Sentencings. the type handled by All-Out be discharged to approve treatment facili es. It was All-Out s prac ce to transport the waste

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1 Washington Sep c Tank Pumping Company Owner Get Prison Sentence for Illegal Sewage Dumping Scheme -- On April 14, 2014, RAY CALDWELL, a Longview, Washington, sep c tank pumping owner, and his company, ALL-OUT SEWER AND DRAIN SERVICE, INC., were sentenced in federal district court for the Western District of Washington for mul ple felony criminal viola ons of the Clean Water Act. Caldwell was found guilty in December 2013, following a bench trial. He was sentenced to 27 months in prison, three years of supervised release, and given a fine of $250,000 for twenty-five counts of viola ng the Clean Water Act, six counts of mail fraud, and two counts of making false statements. The company shares in the $250,000 fine and will be on proba on for three years. In May, a judge will determine the amount of res tu on owed by Caldwell and the company. According to records filed in the case, the defendants scheme to defraud the city of Longview, Cowlitz County, and the Three Rivers Regional Wastewater Authority went on for more than ten years. All-Out was engaged in the business of pumping, hauling, and disposing of sep c tank waste, grease trap waste, and industrial wastewater. Federal, state, and local regula ons require that all trucked and hauled wastes of Video surveillance that captured an illegal discharge the type handled by All-Out be discharged to approve treatment facili es. It was All-Out s prac ce to transport the waste occurring at All-Out Sewer and Drain Service, Inc. to its facility in Longview where it was minimally treated and stored in a 10,000 gallon storage tank. While some of the tank contents were appropriately trucked to approved treatment facili es, a majority of the commingled waste was rou nely dumped down an unauthorized sewer port located on the All-Out facility. Based on video surveillance footage seized by law enforcement authori es, Caldwell and his business partner, Randy Dingus, undertook the illegal discharges in the early morning hours, under the cover of darkness, to avoid being detected by passersby or unsuspec ng employees. When a records review conducted by the city of Longview in 2010 threatened to expose the scheme, the defendants began submi ng false documents underrepor ng the true volume of trucked and hauled waste. This decep on worked un l August 2012 when law enforcement surveillance ac vi es prompted by ci zen complaints revealed the early morning dumping. On August 17, 2012, EPA criminal agents executed a search warrant at the All-Out facility and seized video footage from the company s surveillance system. The footage depicted twenty-four separate illegal dumping incidents over a six week period in July and August of EPA criminal agents returned to the All- Out facility in the early morning of December 18, 2012, a er receiving reports that the illegal dumping was s ll occurring. The agents arrested Caldwell a er observing him using large flexible hoses to dump waste from the storage tank directly into the sewer port. Caldwell was convicted of illegally dumping waste on each of the days captured on the video footage as well as the December 18, 2012 dumping event. Caldwell was also convicted of using the mail system to further his scheme of defrauding the public u li es. Finally, Caldwell was convicted for making false statements in a mandated user survey seeking informa on regarding All-Out s discharges to the sewer system, and for lying to EPA agents when confronted in August Page 8 EPA Bulle n April 2014

2 Plea Agreements Louisiana Wood Trea ng Company Pleads Guilty to Negligently Discharging Waste into City Sewer System On May 23, 2014, COLFAX TREATING COMPANY, LLC, pleaded guilty in federal district court for the Western District of Louisiana to one count of negligent discharge of waste materials in viola on of its daily limit permit. Company representa ve, Johnathan Mar n, pleaded guilty on the company s behalf at the hearing. Sentencing is set for August 1, According to evidence presented at the guilty plea, Colfax Trea ng Company, LLC, a wood trea ng facility in Pineville, Louisiana, negligently discharged pentachlorophenol on June 13, 2008, into Pineville s sewer system, which leads to the publicly-owned water treatment works. The company discharged 7.1 milligrams per liter of the chemical in viola on of the Clean Water Act. The permi ed discharge amount is 5.64 milligrams per liter, which is a difference of 1.46 milligrams per liter. Pentachlorophenol is used in the company s wood trea ng process. The minimum fine for the illegal discharge from the company s property is $2,500 per day of viola on, with a maximum fine of $25,000 per day of viola on. The case was inves gated by EPA s Criminal Inves ga on Division, the Louisiana Department of Environmental Quality, and the FBI. It was prosecuted by Assistant U.S. A orney Joseph G. Jarzabek. Colfax Trea ng Company Pentachlorophenol material from sewer Page 14 EPA Bulle n May 2014

