Profile image
Story Views

Now:
Last Hour:
Last 24 Hours:
Total:

Week After West Virginia Chemical Spill, Company Files for Bankruptcy

Friday, January 17, 2014 16:36
% of readers think this story is Fact. Add your two cents.

Freedom Industries, the company behind the chemical leak last week in West Virginia’s Elk River, filed for bankruptcy on Friday, the Charleston Gazette reports.

Roughly 7,500 gallons of the coal-cleaning chemical 4-methylcyclohexane methanol (or MCHM), leaked from a hole in a storage tank into the river, polluting the water supply of 300,000 West Virginians, exposing the lack of a response plan in case of a spill, lack of regulations, fallibility of  safety claims and potentially significant health risks.

The Gazette reports that the company owes over $2.4 million in unpaid taxes to the IRS dating back to at least 2000, and “owes $3.66 million to its top 20 unsecured creditors.”

Bloomberg notes that “Companies facing legal costs and damages following accidents may use U.S. bankruptcy law to protect assets,” while the Gazette adds filing Chapter 11 allows a company to “reorganize and continue operating”

Montreal, Maine & Atlantic Railway (MM&A), the railway behind the deadly Lac-Mégantic derailment,  filed for Chapter 11 bankruptcy weeks after the disaster, leaving many to wonder would be held accountable.



Source: http://rinf.com/alt-news/latest-news/week-west-virginia-chemical-spill-company-files-bankruptcy/

We encourage you to Share our Reports, Analyses, Breaking News and Videos. Simply Click your Favorite Social Media Button and Share.

Report abuse

Comments

Your Comments
Question   Razz  Sad   Evil  Exclaim  Smile  Redface  Biggrin  Surprised  Eek   Confused   Cool  LOL   Mad   Twisted  Rolleyes   Wink  Idea  Arrow  Neutral  Cry   Mr. Green

Top Stories
Recent Stories
 

Featured

Top Global

Top Alternative

Register

Newsletter

Email this story
Email this story

If you really want to ban this commenter, please write down the reason:

If you really want to disable all recommended stories, click on OK button. After that, you will be redirect to your options page.