EPA v. SIGMOND AND PRESTO (SCP - NEWARK)

Case summary

FROM 1976 TO 1980, THE SCP NEWARK SITE WAS OPERATED AS A RECYCLING AND RECOVERY PLANT FOR PAINT SLUDGES, PAINT RESINS AND OTHER HAZARDOUS WASTES. IN 1984, NJDEP REQUESTED THAT EPA CONDUCT A REMOVAL ACTION TO MITIGATE THE THREATS CAUSED BY THE RELEASE AND THREAT OF RELEASE OF HAZARDOUS SUBSTANCES ON THE SITE. THE REMOVAL ACTION WAS AUTHORIZED ON MARCH 28, 1985, CONDUCTED BY THE PRP CLEANUP COMMITTEE, AND COMPLETED ON APRIL 7, 1987. EPA INCURRED OVER $200,000 IN COSTS FOR OVERSIGHT OF THE REMOVAL ACTION. THIS ACTION SEEKS REIM- BURSEMENT FROM THE SITE OWNERS AND FROM SEVEN GENERATOR PRPS WHO SENT ORGANIC SOLVENTS AND OTHER HAZARDOUS MATERIALS TO THE SITE. EPA IDENTIFIED APPROXIMATELY 150 PRPS FOR THIS SITE AND ENTERED INTO ORDERS ON CONSENT WITH 100 OF THESE PARTIES. EPA ISSUED UNILATERAL ORDERS TO 50 OTHER PARTIES. MOST OF THESE PARTIES ASSISTED IN CONDUCTING THE REMOVAL ACTION AT THE SITE. HOWEVER, 26 OF THE 150 PRPS FOR THE SITE FAILED TO COMPLY WITH THE ORDERS THEY RECEIVED. THREE OTHER PRPS WHO DID NOT RECEIVE ANY ORDERS ALSO DID NOT PARTICIPATE IN THE REMOVAL ACTION AND HAVE BEEN IDENTIFIED. EPA IS SEEKING PENALTIES UNDER 106(B)(1) AGAINST 4 VIABLE PRPS WHO FAILED, WITHOUT SUFFICIENT CAOSE, TO COMPLY WITH THEIR ORDERS. THIS CASE IS SIGNIFICANT FOR THE FOLLOWING REASONS: A) IT WILL CONSTITUTE ONE OF THE FEW CASES NATIONWIDE WHERE THE GOV'T IS SEEKING PENALTIES PURSUANT TO SECTION 106(B)(1) OF CERCLA, 42 USC 9606(B)(1), FOR FAILURE TO COMPLY WITH AN EPA ADMINISTRATIVE ORDER; B) IT CONCERNS THE ISSUE OF LIABILITY OF NON-PARTICIPANTS FOR PENALTIES FOR FAILURE TO COMPLY WITH AN EPA ORDER ISSUED PURSUANT TO SECTION 106 OF CERCLA 42 USC 9606, WHERE OTHER PRPS AT THE SAME SITE HAD ALREADY ENTERED A CONSENT ORDER WITH EPA TO PERFORM THE WORK DEMANDED OF THE NON-PARTICIPANT PRPS; AND C) IT CONCERNS THE LIABILITY OF A PRP FOR EPA PAST COSTS WHERE THAT PRP ALLEGEDLY DID NOT HAVE THE OPPORTUNITY TO ASSIST IN THE REMOVAL WORK UNDER ANY ORDER ISSUED BY EPA AND IS NOW ISOLATED FOR COST RECOVERY PURPOSES. FEDERAL PENALTY COLLECTED: $425,000 OF $435,000 SO FAR. COST RECOVERY COLLECTED: $245,000 OF $315,000 SO FAR. 01/13/9 SUPERFUND TRUST FUND COLLECTION REPORT SHOWS $12,833.66 FOR CR 12/16/93. $1,832.34 FOR PENALTY 12/16/93. * ATTORNEY COMENT 2Q95: ALL PAYMENTS AND INTEREST HAVE BEEN MADE. WE RECEIVED 100%. CASE CLOSED 2/28/95.

Defendants (9)

• MAAS & WALDSTEIN CONamed in complaintNamed in settlement
• AUTOMATION COMPONENTS INCNamed in complaintNamed in settlement
• DELAWARE CONTAINER CO INCNamed in complaintNamed in settlement
• ENVIRONMENTAL WASTE RESOURCESNamed in complaintNamed in settlement
• MATLACK SYSTEMS INCNamed in complaintNamed in settlement
• PRESTO, DOMINICKNamed in complaintNamed in settlement
• RANDOLPH PRODUCTS CONamed in complaintNamed in settlement
• SETON COMPANYNamed in complaint
• SIGMOND AND PRESTO, A PARTNERSHIPNamed in complaintNamed in settlement

Facilities (1)

• SCIENTIFIC CHEMICAL PROCESSING INCORPORATED

  411 WILSON AVENUE, NEWARK, NJ, 07105

  Registry ID: 110000615932

Statutes cited

• CERCLA 107A — Cost Recovery

Enforcement conclusions (6)

• SIGMOND & PRESTO AND DOMINICKentered 1992-11-10

  Primary law: CERCLA

• RANDOLPH PRODUCTS COMPANYentered 1992-11-10

  Primary law: CERCLA

  Federal penalty: $300,000

• DELAWARE CONTAINER COMPANYentered 1993-05-10

  Primary law: CERCLA

  Federal penalty: $10,000

• AUTOMATION COMPONENTS, INC.,entered 1991-09-09

  Primary law: CERCLA

• ENVIRONMENTAL WASTE RESOURCESentered 1992-11-10

  Primary law: CERCLA

• MATLACK SYSTEMS, INC.entered 1992-11-10

  Primary law: CERCLA

  Federal penalty: $125,000

Timeline (7 milestones)

• 1989-09-20Enforcement Action Data Entered
• 1989-09-20Referred To Dept Of Justice
• 1990-03-20Complaint Filed With Court
• 1993-05-10Final Order Lodged
• 1993-05-10Final Order Entered
• 1993-05-10Concluded
• 1995-02-28Enforcement Action Closed