SCOTT COUNTY, TN – U.S. Coal, Inc. avoided a potentially catastrophic mine flood in 1999 by illegally discharging wastewater, according to federal court documents obtained by GrimyTimes. The company, along with its president William Bale and mining engineer Mark Mills, pled guilty to negligent violations of the Clean Water Act (CWA) after deliberately draining an abandoned mine into an active one, bypassing required environmental safeguards.
The incident occurred when U.S. Coal feared that continued operation of its active mine in Scott County, Tennessee, could breach the walls of a nearby, previously closed mine. Rather than obtain a National Pollutant Discharge Elimination System (NPDES) permit – a legal requirement for discharging pollutants into navigable waters – the company opted to drain the accumulated wastewater from the old mine directly into an unnamed tributary of Straight Fork Creek. This decision, investigators found, was made to prevent flooding of the active mine, but at the direct expense of water quality and environmental regulations.
Federal prosecutors argued that U.S. Coal’s actions demonstrated a reckless disregard for the environment. The discharge of untreated mine wastewater introduced pollutants into the tributary, potentially harming aquatic life and impacting downstream water users. While the exact extent of the environmental damage remains unclear, the deliberate circumvention of permitting requirements was deemed a serious offense.
The case, charged on February 18, 1999, hinged on a single count of violating the Clean Water Act, specifically 33 U.S.C. 1319(c)(1)(A), which addresses negligent violations related to the discharge of pollutants. The prosecution successfully demonstrated that U.S. Coal knew of the potential for pollution but failed to take necessary steps to comply with environmental regulations. The company’s motivation—avoiding economic losses from potential flooding—did not excuse the illegal discharge.
Penalties & Sentencing
The legal consequences reflected the severity of the offense. U.S. Coal, Inc. was ordered to pay a federal fine totaling $19,000, in addition to a $125 special assessment fee. Both William Bale and Mark Mills were individually fined $3,000 each and assessed a $25 special assessment fee. While the financial penalties may seem modest by today’s standards, legal experts note that the case serves as a cautionary tale about the importance of environmental compliance, even in situations perceived as emergencies.
Key Facts
- Defendant: U.S. Coal, Inc., William Bale, Mark Mills
- Crime: Negligent violation of the Clean Water Act
- Location: Scott County, Tennessee
- Date: 1999
- Statute Violated: 33 U.S.C. 1319(c)(1)(A)
- Discharge Source: Abandoned mine drained into active mine, then tributary of Straight Fork Creek.
- Penalties: U.S. Coal – $19,000 fine + $125 assessment; Bale & Mills – $3,000 fine + $25 assessment each.
GrimyTimes will continue to follow environmental crime cases and report on the enforcement of regulations designed to protect our natural resources.

