MIAMI, FL – A Missouri-based appliance parts distributor has been sentenced for its role in a large-scale scheme to illegally import and distribute ozone-depleting refrigerant, federal authorities announced. Marcone Cooling & Heating, headquartered in St. Louis, was convicted and sentenced this week in connection with the illicit purchase and sale of approximately 100,898 kilograms of hydrochlorofluorocarbon-22 (HCFC-22), a substance regulated under the Clean Air Act.
The company pled guilty to one count of smuggling goods into the United States, violating Title 18 U.S. Code Section 545. According to court documents, between July 2007 and April 2009, a senior vice president within Marcone’s Heating and Cooling Division systematically sourced HCFC-22 from suppliers lacking the necessary legal import allowances. This black market refrigerant, valued at approximately $843,291, was then distributed across the United States, circumventing regulations designed to protect the ozone layer.
Operation Catch-22
The case is part of “Operation Catch-22,” a multi-agency initiative building upon the earlier “Operation Cool Breeze” which focused on illegal CFC-12 trafficking in the 1990s. These operations aim to combat the illegal trade of ozone-depleting substances, which contribute to the depletion of the stratospheric ozone layer and pose significant environmental and health risks. The United States, in accordance with international treaties, has implemented a phasedown of HCFC-22 production and importation, requiring importers to possess valid consumption allowances.
Penalties and Restitution
U.S. District Court Judge Alan S. Gold sentenced Marcone to five years of probation and imposed a $500,000 criminal fine. Beyond the financial penalties, the company was ordered to pay $400,000 to the Southern Environmental Enforcement Training Fund as community service. Additionally, Marcone must forfeit $190,534.70, representing profits gained from the illegal activity, and implement a comprehensive Environmental Compliance Plan to prevent future violations.
Federal Response
“The defendant jeopardized the global effort to protect the ozone layer for its own financial benefit,” stated U.S. Attorney Jeffrey H. Sloman. “Such conduct is short-sighted and inexcusable. We will continue to aggressively enforce federal laws that seek to protect our environment.” Maureen O’Mara, Special Agent in Charge of the EPA’s Criminal Investigation Division, emphasized the critical importance of the ozone layer and the EPA’s commitment to prosecuting those who profit from its destruction.
Combating Illegal Imports
ICE Special Agent in Charge Anthony V. Mangione highlighted the broader implications of illegal imports, stating they pose a “triple threat to the national security, public safety, and economic well-being of the United States.” The investigation involved collaboration between the EPA, ICE, the Florida Department of Environmental Protection, and the Miami-Dade Police Department. The prosecution was handled by Special Assistant U.S. Attorney Jodi A. Mazer.
Key Facts
- Defendant: Marcone Cooling & Heating
- Crime: Illegal import and sale of HCFC-22 refrigerant.
- Statutes Violated: Title 18 U.S.C. 545 (Smuggling), Clean Air Act regulations.
- Quantity of HCFC-22 Involved: Approximately 100,898 kilograms (7,419 cylinders).
- Fair Market Value: Approximately $843,291.00
- Penalties: 5 years probation, $500,000 fine, $400,000 community service payment, $190,534.70 forfeiture, Environmental Compliance Plan.
Source: EPA ECHO Enforcement Case Database
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