Environmental Law

W.R. Grace Goes to Trial

By Walter James

On February 23, 2009, the W.R. Grace trial began in Missoula, Montana.  During opening statements, Kris McLean, the federal prosecutor, told the jurors Grace knew for years that its mining operation exposed residents of Libby, Montana, to asbestos and that the company hid the risks from workers and government regulators.  McLean went on to say that ?individual executives chose profits at the expense of people's health and chose avoiding liability over disclosing health hazards to the government."  Grace and five retired executives are charged with violating the Clean Air Act and obstructing an USEPA investigation into the asbestos contamination.  The individuals face up to fifteen (15) years in prison and fines totaling millions of dollars.

Grace acquired the mine in 1963 from Zonolite.  Grace continued to mine vermiculite; however, the mine was contaminated with naturally occurring asbestos mineral fibers.  When inhaled, these fibers can cause mesothelioma, asbestosis and lung cancer.  The government will attempt to prove that Grace knew through its own research that even low levels of asbestos in the vermiculite became dangerous when disturbed.  According to McLean, Grace donated mine waste to Libby schools to build running tracks.  The government also contends that Grace and some of its managers conspired to hide health risks from its workers.  The allegations of public endangerment and conspiracy to defraud the government relate to the time period after 1999 (after the mine had closed) when the USEPA went to Libby to collect information about asbestos contamination.  The mine closed in 1990.

David M. Bernick, Grace?s counsel stated that: "There is no charge in this case that the defendants, Grace or the individuals, acted criminally to cause injury to miners and their families."  Bernick also noted that Grace took active steps that reduced asbestos exposure after Grace acquired the mine.

The trial is expected to last several months.

More later.

As always, feel free to contact me via e-mail at walter.james@jamespllc.com.

WDJiii

Full post as published by Environmental Crimes Blog on February 24, 2009 (boomark / email).