Freedom Industries

Tue, 2014-12-09 16:47Mike Gaworecki
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Charges Filed Against President Of Freedom Industries, Company That Contaminated Drinking Water Of 300,000 West Virginians

The FBI has filed criminal fraud charges against Gary Southern, former president of Freedom Industries, the company responsible for contaminating the drinking water of 300,000 West Virginians with 10,000 gallons of a toxic coal-cleaning chemical called Crude MCHM that leaked into the Elk River.

The charges stem from Southern’s actions in the aftermath of the chemical spill, when the embattled company executive, who drew fierce criticism for drinking from a water bottle during a press conference in which he was attempting to apologize to West Virginians for contaminating their water supply, allegedly lied about his involvement with Freedom Industries in an attempt to shield himself from lawsuits and thus protect his personal fortune.

In a sworn affidavit included in the criminal complaint, FBI Special Agent James Lafferty says “Southern engaged in a pattern of deceitful behavior” centered around his role at Freedom before it was purchased in December 2013 by a company called Chemstream and his knowledge of conditions at Freedom’s Etowah Facility, the chemical storage site responsible for the chemical leak.

Thu, 2014-09-25 07:00Farron Cousins
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West Virginia Officials Worried Freedom Industries Skimping On Chemical Spill Cleanup

In early January of this year, a chemical storage facility run by Freedom Industries ruptured and leaked thousands of gallons of chemicals into West Virginia’s Elk River. The leak occurred less than 2 miles from a water treatment plant that serves as many as 300,000 nearby residents. 

Almost 9 months after the spill occurred, West Virginia officials are concerned that Freedom Industries is dragging their feet on the cleanup.

The West Virginia Department of Environmental Protection (DEP) said that the company needs to be focused on actually cleaning up the spill instead of focusing on entering a “voluntary” remediation program.

The comments came a few days after Freedom Industries submitted an updated remediation proposal to the DEP outlining their plan to start digging and testing soil and water samples in the future. To date, the company has not even finished demolishing their outdated and dangerous storage tanks that caused the spill in the first place. 

Tue, 2014-01-21 13:17Guest
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West Virginian Communities Still In Need After Coal Chemical Spill

This is a guest post by Jesse Coleman, cross-posted from Greenpeace USA blogs

On January 9th, Freedom Industries, a company that stores chemicals for the coal industry, spilled 7,500 gallons of crude Methylcyclohexanemethanol (MCHM), a little known, little understood compound into the Elk river. The spill occurred one mile upriver from the water intake that supplies tap water for all of West Virginia's capital city of Charleston.

The thick oily chemical was pumped through the water system and into homes and businesses throughout the area, causing vomiting, skin problems, and diarrhea. Now, nearly two weeks since the disaster was discovered, the water has been deemed “safe to drink,” though water from the tap still releases a sickly sweet chemical odor, especially when heated.

Pregnant women and children are still advised to drink bottled water, but very few people in the affected area are interested in drinking from the tap, with child or not. The tremendous need for potable water has led to the creation of the West Virginia Clean Water Hub, a community led effort to provide the people of Charleston and the outlying areas with bottled water, a need that government agencies have largely ignored. Sign this petition to demand justice for people whose water has been poisoned.
  

Sun, 2014-01-19 16:34Farron Cousins
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West Virginia Polluter Freedom Industries Files For Bankruptcy To Halt Lawsuits

Freedom Industries, the company that recently leaked thousands of gallons of toxic chemicals into the Elk River in West Virginia, quietly filed for bankruptcy this past Friday to shield themselves from the onslaught of lawsuits filed against the company.

The current owner of Freedom Industries, J. Clifford Forrest, took control of the company about a week before the chemical spill occurred, and only a week later filed for bankruptcy.  According to the filing, the company owes more than $3.6 million to creditors (a fact that was known when Forrest bought the company in late December). 

What Forrest couldn’t have known at the time was that he was sitting on a time bomb, and that his newly purchased company had been skirting safety regulations and vital equipment upgrades in an effort to save a few bucks in the short term. 

The company is now facing an investigation by the U.S. Department of Justice, in addition to at least 20 separate lawsuits from residents. The number of lawsuits is expected to rise, as the chemicals spill is estimated to have poisoned at least one-sixth of West Virginia’s entire water supply.

But Forrest isn’t the victim in this case. His decision to file for bankruptcy protection had nothing to do with the prior debts that the company owed, and everything to do with preventing the millions of dollars his firm will be forced to pay out in lawsuit settlements. The bankruptcy filing will effectively temporarily “stay” the lawsuits, which prevents any payments from being made.

Forrest knew this, and this is why he had his company file bankruptcy. But this doesn’t mean that the company is no longer in business. To the contrary, Raw Story has revealed that Forrest is also the owner of a brand new firm called Mountaineer Funding LLC, which is funding the company to the tune of $5 million (more than enough to handle their current, non-lawsuit liabilities). So the liabilities of Freedom Industries can be handled by Forrest’s funding firm, as can the daily operations, but the lawsuits are now being held in limbo since Freedom Industries is technically “bankrupt.”

Sat, 2014-01-11 09:57Farron Cousins
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Coal Chemicals Taint Water Supply of 300,000 In West Virginia, Hundreds Sickened

Early Thursday, a chemical spill along West Virginia’s Elk River contaminated the tap water of as many as 300,000 West Virginia residents across nine West Virginia counties. The chemical spill occurred at a storage facility for Freedom Industries less than two miles from a major water treatment plant.

Freedom Industries produces chemicals that are used widely in mining and steel production.

The leaking storage tank contained the chemical 4-Methylcyclohexane Methanol which is used to “treat” coal supplies before they are shipped for burning. According to ThinkProgress, the chemical “severe burning in throat, severe eye irritation, non-stop vomiting, trouble breathing or severe skin irritation such as skin blistering.”

According to the West Virginia Department of Environmental Protection (DEP), between 2,000 and 5,000 gallons of the toxic chemical made its way into the water supply. 

Residents in the area were immediately warned to stop using tap water, out of fear that the chemicals could severely harm anyone who consumed them. Chemical levels have fallen in the two days since the spill, but the ban remains in effect as the levels in the water are still far too dangerous for residents.

As of Friday, according to The Guardian, at least 670 people had called into the poison control center with reports of vomiting, nausea, skin irritation, and other symptoms. 

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