EPA v. CARTER INDUSTRIAL

Case summary

I. SYNOPSIS OF CASE CARTER INDUSTRIALS, INC ( CARTER ) IS A MICHIGAN COR- PORATION ENGAGED IN THE BUSINESS OF PROCESSING AND SELLING SCRAP METALS. SINCE APPROX. 1971 CARTER OPERATED ITS BUSI- NESS AT AND NEAR 4690 HUMBOLT STREET IN DETROIT, MICHIGAN. CARTER'S SCRAPPING OPERATIONS INCLUDED THE SCRAPPING OF TRAN SFORMERS AND CAPACITORS LADEN WITH POLYCHLORINATED BIPHENYLS ( PCBS ). IN THE COURSE OF SCRAPPING OPERATIONS THE CARTER PROPERTY BECAME CONTAMINATED WITH PCBS. IN ADDITION, PCBS MIGRATED OR WERE TRACKED FROM THE CARTER PROPERTY INTO SUR- ROUNDING RESIDENTIAL AND COMMERCIAL AREAS. CARTER IS CURRENTLY IN BANKRUPTCY. AN INVOLUNTARY PE- TITION FOR BANKRUPTCY WAS FILED BY CARTER'S CREDITORS ON FEBRUARY 7, 1986. ON MARCH 13, 1986, AN ORDER FOR RELIEF WAS ENTERED TRANSFERRING THE CASE TO A VOLUNTARY BANKRUPTCY PURSUANT TO CHAPTER 7 OF THE UNITED STATES BANKRUPTCY CODE. THE BANKRUPTCY CASE IS CAPTIONED: IN RE CARTER INDUSTRIALS, INC., 4690 HUMBOLT STREET, DETROIT, MICHIGAN 48208. THE BANKRUPTCY CASE IS BEFORE JUDGE RHODES OF THE UNITED STATES BANKRUPTCY COURT, EASTERN DISTRICT OF MICHIGAN, SOUTHERN DIVISION. THE BANKRUPTCY CASE NUMBER IS 86-00494-R. FRED J. DERY, 801 W. BIG BEAVER, SUITE 570, TROY, MICHIGAN, HAS BEEN NAMED THE UNITED STATES TRUSTEE IN THIS MATTER. DUE TO CONDITIONS AT THE CARTER FACILITY, ON 6/6/86, THE REGIONAL ADMINISTRATOR OF USEPA REGION V PROVIDED VER- BAL AUTHORIZATION FOR THE EMERGENCY RESPONSE ACTION TO MIT- IGATE THE HAZARD POSED BY THE FACILITY. THE VERBAL AUTHOR- IZATION WAS CONFIRMED BY THE REGIONAL ADMINISTRATOR IN WRIT- ING ON JUNE 25, 1986, IN A MEMORANDUM GRANTING A FUNDING CEILING INCREASE FOR THE EMERGENCY RESPONSE SECTION'S RE- SPONSE ACTION. AN EXEMPTION TO THE ONE MILLION DOLLAR STAT- UTORY CEILING FOR EMERGENCY RESPONSE ACTIONS WAS GRANTED BY THE ASSISTANT ADMINISTRATOR FOR SOLID WASTE AND EMERGENCY RESPONSE ON JULY 18, 1986. AN ADDITIONAL CEILING INCREASE TO $2,437,000 WAS SUBSEQUENTLY GRANTED BY THE ASSISTANT AD- MINISTRATOR. THE EMERGENCY RESPONSE ACTION AT THE CARTER FACILITY IS A THREE PHASE PROJECT. PHASE I, WHICH HAS BEEN COMPLETED, INCLUDED COMPREHENSIVE SAMPLING OF THE CARTER SITE AND SUR- SOUNDING AREAS, EXCAVATION OF ALL OFF-SITE LOCATIONS WITH GREATER THAN 50 PARTS PER MILLION ( PPM ) PCBS, DECONTAMINA- TION OF ALL BUILDINGS, STREETS AND ALLEYS SURROUNDING THE CARTER SITE, FENCING THE SITE, STABILIZATION OF THE WASTE PILES AT THE SITE AND CONSTRUCTION OF A TEMPORARY DRAINAGE CONTROL SYSTEM AT THE SITE. PHASE II, WHICH HAS BEEN COM- PLETED, INVLOVED THE DECONTAMINATION AND REMOVAL OF LARGE PIECES OF SCRAP METAL AT THE SITE. PHASE II ALSO INCLUDED OFF-SITE DISPOSAL OF NUMEROUS TRANSFORMERS AND CAPACITORS FOUND AT THE SITE. PHASE III, WHICH IS IN DEVELOPMENT, WILL INVOLVE THE SELECTION AND IMPLEMENTATION OF A REMOVAL TECH- NOLOGY TO FULLY ABATE THE HAZARD POSED BY THE LARGE VOLUME OF PCB CONTAMINATED MATERIALS STILL PRESENT AT THE CARTER SITE. IN THE COURSE OF CONDUCTING PHASES I AND II OF THE EMERGENCY RESPONSE ACTION, U.S. EPA HAS EXPENDED IN EXCESS OF ONE MILLION SEVEN HUNDRED AND NINETY EIGHT THOUSAND DOL- LARS. THEREFORE, A CLAIM FOR RECOVERY OF ADMINISTRATIVE EX- PENSES SHOULD BE FILED WITH THE UNITED STATES BANKRUPTCY COURT.

Defendants (1)

• CARTER INDUSTRIALNamed in complaintNamed in settlement

Facilities (1)

• CARTER INDUSTRIALS, INC.

  4690 HUMBOLDT, DETROIT, MI, 48208

  Registry ID: 110009292210

Statutes cited

• CERCLA 107 — Superfund

Enforcement conclusions (1)

• CARTER INDUSTRIALentered 1993-06-04

  Primary law: CERCLA

Timeline (6 milestones)

• 1986-12-31Referred To Headquarters
• 1987-02-09Referred To Dept Of Justice
• 1987-11-03Complaint Filed With Court
• 1993-06-04Final Order Lodged
• 1993-06-04Final Order Entered
• 1993-06-04Concluded