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Joel D. Udell, Hazardous Waste Fraud, Pennsylvania 2006

PITTSBURGH, PA – Joel D. Udell and associated companies faced hefty penalties in 2006 following a protracted investigation into illegal hazardous waste handling at the Nittany Warehouse in Pennsylvania. The case, brought by the Environmental Protection Agency (EPA), revealed a deliberate scheme to evade responsibility for cleaning up a designated Superfund site, instead opting to illegally export and misrepresent dangerous materials.

In June 2000, the EPA designated Nittany Warehouse as a Superfund Site, triggering a mandated cleanup of numerous containers filled with hazardous waste. Rather than comply with federal regulations, Udell, along with Pyramid Chemical and Nittany Warehouse, engaged in a calculated effort to circumvent the cleanup order. Investigators discovered that the defendants illegally shipped portions of the hazardous waste to the Netherlands, and falsely sold other portions domestically, fraudulently claiming the materials were new and unused products.

The deceptive practices resulted in significant financial burden being placed on unintended parties. The government of the Netherlands, as well as American companies who unknowingly received the mislabeled waste, were ultimately responsible for the costs associated with its proper disposal. This included not only the expense of safely handling the hazardous materials but also the logistical challenges of correcting the illegal shipments.

The legal proceedings culminated on July 14, 2005, with Udell and the companies pleading guilty to fifteen counts of violating the Resource Conservation and Recovery Act (RCRA). The specific charges included 42 U.S.C. 6928(d)(2) for the unlawful storage of hazardous waste without a required permit, 42 U.S.C. 6928(d)(6) for the illegal exportation of hazardous waste, and 42 U.S.C. 6928(d)(5) for the improper transportation of hazardous waste without a manifest. These violations carry significant penalties under federal law, reflecting the seriousness of endangering public health and the environment.

Sentencing and Restitution

On February 14, 2006, the court handed down a multi-faceted sentence. Udell was sentenced to six months of home confinement with electronic monitoring, followed by five years of probation. He was also ordered to complete 500 hours of community service, pay a $1,500 special assessment fee, and a $100,000 fine. Pyramid Chemical was fined $50,000 and assessed an additional $6,000, while Nittany Warehouse received a five-year probationary period, along with a $50,000 fine and $6,000 assessment. Crucially, the court ordered joint restitution totaling $1,802,712.62 to the EPA’s Hazardous Substance Superfund, EuropeContainerTerminal BV, and the Dutch Government – representing the costs incurred due to the defendants’ illegal actions.

Key Facts

  • Defendant: Joel D. Udell, Pyramid Chemical, Nittany Warehouse
  • Location: Pennsylvania
  • Year: 2006
  • Crime: Illegal hazardous waste handling and fraudulent misrepresentation.
  • Statutes Violated: 42 U.S.C. 6928(d)(2), 42 U.S.C. 6928(d)(5), 42 U.S.C. 6928(d)(6)
  • Restitution Ordered: $1,802,712.62
  • Penalties: Fines, home confinement, probation, community service
  • Superfund Site: Nittany Warehouse

This case serves as a stark reminder of the severe consequences associated with environmental crimes and the EPA’s commitment to holding individuals and corporations accountable for endangering public health and the environment. The fraudulent scheme not only evaded environmental responsibility but also burdened international partners and domestic businesses with the cost of proper waste disposal.


Source: EPA ECHO Enforcement Case Database


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