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Rick LeBlanc

California Regulators Target Auto Shredders, $2.9 Million Settlement Reached

By , About.com GuideSeptember 8, 2011

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The California Department of Toxic Substances Control says it is looking closely at auto shredding operations in the wake of reaching a $2.9-million settlement reached with a scrap metal operator, according to the Los Angeles Times.

The recycler was said to have violated hazardous waste and air pollution laws by continuing to operate after an air pollution control system was damaged by a May 2007 explosion at the site.

To complicate the issue, about four months after the explosion the site was sold to SA Recycling, emphasizing the importance of thorough due diligence in any acquisition.

The Department of Toxic Substances Control estimated that about 4.4 tons of unspecified "material" was released into the environment during that period.

Debbie Raphael, the director of the Department of Toxic Substances Control, said that more work needs to be done with the metal shredder industry and that addressing the range of issues associated with this industry is one of her top priorities. The settlement included $480,000 to a various research and community organizations, $428,640 for investigative costs and equipment to the state, as well as $321,175 to Los Angeles County for civil penalties, investigative costs and equipment. Additionally, the company also will spend $1.7 million to install and update the air pollution control system at its shredding facility.

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