3 Produc on Manager of California Tank Cleaning Company Sentenced for CERCLA Viola on -- Production Manager of California Tank Cleaning Company Sentenced for CERCLA Violation -- On July 24, 2014, JORGE LUQUIN, production manager for Pacific Tank Cleaning in San Diego, California, was sentenced in federal district court for the Southern District of California for a CWA violation stemming from an acid spill that occurred at a Pacific Tank Cleaning facility in March Luquin was sentenced to pay a $5,000 fine and will complete a three-year term of probation. Luquin and the company pleaded guilty on February 20, In March 2011, a valve on a 275-gallon container of acidic tank cleaning solution caused the tank s contents to leak onto the ground, and into a nearby alley and street. The company admitted that although an employee advised management of the spill, the employee in charge of the facility failed to notify the National Response Center. Luquin knew that the tank had leaked, but made no effort to contain the spill outside the facility. Luquin pleaded guilty to a CWA violation and The cleanup of the acid spill outside Pacific Tank Cleaning, Inc. Pacific Tank Cleaning pleaded guilty to a CERCLA violation. The company was sentenced to pay a $50,000 fine, complete a three-year term of probation, and pay $11,238 in restitution to the San Diego Department of Environmental Health Services. Stains on the ground caused by the acid spill The case was investigated by the U.S. EPA Criminal Investigation Division, the FBI, and the San Diego Department of Environmental Health Service, Hazardous Materials Management Division. Page 9 EPA Bulle n July 2014

4 Plea Agreements Two New York Men and Company That Employed Them Plead Guilty to CWA Viola ons -- On September 15, 2014, MARK PULLYBLANK, of Caledonia, New York, WILLIAM CLEMENTS, of Victor, New York, and CRANE-HOGAN STRUCTURAL SYSTEMS, INC., based in Spencerport, New York, pled guilty in federal district court for the Northern District of New York to viola ons of the Clean Water Act. Sentencing will take place on January 23, Crane-Hogan is a company that uses hydro-demoli on to renovate concrete structures. Hydrodemoli on uses high pressure water to remove concrete from buildings such as parking garages, dams, bridges, and highways prior to resurfacing. The waste-water from the hydro-demoli on process contains a slurry of industrial waste including concrete residue which has a highly caus c ph and total suspended solids, both of which are pollutants under the Clean Water Act. Pullyblank was Crane-Hogan s project manager in charge of renova on projects at the Binghamton Governmental Center Parking Garage and Johnson City Wilson Hospital Parking Garage throughout 2008 and He directed workers to discharge concrete slurry into the Susquehanna River for por ons of two years, and into the Binghamton-Johnson City Publically Owned Treatment Works (POTW) during the summer 2009, both without Clean Water Act permits and without treatment for the high ph. Clements was also a project manager in charge of the Johnson City Wilson Hospital Parking Garage renova on who par cipated in the unpermi ed POTW discharges in Pullyblank and Crane-Hogan both plead guilty to felony viola ons of the Clean Pullyblank directed employees to discharge concrete slurry into the Water Act. Clements pled guilty to a misdemeanor Clean Water Act viola on. Pully- Susquehana River. blank faces a maximum possible penalty of three years in prison and a $700,000 fine, plus supervised release therea er. Crane-Hogan faces a maximum fine of $750,000 and five years of proba on. If the plea agreement is accepted by the court, Crane-Hogan will be required to prepare and implement an environmental compliance plan to alter its policies and prac ces so as to reduce the likelihood of future criminal environmental conduct. Clements faces a maximum possible term of incarcera on of one year and a fine of $350,000 plus a term of supervised release. The case was inves gated by EPA s Criminal Inves ga on Division and the New York State Department of Environmental Conserva on, Bureau of Environmental Crimes Inves ga ons, Assistance was provided by the New York State Office of General Services, the Binghamton City Engineer, and the Binghamton- Johnson City Publically Owned Treatment Works. The case is being prosecuted by Assistant United States A orney Craig Benedict. Page 16 EPA Bulle n September 2014

