONAWANDA COKE CORPORATION (TCC) was convicted by a federal jury in federal district court for the Western District of New York of 11 counts of violating the Clean Air Act and three counts of violating the Resource Conservation and Recovery Act.  In addition, Tonawanda Coke Environmental Control Manager, MARK L. KAMHOLZ, of West Seneca, N.Y., was found guilty of 11 counts of violating the Clean Air Act, one count of obstruction of justice and three counts of violating the Resource Conservation and Recovery Act.  The charges carry a maximum combined penalty up to 75 years in prison and fines in excess of $200 million.  Sentencing is scheduled for July 15, 2013.

The offenses related to the release of coke oven gas containing benzene into the air through an unreported pressure relief valve. In addition, a coke-quenching tower was operated without baffles, a pollution control device required by TCC’s Title V Clean Air Act permit designed to reduce the particulate matter that is released into the air during coke quenches.  In addition, prior to an inspection conducted by EPA in April of 2009, Kamholz told another TCC employee to conceal the fact that the unreported pressure relief valve, during normal operations, emitted coke oven gas directly into the air, in violation of the TCC’s operating permit. The defendants also stored, treated and disposed of hazardous waste without a permit to do so, in violation of the Resource Conservation and Recovery Act. These offenses related to TCC’s practice of mixing its coal tar sludge, a listed hazardous waste that is toxic for benzene, on the ground in violation of hazardous waste regulations.  The case was investigated by EPA’s Criminal Investigation Division and investigators of the New York State Department of Environmental Conservation Police.

Determining the Effective Date for the Retention of Records for Hazardous Waste Generators per the Requirements of RCRA

The hazardous waste regulations of the Resource Conservation and Recovery Act (RCRA) require Large Quantity Generators (LQG) and Small Quantity Generators (SQG) of hazardous waste to retain a copy of certain documents as a record of compliance.  While there are slight variations in where and how the records are to be maintained (refer to this article on RCRA’s recordkeeping requirements), there are two points on which the regulations agree:

  1. Records must be made available to an agent of the USEPA or an authorized state upon request.
  2. Records must be maintained for three (3) years from the effective date of the compliance document.

This article will identify the effective date for record retention of documents generated per the the hazardous waste regulations of the USEPA.  Keep in mind that your State may add additional recordkeeping requirements on top of those identified below. (more…)

Federal Court Approves Settlement of Environmental Claims Against Weylchem US, Inc. Facilities in Elgin and Lugoff, South Carolina

PRESS NOTICE

BILL NETTLES
UNITED STATES ATTORNEY
DISTRICT OF SOUTH CAROLINA
1441 Main Street, Suite 500 * Columbia, SC 29201 * (803) 929-3000
March 26, 2013

FOR IMMEDIATE RELEASE
CONTACT PERSON: James Leventis, AUSA
  James.Leventis@usdoj.gov                                    
  (803) 929-3172

  Dawn Harris-Young
Harris-Young.Dawn@epa.gov
(404) 562-8421

COLUMBIA – U.S. Attorney Bill Nettles, the U.S. Department of Justice and the U.S. Environmental Protection Agency announced today that United States District Court Judge Cameron Currie approved a consent decree with Weylchem US, Inc. to resolve alleged violations of federal and state air, water, and solid waste pollution laws at Weylchem’s specialty chemical manufacturing facility in Elgin and its wastewater treatment plant in Lugoff.  Under the consent decree, Weylchem agreed to perform corrective action measures and to pay a civil penalty of $500,000, of which $175,000 will be paid to the South Carolina Department of Health and Environmental Control. (more…)

Spray Products Corp. Settles Hazardous Waste Violations at Montgomery County, Pa. Facility

PHILADELPHIA (March 25, 2013) — Spray Products Corp. has agreed to pay a $25,000 penalty to settle alleged violations of hazardous waste regulations at its manufacturing facility in Plymouth Meeting, Pa., the U.S. Environmental Protection Agency announced today.

EPA cited Spray Products for violating the Resource Conservation and Recovery Act (RCRA), the federal law governing the treatment, storage, and disposal of hazardous waste. RCRA is designed to protect public health and the environment, and avoid costly cleanups, by requiring the safe, environmentally sound storage and disposal of hazardous waste.

Following an inspection by officials from EPA and the Pennsylvania Department of Environmental Protection, EPA cited the company for RCRA violations involving hazardous waste stored at the facility, including waste solvents, waste acetone, waste heptanes, and universal waste lamps.

The alleged violations included: (more…)

Collis Inc to Pay $31,379 Civil Penalty for Hazardous Waste Violations in Clinton, Iowa

Release Date: 04/02/2013

Contact Information: Ben Washburn, 913-551-7364, washburn.ben@epa.gov

(Lenexa, Kan., April 2, 2013) – Collis Inc, a manufacturer of metal racks and shelving brackets for refrigerators, has agreed to pay a $31,379 administrative civil penalty to settle several Resource Conservation and Recovery Act (RCRA) violations in Clinton, Iowa.

