Cheery Way, Inc. and Elaine Chiu, Clean Air Act Violation, Louisiana 2018

A California woman and her company have been sentenced for their role in a Clean Air Act violation in Louisiana, 2018. Cheery Way, Inc. and Elaine Chiu, a 60-year-old resident of San Francisco, California, were sentenced to five years of probation, a $500,000 fine, and $162,520 in restitution to workers for medical monitoring costs.

According to court documents, on or about April 2, 2011, in the Eastern District of Louisiana, Cheery Way, Inc. and Chiu did knowingly fail to notify and report to the Louisiana Department of Environmental Quality the demolition of the Mississippi Queen Riverboat, which contained regulated asbestos containing material, to wit: wall and ceiling tiles, at least ten days prior to the start of the demolition as required by the Clean Air Act, in violation of Title 42, United States Code, Section 7413(c)(2)(B) and Title 40, Code of Federal Regulations, Section 61.145(b).

Chiu and agents of Cheery Way, Inc. had been informed that samples of the wall and ceiling tiles on the old riverboat contained asbestos. However, Cheery Way, Inc. did not inform the demolition contractor they hired that sampling had been performed. The inexperienced demolition contractor told Chiu and Cheery Way, Inc. that he did not believe the vessel contained any asbestos. As a result, workers were not required to take any precautions against the release of asbestos.

After receiving a tip about the worksite, the Louisiana Department of Environmental Quality issued the site a Notice of Deficiency and work was stopped. The site was thereafter remediated by another Chiu company at a cost of $245,248.23.

During her five-year term of probation, Chiu is prohibited from participating in any capacity in the construction, demolition, or renovation business anywhere in the United States and must ensure that none of the companies she owns or operates will engage in the construction, demolition, or renovation business. Similarly, neither Cheery Way, Inc. nor its agents or employees will engage in the construction, demolition, or renovation business anywhere in the United States.

Unsafe handling of asbestos endangers human health and can seriously harm the environment, said Ted Stanich, Acting Director for the U.S. EPA-Criminal Investigation Division. The defendants knowingly put unsuspecting workers at great risk and threatened the health and safety of the general public. This case should serve notice that when companies and their top managers put Americans at risk, EPA and its partner agencies will hold them accountable.

MORE FEDERAL CRIME NEWS

Public Corruption

Alabama Port Corruption, Alabama 1923

Aug 13, 1923

Public Corruption

Adam Lavertue, Embezzlement, Massachusetts 2019

Sep 9, 2019

Public Corruption

Autobuses Ejecutivos LLC, ADA Violations, Texas 2009

Mar 9, 2011

Public Corruption

Earle Hodges, Public Corruption, Des Moines IA, 1911

Sep 15, 1911