EPA v. NYANZA INC

Case summary

THIS REFERRAL PROPOSES FILING A COST RECOVERY ACTION UNDER SECTION 107 OF CERCLA TO RECOVER PAST RESPONSE COSTS AND TO ESTABLISH LIABILITY FOR FUTURE COSTS AT THE NYANZA SUPERFUND SITE IN ASHLAND, MASSACHUSETTS. PAST COSTS THROUGH DECEMBER 1993, NOT INCLUDING DOJ COSTS OF INTEREST, TOTAL $28,737,517.81. PAST COSTS THROUGH DECEMBER 1993 INCLUDING STATUTORY INTEREST FROM JANUARY 22, 1991 TOTAL APPROXIMATELY $33,000,000. THERE ARE SEVEN PROPOSED DEFENDANTS: NYANZA INC NYACOL PRODUCTS, INC., PQ CORPORATION, ROBERT LURIE, THOMAS O'CONNOR, JOHN J GLYNN, JR., TRUSTEE OF THE AIF REALTY TRUST AND JOHN J. GLYNN, JR., TRUSTEE OF THE ENVIRONMENTAL RESTORATION ENGINEERING TRUST. THE SITE IS LOCATED IN ASHLAND, MASSACHUSETTS, ABOUT 35 MILES WEST OF BOSTON. BETWEEN 1917 AND 1978 A SUCESSION OF INTERRELATED COMPANIES MANUFACTURED TEXTILE DYES AND INTERMEDIATEDS ON THE SITE, PRODUCING A LARGE AMOUNT OF HAZARDOUS WASTES AND CONTAMINANTS. NYANZA INC., SUCESSOR TO THESE COMPANIES, DISPOSED OF LARGE QUANTITIES OF SLUDGES ON-SITE CONTAINING HIGH CONCENTRATIONS OF OF MERCURY, CHROMIUM, AND LEAD. NYANZA INC. ALSO DISPOSED OF LARGE QUANTITIES OF ORGANIC CHEMICALS, SUCH AS DICHLOROBENZENE, CHLOROBENZENE, ANILINE, AND NITROBENZENE, WHICH CAUSED SEVERE GROUNDWATER CONTAMINATION BOTH ON AND OFF-SITE. IN 1979, NYACOL, INC., A PREDECESSOR TO NYACOL PRODUCTS, INC., DISPOSED OF 250,000 GALLONS OF SLUDGE CONTAINING ANTRIMONY AND VERY LOW LEVELS OF CHROMIUM ON PROPERTY IT HAD PREVIOUS- LY PURCHASED FROM NYANZA INC. THE MAIN CONTAMINANT OF CONCERN IS MERCURY. OTHER CONTAMINANTS OF CONCERN ARE CHROMIUM, LEAD, AND VOCS. THE NYANZA CHEMICAL WASTE DUMP SUPERFUND SITE WAS PROPOSED FOR INCLUSION ON THE PRIORITIES LIST (NPL) ON DECEMBER 30, 1982. THE SITE WAS INCLUDED ON THE ORIGINAL NPL LIST IN SEPTEMBER 1983. TO DATE EPA HAS DIVIDED THE REMEDIATION INTO FOUR OPERABLE UNITS, ALL OF WHICH ARE FUND-LEAD: (1) SOURCE CONTROL, OR THE EVACUATION OF ON-SITE SOILS AND SLUDGES AND THEIR CONSOLIDATION WITH OTHER CONTAMINATED MATERIAL UNDER A CAP (ROD SIGNED SEPTEMBER 4, 1985); (2) AN INTERIM GROUNDWATER REMEDY TO STUDY THE EFFECTIVENESS OF CLEANUP IN THE MOST CONTAMINATED PORTION OF THE PLUME (ROD SIGNED SEPTEMBER 23, 1991); (3) THE CLEANUP OF SLUDGES AND SEDIMENTS IN WETLANDS AND DRAINAGE- WAYS BETWEEN THE ORIGINAL SITE AND THE SUDBURY RIVER, AND THE CONSOLIDATION OF THOSE MATERIALS UNDER THE CAP (ROD SIGNED MARCH 30, 1993); AND (4) THE CLEANUP OF THE SUDBURY RIVER, WHOSE BIOTA HAVE ELEVATED LEVEL OF MERCURY IN (RI/FS) IN ADDITION TO THESE FOUR REMEDIAL ACTIONS, THERE HAVE BEEN FOUR REMOVALS. THE MOST COSTLY REMOVAL WAS THE EXCAVATION BY EPA IN 1987-1988 OF SOILS AND SLUDGES IN AND NEAR TO THE VAULT, AN IN-GROUND COLLECTION TANK WHICH WAS FORMERLY PART OF THE NYANZA EFFLUENT SYSTEM. NYANZA, INC. WAS INCORPORATED INT 1965, WENT OUT OF BUSINESS IN 1978, AND WAS DISSOLVED IN 1983. ALONG WITH ITS CORPORATE PREDECESSORS, IT WAS RESPONSIBLE FOR THE DISPOSAL OF THE VAST MAJORITY OF CONTAMINATION. THE CASES AGAINST NYACOL PRODUCTS, INC. AND PQ CORPORATION, REST ON COMPLEX THEORIES OF CORPORATE SUCESSORSHIP, OPERATOR LIABILITY, VEIL-PIERCING, AND ALTER-EGO THEORY. SOME OF THESE THEORIES DO NOT HAVE DIRECT SUPPORT IN THE CASE LAW, BUT ARE EXTENSIONS OF EXISTING LAW BEYOND THEIR CURRENT FRONTIERS. THE CASES AGAINST ROBERT URIE AND THOMAS O'CONNOR ARE BASED ON INDIVIDUAL OPERATOR LIABILITY (OPERATION OF NYACOL, INC.) THE CASE AGAINST THE TWO TRUSTS ARE SIMPLE SECTION 107(A)(1) OWNER LIABILITY. THE DEPARTMENT OF JUSTICE HAS BEEN VERY INVOLVED IN THE CASE FOR ABOUT 3 YEARS. EPA SENT A PRE-REFERRAL NEGOTIATION REPORT TO THE DEPARTMENT IN MAY, 19

Defendants (5)

• 7URIE, ROBERTNamed in complaintNamed in settlement
• NYACOL PRODUCTSNamed in complaintNamed in settlement
• NYANZA INCNamed in complaint
• O'CONNOR, THOMASNamed in complaintNamed in settlement
• PQ CORPORATIONNamed in complaintNamed in settlement

Facilities (1)

• NYANZA CHEMICAL WASTE DUMP

  MEGUNKO RD, ASHLAND, MA, 01721

  Registry ID: 110009325239

Statutes cited

• CERCLA 107A — Cost Recovery

Enforcement conclusions (1)

• NYANZA INCentered 1998-06-24

  Primary law: CERCLA

Timeline (6 milestones)

• 1993-05-27Enforcement Action Data Entered
• 1995-06-14Referred To Dept Of Justice
• 1997-09-30Complaint Filed With Court
• 1997-12-17Final Order Lodged
• 1998-06-24Final Order Entered
• 1998-06-24Concluded