In addition to paying the civil penalty, the company will spend a minimum of $91,809 to replace high-mercury fluorescent fixtures with low-mercury fixtures and bulbs, and complete a project to reduce the generation of hazardous solvent waste as part of a Supplemental Environmental Project.

According to an administrative complaint filed by EPA Region 7 in Lenexa, Kan., EPA representatives conducted a compliance evaluation inspection at the company’s Clinton, Iowa, facility in June 2010, and noted several RCRA violations. RCRA regulates the storage, handling, and labeling of hazardous waste.

“The penalty and injunctive relief required by this agreement remind not just Collis, but all businesses subject to RCRA, that fulfilling environmental-protection duties is part of their job,” EPA Region 7 Administrator Karl Brooks said. “The Supplemental Environmental Project is another element of the case that will help to further protect human health and the environment for the people of Clinton.”

The violations at Collis included failure to perform a hazardous waste determination, storage of hazardous waste without a RCRA permit, and failure to manage used oil and universal waste in accordance with applicable regulations. Collis is still addressing requirements from a RCRA Corrective Action Order filed by EPA in 1993.

By agreeing to the settlement with EPA, Collis Inc has certified that it is now in compliance with all requirements of the RCRA regulations.

RCRA training is a good way to ensure that these types of violations don’t happen to you.  Contact me to schedule the training you need in the format (Public Seminar, Onsite, Web-Based, or Self-Guided) of your choice.

Teva Pharmaceuticals USA to Pay $2.25M Civil Penalty for Air, Water, and Hazardous Waste Violations at Mexico, Mo., Facility

EPA News Release (Region 7): Teva Pharmaceuticals USA to Pay $2.25M Civil Penalty for Air, Water, and Hazardous Waste Violations at Mexico, Mo., Facility
03/14/2013

Contact Information: Chris Whitley, 816-518-2794 (cell), 913-551-7394 (office), whitley.christopher@epa.gov

(Lenexa, Kan., March 14, 2013) – Teva Pharmaceuticals USA Inc. has agreed to pay a $2.25 million civil penalty to settle alleged violations of the federal Clean Air Act (CAA), Clean Water Act (CWA), Resource Conservation and Recovery Act (RCRA), and the State of Missouri’s Air Conservation Law, Clean Water Law, and Hazardous Waste Management Law at the company’s facility in Mexico, Mo., the Justice Department, EPA and the Missouri Department of Natural Resources announced today.

 A 2007 inspection of the Missouri facility revealed violations of the CAA. The violations included failure to control emissions of hazardous air pollutants from wastewater and failure to comply with regulations designed to prevent leaks of air pollutants from equipment at the facility.

 In 2007, an EPA inspection found the Teva facility was discharging pollutants above permitted levels established by the City of Mexico’s Pretreatment Program, in violation of the CWA. In some cases, these pollutants were causing interference with the city’s ability to treat its domestic sewage, leading to pollutant discharges into the Salt River. A 2008 inspection found that Teva was discharging a green effluent that ultimately discolored a portion of the Salt River in November and December 2008.

 In 2009, an inspection by the Missouri Department of Natural Resources uncovered various RCRA violations. These violations included failure to determine if waste was hazardous, illegal storage of hazardous waste, failure to comply with labeling requirements, and offering hazardous waste for transport without a manifest.

 “This settlement penalizes Teva for multiple violations of U.S. environmental laws when it allowed excess emissions of hazardous air pollutants from Teva’s wastewater treatment facility and excess discharges of pollutants into the City of Mexico, Missouri’s wastewater treatment facility,” said Ignacia S. Moreno, the Assistant Attorney General for the Justice Department’s Environment and Natural Resources Division. “The agreement is protective of human health and the environment because it requires Teva to offset its excess emissions, install modern equipment that will increase the recovery and reuse of hazardous pollutants and reduce air emissions, as well as enhance its leak prevention capability.”

 “With numerous violations over a period of years, Teva’s actions resulted in significant environmental damage to the air and water,” said EPA Region 7 Administrator Karl Brooks. “The penalty and injunctive relief required by this agreement send a strong message to Teva and others that businesses must comply with environmental laws.”

 Teva’s $2.25 million penalty includes a $1.125 million payment to the U.S. Treasury and a $1.125 million payment to the State of Missouri.

 In addition to the penalty, Teva will complete other actions at the facility valued at approximately $2.5 million. These include the installation of equipment to recover and reuse approximately 59.5 tons of methylene chloride and reduce other emissions by 19 tons over a five-year period. Teva will also conduct an audit to identify past causes of CWA violations, implement a program to prevent leaks of hazardous air pollutants at the facility, take actions to prevent future violations, and implement an Environmental Management System with third-party monitoring.

 As a result of this Consent Decree, Teva has certified that it is in full compliance with CAA, CWA and RCRA regulations.

Phillips 66 Company Settles Hazardous Waste Violations at its Former Refinery in Trainer, Pa.

US EPA News Release:

PHILADELPHIA (Jan. 22, 2013) — Phillips 66 Company has agreed to pay a $50,000 penalty to settle alleged violations of hazardous waste regulations at its former refinery located in Trainer, Pa., the U.S. Environmental Protection Agency announced today.

