EPA v. CORAM BUS SERVICE

Case summary

** THIS REFERRAL WAS ORALLY MADE ON AUGUST 15, 1989. * SUPPORTING DOCUMENTATION SUBMITTED TO COMFIRM PRIOR ORAL REFERRAL FROM EPA REGION II ON 9/19/89. * THE CORAM COMPANIES ARE DEBTORS IN A CHAPTER 11 RE- ORGANIZATION BANKRUPTCY PROCEEDING. THE CORAM COMPANIES PROPOSED TO SELL SUBSTANTIALLY ALL OF THEIR ASSETS AND TO ASSIGN CERTAIN EXECUTORY CONTRACTS TO THE CBS COMPANIES. DURING A DUE DILIGENCE SEARCH CONDUCTED BY THE CBS COMPANIES THEY DISCOVERED THAT THE CORAM COMPANIES HAD BEEN PREVIOUSLY CITED BY THE COUNTY HEALTH DEPARTMENT FOR VARIOUS SUBSTANCES FROM A SANITARY CESSPOOL UNDER THE CORAM COMPANIES BUS MAIN- TENANCE FACILITY. ON AUGUST 8, 1989, EPA RECEIVED NOTICE OF THE PENDING PROPOSED SALE AND ASSIGNMENT PRIOR TO THE TRANS- ACTION BEING APPROVED BY THE BANKRUPTCY COURT. ONE TERM OF THE TRANSACTION WAS THAT $80,000 OF THE PROCEEDS WOULD BE ALLOCATED TO PAY FOR AN ENVIRONMENTAL ASSESSMENT OF THE CORAM COMPANIES FACILITY. EPA AND THE CBS COMPANIES AGREED TO AN ADDITIONAL TERM OF THE TRANSACTION, NAMELY, THAT PRIOR TO ANY DISBURSEMENT OF THE EXCESS PROCEEDS FROM THE SALE (THE SUMS IN EXCESS OF THOSE THAT ARE TO PAID HOLDERS OF SECURED INTERESTS AND TO OTHER HOLDERS OF PRIORITY CLAIMS), OF APPROXIMATELY $250,000, EPA WOULD BE PROVIDED NOTICE OF THE DISBURSEMENT AND HAVE AN OPPORTUNITY TO OBJECT TO THE DISBURSEMENT AND CLAIM THOSE PROCEEDS. FOLLOWING THE ORAL REFERRAL, THE PARTIES INVOLVED EXECUTED A STIPULATION AGREEABLE TO EPA. THE STIPULATION PROVIDES THAT PRIOR TO THE DISBURSEMENT OF THE EXCESS PROCEEDS FROM THE GIVEN NOTICE OF THE DISBURSEMENT AND AN OPPORTUNITY TO OBJECT TO THE DISBURSEMENT. * NO TECHNICAL PERSON HAS BEEN ASSIGNED AT THIS TIME. * FACILITY NAME: CORAM BUS SERVICE INC FACILITY NAME: 128 CORAM-MT SINAI ROAD CORAM, NY 11727 OWNERSHIP: PRIVATE SIC CODE: 4141 & 4141 EPID# NYD003777836

Defendants (2)

• CORAM BUS SERVICE INCNamed in complaint
• CORAM LINES SERVICE INCNamed in complaint

Facilities (1)

• CORAM BUS SERVICE INC

  128 CORAM - MT SINAI, CORAM, NY, 11727

  Registry ID: 110004342079

Statutes cited

• CERCLA 107A — Cost Recovery

Timeline (5 milestones)

• 1989-08-15Enforcement Action Data Entered
• 1989-08-15Referred To Dept Of Justice
• 1989-08-15Complaint Filed With Court
• 1989-09-19Concluded
• 1989-09-19Enforcement Action Closed