Cedyco Corporation, Unlawful Discharges of Oil, Louisiana 2023

Delaware Company Pleads Guilty to Unlawful Discharges of Oil in Jefferson Parish, Louisiana

Cedyco Corporation, a Delaware company with headquarters in Houston, pleaded guilty to negligently discharging oil into the bayous of Jefferson Parish, Louisiana, the Environmental Protection Agency (EPA) announced.

The company pleaded guilty to three counts of violating the Federal Water Pollution Control Act (Clean Water Act). The Clean Water Act makes it a misdemeanor to negligently discharge harmful quantities of oil into navigable waters of the United States.

According to the plea agreement, Cedyco agreed to pay a criminal fine of $557,000. All of the fine money will be directed to the Oil Spill Liability Trust Fund to aid the U.S. Coast Guard in responding to future oil spills. Additionally, Cedyco also agreed to cease operations and divest itself of all hydrocarbon business interests in the state of Louisiana.

“Cedyco is being held accountable for its neglectful operations and poor management, which repeatedly resulted in illegal discharges of oil into the sensitive Louisiana bayou,” said Ignacia S. Moreno, Assistant Attorney General for the Environment and Natural Resources Division at the EPA. “Those who are permitted to develop energy resources in proximity to delicate ecosystems must do so in a sound and responsible manner or they will be held accountable for violations of the law.”

“The protection of our precious environment is a critical mission which we take very seriously,” said Jim Letten, U.S. Attorney for the Eastern District of Louisiana. “Simply stated, we will not tolerate negligence by the companies which are required by law to operate facilities carefully in order to protect our people and environment.”

MANDATORY FACTS

The defendant/respondent is Cedyco Corporation, a Delaware company with headquarters in Houston. The exact criminal charges are three counts of violating the Federal Water Pollution Control Act (Clean Water Act). The city and state are Jefferson Parish, Louisiana. The exact date of the crime is not specified, but the plea agreement was announced on 2023. The sentence or outcome is a $557,000 fine, which will be directed to the Oil Spill Liability Trust Fund.

Cedyco Corporation, a Delaware company with headquarters in Houston, pleaded guilty to negligently discharging oil into the bayous of Jefferson Parish, Louisiana. The company’s facilities were poorly maintained and operated without plans and permits required by regulations issued by the Louisiana Department of Environmental Quality (LDEQ) as administrator of the federal Clean Water Act. Cedyco’s negligent operation and poor maintenance of three of its facilities in Jefferson Parish led to harmful discharges of oil into the navigable waters of the United States. The three facilities are the tank battery known as the “Bayou St. Denis facility,” the production and storage facility known as the “Bayou Dupont facility,” and the production well adjacent to the Bayou Dupont facility known as “Well #10.”

Cedyco Corporation agreed to cease operations and divest itself of all hydrocarbon business interests in the state of Louisiana. The company’s guilty plea sends a clear message that companies that refuse to operate lawfully and pollute our waters, threatening people’s health and the environment, will be vigorously prosecuted. The successful prosecution of Cedyco does this, and the protection of our precious environment is a critical mission which we take very seriously.

Source: EPA

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