Zachary, Louisiana – Pipe manufacturer Amitech USA, LLC, was slapped with over $1.17 million in fines and sentenced to three years of probation after admitting to knowingly operating its Louisiana facility without proper emission controls, a violation of the Clean Air Act. The case, stemming from a citizen’s complaint and a subsequent multi-agency investigation, revealed years of unchecked styrene emissions into the surrounding community.
The investigation, launched in 2006, determined that Amitech’s Zachary plant had been producing pipe since 2002 without a functioning condenser – a crucial device designed to limit the release of styrene, a synthetic chemical classified as a possible human carcinogen by the Environmental Protection Agency (EPA). While the equipment was present on site, investigators found it had remained non-operational throughout the plant’s early years due to mechanical issues. Instead of addressing the problems and reporting the violations, Amitech allegedly continued production and sold illegally manufactured pipe to international buyers, including governments in Venezuela and Jordan.
Illegally Gained Profits
Federal prosecutors argued that Amitech deliberately concealed the lack of emission controls to maximize profits, knowingly disregarding environmental regulations and potentially endangering the health of nearby residents. The company ultimately pled guilty to violating 42 U.S.C. 7413(c)(2)(A) – knowingly making false statements in environmental reporting – on May 17, 2007. The sentencing included a $1,070,000 federal fine, $100,000 in restitution ($80,000 to the Louisiana State Police Right to Know Fund and $20,000 to the Louisiana Department of Environmental Quality), and a 24-month probationary period.
Plant Manager Also Faces Consequences
The investigation didn’t stop with the corporation. William S. McCann, the former plant manager, was also charged with negligently releasing pollutants into the air, a violation of 42 U.S.C. 7413(c)(4). McCann initially pled guilty in May 2007 and later received a sentence of 60 months probation, a $25 special assessment fee, $25,000 in restitution (split between the LDEQ and Louisiana State Police), and a $50,000 federal fine on December 6, 2007. His knowledge of the malfunctioning equipment and failure to report the issue were key factors in his conviction.
Multi-Agency Cooperation
The successful prosecution was a collaborative effort involving the EPA’s Criminal Investigation Division, the Louisiana State Police, the Louisiana Department of Environmental Quality, and the U.S. Attorney’s Office. Officials from all agencies emphasized the importance of interagency cooperation in combating environmental crimes. “This office will continue to aggressively pursue both individuals and organizations who violate the environmental laws,” stated U.S. Attorney David R. Dugas at the time of the sentencing. “Such violations often jeopardize the health and welfare of the citizens of Louisiana and will not be tolerated.”
A Warning to Industry
The Amitech case serves as a stark reminder that environmental compliance is not optional. The EPA’s Assistant Administrator of the Office of Enforcement and Compliance Assurance, Granta Y. Nakayama, underscored this point, stating, “Criminal enforcement is a top priority precisely because defendants like Amitech knowingly disregard the law to make illegal profits…Emission controls protect the air we breathe and when companies and their managers violate the law, they will be vigorously prosecuted.”
Key Facts
- Defendant: Amitech USA, LLC
- Crime: Clean Air Act Violations (Failure to report unpermitted emissions)
- Location: Zachary, Louisiana
- Year: 2008 (charges filed in 2006-2007, sentencing concluded in 2007-2008)
- Statutes Violated: 42 U.S.C. 7413(c)(2)(A), 42 U.S.C. 7413(c)(4)
- Penalties: $1,070,000 fine (Amitech), 3 years probation (Amitech), $50,000 fine & 60 months probation (McCann), $25,000 restitution (McCann)
- Pollutant: Styrene (possible human carcinogen)
Source: EPA ECHO Enforcement Case Database
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