Phillips 66 Company is the successor to ConocoPhillips Corporation, which owned the refinery at 4104 Post Rd., Trainer, Pa. The facility was sold to Monroe Energy, a subsidiary of Delta Airlines in 2012.

EPA cited the company for violating the Resource Conservation and Recovery Act (RCRA), the federal law governing the treatment, storage, and disposal of hazardous waste. RCRA is designed to protect public health and the environment, and avoid costly cleanups, by requiring the safe, environmentally sound storage and disposal of hazardous waste.

Following two inspections in 2011 and 2012 by EPA and subsequent requests for information, EPA cited Phillips 66 for RCRA violations involving hazardous waste stored at the facility, including oil refinery hydrocarbon waste, chromium waste, heavy metal waste from batteries, and mercury waste from fluorescent bulbs.

The alleged violations included operating a hazardous waste treatment, storage or disposal facility without a permit, failure to keep several hazardous waste containers closed except when necessary to add or remove waste, failure to update the company’s contingency plan following a change in emergency coordinators, failure to maintain hazardous waste management personnel designations and job descriptions, and failure to properly manage universal waste batteries and waste lamps.

The settlement penalty reflects the company’s compliance efforts, and its cooperation with EPA in the resolution of this matter. As part of the settlement, Phillips 66 Company has neither admitted nor denied liability for the alleged violations.

For more information about hazardous waste and RCRA, visit http://www.epa.gov/epawaste/hazard/index.htm.

Free Stuff From the US EPA – RCRA in Focus

Contrary to what you may believe, the US EPA is not all about enforcement.  Part of US EPA’s mission is to provide information to the regulated community in the form of guidance documents whose purpose is to summarize the regulations in plain English and indicate sources of additional information.

When referring to a guidance document it is important to keep the following in mind:

  • No guidance document – even one published by the US EPA – is a substitute for the regulations.  A good guidance document may only provide an overview of the regulations, if you find some of its information useful you must research the regulations to determine compliance.
  • The regulations may have changed since the guidance document was written.
  • If the document is issued by the US EPA you may have to confirm the information with your state environmental agency.  All states except for Iowa, Alaska, & Puerto Rico have approved hazardous waste programs under RCRA and will write and enforce their own regulations.  These states will have their own guidance documents to explain their regulations.

An example of a series of very helpful guidance documents issued by US EPA is the RCRA in Focus series.  From the website:

RCRA in Focus is a series of publications providing an overview of the RCRA regulations affecting specific industry sectors. Intended as a guide for small businesses, RIF presents the lifecycle of a typical waste for each industry and focuses on recycling and pollution prevention options. Each issue contains a hazardous waste table of RCRA requirements for small businesses and answers frequently asked questions.

Industry for which RCRA in Focus publications are available:

Guidance documents are available for download as a pdf or you may order copies through the mail (limit to ten different publications and one of each per day).

Publications like these can be a great asset in maintaining compliance with the hazardous waste regulations of the US EPA and your state, especially if you are one of the industry listed above.  Also helpful is training.  Contact me for a free consultation on your training needs.

Exide to pay $225,000 fine for EPA violations at Frisco plant

By Anthony Tosie, atosie@starlocalnews.com

Following several years of violating federal environmental regulations with its Frisco lead-acid battery recycling plant, Exide Technologies has agreed to pay a $225,000 fine to the Environmental Protection Agency.

The fine comes as the result of violations the agency found at the Frisco plant in regards to the Resource Conservation and Recovery Act following December 2009 and December 2010 inspections. Exide has paid similar fines for violating other federal laws in recent years.

Violations were found regarding the spread of dust, handling of waste and maintenance of required equipment, among other issues.

One such violation, according to the settlement, occurred when “EPA [officials] collected evidence during the 2009 and 2010 facility inspections showing that the hood installed at the reverberatory furnace was a partial hood enclosure that has openings which allow fugitive emissions to escape.”

Another violation the EPA states its officials witnessed included Exide vehicles failing to use a vehicle wash after visiting the plant’s raw materials storage building. The settlement agreement also claims Exide was unable to provide records for several safety and health requirements, such as a full plan for preventing the spread of dust emissions.

As part of the settlement, Exide will continue testing samples of solid waste according to guidelines given by the EPA. The company is also required to continue working with the Texas Commission on Environmental Quality for the remediation of contaminated land.

Exide has 30 days from the settlement’s Dec. 18 filing to pay the $225,000 fine.

The Frisco-based battery recycling plant is currently in the process of being demolished following an agreement with the city. Part of that process includes TCEQ-overseen decontamination of the land the plant resides on as well as the proper disposal and cleaning of facilities and equipment prior to demolition.

Exide is currently accepting questions regarding the plant’s closure at its website. Earlier this week, the company posted an action plan regarding the landfill on the site which is home to hazardous materials.

According to that plan, however, Exide will retreat the hazardous materials currently in the landfill until analysis finds the materials to be in compliance with federal standards. After the materials comply with federal standards, the materials will be placed back in the landfill.

The company’s website is currently accepting questions on the landfill action plan. To read the plan or submit a question, click here.