5 Plea Agreements California Business and Its Owner Plead Guilty to Illegal Disposal of Untreated Human Waste and Sewage -- On November 19, 2014, GLAMIS DUNES STORAGE, INC. and its owner, MICHAEL MAMELLI, SR., pleaded guilty in federal district court for the Southern District of California to the illegal underground disposal of poten ally millions of gallons of untreated human waste and sewage at the Glamis Dunes Storage site for more than four years, in viola on of the Safe Drinking Water Act. The Glamis Dunes site adver ses storage services near the Imperial Sand Dunes Recrea on Area. Sentencing is scheduled for February 17, The maximum penalty for Mamelli is three years in prison and up to $250,000 fine or twice the illegal gain or loss, whichever is greater. The maximum penalty for the corpora on is a fine of up to $500,000. Glamis Dunes Storage site The defendants admi ed that in August of 2007, Glamis Dunes Storage obtained a condi onal use permit from Imperial County to install and operate a 20,000 gallon holding tank for RV waste (including human waste and grey water) at the facility. When acquiring the permit, Glamis Dunes Storage represented that the wastewater would be pumped out by a licensed septage hauler and disposed of at the Holtville wastewater treatment plant. According to Glamis Dunes Storage, the holding tank could be expected to dispose of approximately 1,250,000 gallons of RV sewage and grey water per year. The permit specifically prohibited any underground leach system a ached to the holding tank. As the defendants admi ed, however, between February 16, 2010, and March 12, 2010, the defendants arranged for a contractor to build a leach field in the rear of the property, install a pump in the RV holding tank, and connect a pipe directly from the RV holding tank out to the leach field. The defendants also arranged for the power connec on for the pump to be concealed under gravel near the RV holding tank. Therea er, they admi ed that they repeatedly disposed of the human waste and sewage from the RV holding tank by ac va ng the pump and discharging the sewage through the underground leach field. The defendants acknowledged that between August and October of 2012, they had a contractor add a new pump and two 2,500 gallon tanks in series to the pipe connec ng the RV holding tank to the leach field. The defendants con nued to illegally dispose of the sewage in the RV holding tank by discharging it through the underground tanks and leach field without a permit or other authoriza on from the EPA. The defendants agreed to forfeiture of the sum of $50,000, as the proceeds of the offense, and to make res tu on to the Bureau of Land Management and the Imperial County Department of Environmental Health and to fund the restora on of the site to the sa sfac on of the Imperial County Department of Environmental Health. The case was inves gated by EPA s Criminal Inves ga on Division. Page 10 EPA Bulle n November 2014

6 Ohio Metal Plan ng Company Fined for Making Illegal Discharges into Sewer System -- On January 27, 2015, KELLY PLATING COMPANY, a metal-pla ng opera on located in Cleveland, Ohio, was fined $50,000 in federal district court for the Northern District of Ohio for making illegal discharges with high concentra ons of metals such as chrome and zinc into the sewer system, which in turn, a er treatment, discharges to Lake Erie. The company also agreed to make a $25,000 charitable dona on to the Cleveland Founda on, which will be used to improve water quality in Northeast Ohio. Thomas E. White, of Fairview Park, pleaded guilty earlier this year to two counts of making improper discharges. He is scheduled to be sentenced April 16. White was an employee at Kelly Pla ng and responsible for opera ng the equipment which reduced the amount of pollutants discharged into the sewer system to an acceptable level. Star ng around January 28, 2012, White changed the way wastewater at the Kelly Pla ng facility was processed. During the weekdays, White ensured that the pollu on control equipment was operated properly, according to court documents. However, on the weekends White bypassed the pollu on control equipment and discharged par ally treated wastewater and sludge directly into the sewer system. These discharges contained high concentra ons of chrome and zinc. This prac ce ended on May 19, 2012, according to court documents. The case was inves gated by EPA s Criminal Inves ga on Division, the Ohio EPA, the Ohio Bureau of Criminal Inves ga on, and Northeast Ohio Regional Sewer District. It is being prosecuted by Special Assistant U.S. A orney Brad Beeson. The picture to the le shows the discharge point (crock) to the sewer. The piping sec ons that form the crock had been installed to inhibit spills from flowing into the discharge manhole. This picture was taken upon entry into the facility on the date of the search warrant. The permi ed discharge is the hard-piped line going into the bo om of the crock. The source is the pretreatment system behind and to the right of it. The hoses going into the top of the crock are unpermi ed discharge sources. The small hose going into the crock led to the pump depicted in the picture on the right, which was pumping from the pit (sludge holding tank) in the background of the photo. Page 5 EPA Bulle n January 2015

