Douglas Bennett, Hazardous Waste Fraud, Illinois 2007

Newman, IL – A years-long scheme to illegally handle and dispose of hazardous waste at Hydromet Environmental (USA), Inc. in Newman, Illinois, culminated in multiple guilty pleas and sentencing in 2007, according to federal court records. The investigation, spearheaded by the Environmental Protection Agency (EPA), revealed a deliberate effort by company employees to circumvent regulations under the Resource Conservation and Recovery Act (RCRA).

The conspiracy, spanning from 1999 to 2003, involved multiple individuals who allegedly falsified records and actively concealed the true nature of the waste being processed at the facility. Rather than properly managing hazardous materials, Hydromet employees are accused of illegally storing waste offsite, deliberately hiding it from regulatory inspections, and improperly classifying it as non-hazardous to avoid costly disposal procedures. The operation effectively turned the purported ‘reclaiming facility’ into an illegal dumping ground, posing potential risks to both public health and the environment.

Douglas Bennett, a key figure in the operation, was initially indicted in January 2006 on charges including one count of making false statements (18 U.S.C. 1001), one count of conspiracy (18 U.S.C. 371), and four counts of violating RCRA – specifically, knowingly transporting hazardous waste without proper documentation (42 U.S.C. 6928(d)(1) and 42 U.S.C. 6928(d)(5)). He ultimately pled guilty to the false statement charge and received 24 months of probation in February 2007.

Bennett wasn’t alone in facing legal consequences. Former colleagues Martin and Pugh also pled guilty to conspiracy and false statement charges, with Pugh receiving the harshest sentence of the group: nine months of incarceration, nine months of home confinement, and 24 months of probation. Bauter also admitted guilt to a false statement charge and was sentenced to 12 months of probation, including 30 days of home confinement, and ordered to pay a $3,000 federal fine. Martin received 12 months of probation. The varying sentences reflect the degree of each individual’s involvement in the elaborate fraud.

The EPA’s criminal enforcement case underscores the agency’s commitment to holding accountable those who prioritize profit over environmental compliance. Improper handling of hazardous waste can lead to soil and water contamination, posing long-term health risks to communities. This case serves as a warning to other facilities and individuals contemplating similar violations of federal environmental laws.

Table of Contents

Key Facts

Defendant: Douglas Bennett, along with Martin, Pugh, and Bauter
Location: Newman, Illinois
Years of Conspiracy: 1999-2003
Statutes Violated: 42 U.S.C. 6928(d)(1), 18 U.S.C. 371, 42 U.S.C. 6928(d)(5), 18 U.S.C. 1001
Penalties: Sentences ranged from 9 months incarceration/home confinement/probation (Pugh) to 12-24 months probation and fines (Bennett, Martin, Bauter).
Nature of Crime: Illegal storage, concealment, and mischaracterization of hazardous waste.

GrimyTimes will continue to follow developments in environmental crime and provide updates on enforcement actions across the nation.

Source: EPA ECHO Enforcement Case Database

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