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E-M:/ Bulk Petroleum in Hartland busted

Enviro-Mich message from "Alex J. Sagady & Associates" <ajs@sagady.com>

September 5, 2003

Contact:  Patricia Spitzley
                (517) 241-7397

Bulk Petroleum Corp. Ordered to Pay DEQ $1.09 Million Penalty
Failure to clean up leaking underground storage tank site proves

Ingham County 30th Circuit Court Judge Thomas L. Brown yesterday
ordered the Bulk Petroleum Corp. of Marinette, Wisconsin (Bulk
Petroleum) to  make an initial $1,090,000 penalty payment to the DEQ
within 90 days for failure to properly assess and clean up gasoline
contamination caused by a 1987 release from leaking underground storage
tanks at Bulk Petroleum's MSI #612 site located in Hartland, Michigan.
  The $1,090,000 penalty is the highest ever awarded against an owner or
operator of a gas station for failure to properly investigate and clean
up such a release.  |

The court order is the result of a lawsuit filed by the Department of
Attorney General (DAG) on behalf of the DEQ.  The agencies are seeking a
total of $3,364,400 in fines and penalties for Bulk Petroleum's
multiple violations of Part 213, Leaking Underground Storage Tanks
(LUST), and Part 201, Environmental Remediation, of the Natural
Resources and Environmental Protection Act, 1994 PA 451 as amended, and
for failure to comply with a June, 1993, Department of Natural
Resources, Administrative Order compelling clean up of the facility.

The court justified the awarding of the initial penalty by specifically
citing Bulk Petroleum's failure to submit a complete Final Assessment
Report (FAR) as required by Part 213.  In August, 2000, the DEQ assessed
a $23,400 penalty for failure to submit the FAR; however, Bulk Petroleum
ignored the DEQ and did not pay the penalty.  In calculating the amount
of the penalty, the court applied the maximum penalty allowed by Part
213, $1,000 per day, for the period August, 2000 to August, 2003 or
1,090 days.

In addition to ordering the $1,090,000 paid within 90 days, Judge Brown
also stated that the court is taking the case under advisement and will
monitor Bulk Petroleum's progress toward cleaning up the site.
Penalties the court could assesses for the remaining violations in this
lawsuit will be dependant on Bulk Petroleum's  current actions to clean
up this site, as well as progress on more than a dozen others in the
state on which Bulk Petroleum is initiating clean up activities.   If
Bulk Petroleum fails to properly remediate the sites in a timely manner
the DAG and DEQ may easily return to court and request that Bulk
Petroleum be ordered to pay the full $2,274,400 remainder of the total
penalty sought by the DAG and DEQ.

DEQ Director Steve E. Chester said, "I'm extremely pleased with the
action of the court.  This case sends a strong message to liable parties
that the DEQ will insist on timely compliance with the law, and courts
will not tolerate blatant disregard of public health and environmental


Alex J. Sagady & Associates        http://www.sagady.com

Environmental Enforcement, Permit/Technical Review, Public Policy,
Evidence Review and Litigation Investigation on Air, Water and
Waste/Community Environmental and Resource Protection
Prospectus at:  http://www.sagady.com/sagady.pdf

PO Box 39,  East Lansing, MI  48826-0039
(517) 332-6971; (517) 332-8987 (fax); ajs@sagady.com

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