7 Former CEO of Connec cut Manufacturing Company Sentenced for CWA Viola on -- On February 13, 2015, THOMAS H. FARIA, the former chief execu ve officer and president of Faria Limited, LLC, doing business as Sheffield Pharmaceu cals, was sentenced in federal district court for viola ng the Clean Water Act and was ordered to serve three years of proba on, perform 300 hours of community service and pay a $30,000 fine. According to court documents and statements made in court, the Clean Water Act requires that every company obtain a permit from the Connec cut Department of Energy and Environmental Protec on (CT DEEP) before it can discharge its industrial wastewater to the public sewage system, commonly known as the publicly owned treatment works ( POTW ). Companies are also required, among other things, to test and monitor their industrial wastewater monthly to ensure that the chemical levels in the wastewater do not exceed federal and state limita ons. Sheffield Pharmaceu cals has a factory in New London that manufactures a wide range of over-thecounter pharmaceu cal creams, ointments and toothpastes. From approximately 1986 to July 2011, Sheffield discharged industrial wastewater from its New London manufacturing opera ons to the New London POTW without a permit and in viola on of Connec cut s approved pretreatment program. The New London POTW discharges to the Thames River in southeastern Connec cut. During this en re me period, Sheffield lacked a pretreatment system at its factory to treat its industrial wastewater prior to discharge to the New London POTW, performed no regular monitoring of its discharges of industrial wastewater, and submi ed no monthly monitoring reports to the CT DEEP. A er becoming the company s president and chief execu ve officer in April 2003, Faria soon learned through his own employees that Sheffield was discharging pollutants considered toxic under federal environmental law in its industrial wastewater without the required permit. Faria also learned that in order to obtain a permit from CT DEEP, the company would have to install, at significant expense, a wastewater pretreatment system that would pretreat its industrial wastewater prior to discharging it to the New London POTW. Although Faria s own employees urged him to make the financial investment to bring the company into compliance, Faria chose not to do so. On April 20, 2011, the CT DEEP conducted an unannounced inspec on of Sheffield. A er finding that the company had no wastewater discharge permits, the CT DEEP inspector issued a No ce of Viola on and cited the company for discharging manufacturing and laboratory wastewater without a permit. On or about May 27, 2011, Faria Limited, LLC submi ed a permit applica on to CT DEEP so that the company could legally discharge industrial wastewater from its New London facility into the New London POTW. By July 2011, the company had installed a wastewater pretreatment system at its factory to pretreat the pollutants contained in its industrial wastewater prior to its discharge to the New London POTW. On July 8, 2014, Faria waived his right to indictment and pleaded guilty to one count of knowingly viola ng, or causing to be violated, the Clean Water Act. As a condi on of his guilty plea, Faria resigned from the company on March 7, 2014, and shall have no role in the opera ons or management of Faria Limited. He now resides in Portland, Oregon. The case was inves gated by EPA s Criminal Inves ga on Division and the Connec cut Department of Energy and Environmental Protec on. It was prosecuted by Assistant U.S. A orney Hal Chen and Special Assistant U.S. A orney Peter Kenyon. Page 9 EPA Bulle n February 2015