David Jakob Olsen, Asbestos Removal Violation, Michigan 2008

BELLEVILLE, MI – A Michigan demolition foreman was penalized and several individuals connected to a New York-based property management company faced federal charges following an illegal asbestos removal operation at the Harbour Club Apartment Complex in Belleville, MI, in 2008. The case, brought by the Environmental Protection Agency (EPA) and investigated by the Michigan Department of Environmental Quality (MDEQ), exposed a deliberate disregard for public health and environmental regulations.

According to court documents, GFI Management, owners of the Harbour Club Apartments, contracted with Excel Demolition to demolish a fire-damaged building on the property. Prior to the demolition, GFI received an asbestos survey indicating the presence of over 30,000 square feet of asbestos-containing material (ACM). The estimated cost for safe abatement was $127,000. Instead of proper abatement, a cost-cutting scheme was allegedly implemented, leading to the dangerous and illegal removal of the hazardous material.

MDEQ investigators discovered that Excel Demolition, under the direction of foreman David Jakob Olsen, utilized Labor Ready personnel – including three employees and several unidentified workers – to remove the spray-on ACM from the apartment ceilings. Workers were reportedly equipped with only snow shovels and plastic bags, offering minimal protection against asbestos exposure. Debris containing ACM was scattered throughout the demolition site. Samples confirmed the presence of the dangerous substance, indicating a widespread contamination risk.

The operation was overseen by Joe Terranova, a Project Manager for GFI Management Services. Charlie DeVito (later revealed to be Peter DeFilippo), a Senior Project Manager at Excel Demo, was responsible for managing the demolition project at the company level. Investigators allege a conscious effort to bypass federal regulations and minimize costs at the expense of worker and public safety. The scheme involved knowingly failing to follow proper asbestos handling procedures as outlined by the National Emissions Standards for Hazardous Air Pollutants (NESHAP).

Federal charges were filed in July 2010. David Jakob Olsen pled guilty to one count of conspiracy (18 U.S.C. 371) and one count of negligent violation of the Clean Air Act (42 U.S.C. 7413(c)(1)) in July 2011, receiving a $10,000 federal fine. Peter DeFilippo also pled guilty to conspiracy, making false statements (18 U.S.C. 1001), and violating the Clean Air Act, and was sentenced to 13 months incarceration, 24 months probation, and a $5,000 fine. Joe Terranova pled guilty to conspiracy and making false statements and received 24 months probation and a $10,000 fine.

Key Facts

Defendant: David Jakob Olsen, Joe Terranova, Peter DeFilippo
Location: Harbour Club Apartment Complex, Belleville, MI
Date of Violation: June 27-28, 2008
Laws Violated: 18 U.S.C. 371 (Conspiracy), 18 U.S.C. 1001 (False Statements), 42 U.S.C. 7413(c)(1) & (c)(4) (Clean Air Act violations)
Asbestos Amount: Over 30,000 square feet of ACM illegally removed
Penalties: Fines ranging from $5,000 to $10,000, and up to 13 months incarceration.

This case serves as a stark reminder of the dangers of asbestos exposure and the critical importance of adhering to environmental regulations. Improper asbestos handling can lead to serious health problems, including lung cancer, asbestosis, and mesothelioma. The EPA continues to aggressively pursue enforcement actions against those who knowingly endanger public health and the environment.

Source: EPA ECHO Enforcement Case Database

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