GrimyTimes.com - The Largest Criminal Database

Nickolas Mouzakis, Conspiracy to Defraud the United States, Texas 2004

Little Rock, AR – A decade after a sweeping federal investigation, details have emerged regarding the illegal disposal of hazardous waste by Kerrville Painting Company (KPCI), a Texas-based firm specializing in bridge maintenance. The case, brought to light through EPA criminal enforcement actions in 2005, revealed a systematic effort to skirt environmental regulations while operating in Arkansas, Oklahoma, and Texas. The company and several individuals faced federal charges related to the improper handling and disposal of lead-contaminated waste generated during sandblasting operations.

The core of the case centered around the dangerous byproducts of bridge sandblasting. Removing old paint from steel structures, particularly bridges, inevitably creates waste laden with lead. Lead exposure, even in small amounts, can have devastating health consequences, including neurological damage, developmental issues in children, and even death. Federal regulations under the Resource Conservation and Recovery Act (RCRA) mandate the safe and responsible disposal of such hazardous materials – a requirement KPCI allegedly ignored in pursuit of profit.

According to court documents, KPCI deliberately failed to properly contain, transport, and dispose of the lead-contaminated waste. Instead of adhering to RCRA guidelines, the company engaged in a conspiracy to defraud the United States, effectively concealing their illegal activities from both regulators and the public. The scheme involved misrepresenting the nature of the waste and knowingly dumping it in unapproved locations, potentially exposing communities and sensitive ecosystems to dangerous toxins.

The investigation, which culminated in convictions in November 2004, ensnared several key figures within the company. Nickolas Mouzakis, a principal in the operation, received a 36-month prison sentence along with 36 months of probation and was ordered to pay $324,613 in restitution. Cecil Zimmerman, also implicated in the scheme, was sentenced to 36 months probation, including six months of home detention, and also faced a restitution order of $324,613. Kevin Foster, convicted of misprision of a felony – knowingly concealing the crime – received a 12-month prison sentence and 12 months of probation, along with a $5,768.05 restitution payment.

Kerrville Painting Company itself was sentenced to five years of probation and fined $2,000, in addition to the substantial $324,613 restitution order, shared among KPCI, Zimmerman and Mouzakis. The restitution was intended to cover the costs associated with cleaning up the improperly disposed waste and mitigating the environmental damage caused by the company’s actions. The case serves as a stark reminder of the potential consequences of environmental crime and the importance of strict adherence to regulations designed to protect public health and the environment.

Key Facts

  • Defendant: Kerrville Painting Company, Nickolas Mouzakis, Cecil Zimmerman, Kevin Foster
  • State: Arkansas
  • Year: 2005
  • Laws Violated: 18 U.S.C. 2, 18 U.S.C. 4, 18 U.S.C. 371, 42 U.S.C. 6928(d)(2)(A) – including violations of the Resource Conservation and Recovery Act (RCRA) and conspiracy to defraud the United States.
  • Penalties: Prison sentences ranging from 12 months to 36 months, probation, fines, and $324,613 in restitution.
  • Crime: Illegal disposal of lead-contaminated waste from bridge sandblasting operations.

GrimyTimes will continue to follow this case and report on any further developments.


Source: EPA ECHO Enforcement Case Database

Related Federal Cases


Posted

in

by

Tags: