The Multinational Monitor

October 1990 - VOLUME 11 - NUMBER 10


N A M E S   I N   T H E   N E W S

Exxon Kills the Canary

Exxon Corporation Compiled the worstmine safety record among the 20 largest underground coal producers in 1989, according to the Fifth Annual Mine Safety Ranking put out by the Occupational Safety and Health Law Center (OSHLC), a Washington, D.C.-based public interest law firm. Exxon had 7.8 per 100 full-time miners suffer either a serious or fatal accident in 1989, says the report, which was based on companies' filings with the Mine Safety and Health Administration.

The next worst mine safety records were registered by Pittston Coal Co., Pyro Mining Coal Co., Costain, PLC., a British holding company, and the Shell Mining Co.

Exxon operates two large mines in Illinois through its subsidiary, the Monterey Coal Company. Exxon has ranked near the bottom of OSHLC's rankings for the past three years. "The numbers are staggering when you consider the resources that Exxon is capable of applying to the problem; said J. Davit McAteer, OSHLC's executive director. "The lack of progress by Exxon toward improvement is a sign that the management of Exxon has simply disregarded the lives of the people who work in their mines and continues to recklessly pursue profits before people."

"Every major study has found that motivation at the highest levels of management is among the principal factors in achieving safety," McAteer says. "Exxon management has failed to make the necessary commitment to mine safety. Much as it did after the Valdez disaster, Exxon has thumbed its corporate nose at the miners and their safety concerns."

Exxon disputes OSHLC's findings, Exxon spokesman Tom Torget argues that most of the accidents were "'non-visible' in nature � muscle strains or sprains, or pain." He adds, "We take strong exception to EOSHLC's] characterization of our safety performance."

Bribery in Columbia

Harris Corporation's Degital telephone systems Division (DTS) and two of its corporate officers paid Colombian officials in return for their influence in obtaining government telecommunications contracts, charges a federal grand jury indictment. The indictment alleges that Harris Corp., a major Defense Department contractor, violated the federal Foreign Corrupt Practices Act (FCPA), which prohibits bribing officials of foreign countries.

The indictment asserts that from January through June 1989, John Iacobucci, a DTS vice president, retained a consultant who claimed to have key connections with Colombian officials. Through the consultant, Iacobucci reportedly agreed to make payments to a member of Colombia's national legislature in exchange for the member's influence in obtaining telecommunications contracts for Harris. Iacobucci and Ronald Schultz, DTS director of human relations, allegedly paid the consultant over $20,000, part of which was intended to pay off other Colombian officials.

Harris Corp. denies any wrongdoing. "Harris emphatically denies the allegations and believes the two employees named in the indictment are innocent of any wrongdoing. No payments were made either directly or indirectly to any public official," a company statement says.

LTV Under Attack

LTV Steel company, Inc. faces $30 million in penalties for alleged environmental violations in Indiana. The state of Indiana has sued LTV Steel following repeated efforts by the State Department of Environmental Management (IDEM) to stop the East Chicago-based company from violating pollution standards set by the Clean Water Act and the state's Environmental Management Act.

"Our patience has run out," said IDEM Commissioner Kathy Prosser. "The maximum penalty is being sought because of LTV's flagrant, long-term disregard for our environment. The amount of penalty we are seeking is based on ... more than 1,300 violations of permit limits."

IDEM alleges that the company has failed to heed two previous administrative actions regarding water contamination standards. The company allegedly exceeded discharge limits for zinc, suspended solids, oil and grease, phenolics, lead and cyanide.

LTV Steel denies that it ignored IDEM's earlier orders. "LTV Steel has a demonstrated record of responsibility and will oppose IDEM in its legal action," the company claims. The company says that it has spent nearly $140 million on modern environmental control equipment.

But the company has a history of environmental abuses. The Natural Resources Defense Council ranks LTV Steel as the country's 30th highest emitter of methyl chloroform. The company is cleaning up 9,000 cubic yards of soil contaminated with polycholorinated biphenyls (PCBs) and other toxins at its East Chicago facility. And last year, the government said that LTV was one of the top producers of ozone pollutants in the Chicago area.

Contaminated Workers

Boston Edison knowingly failed to provide adequate training, protective equipment and health monitoring for employees working in contaminated areas at its Pilgrim nuclear power plant, charges a multi-million dollar lawsuit filed by the family of Gary Whiting. Whiting was a carpenter who worked in highly-contaminated areas of the plant and who later died of leukemia.

"Whiting was exposed not only to unnecessary but excessive radiation," claims his family's attorney, James Keane.

The suit alleges that Boston Edison knew of widespread contamination as early as 1972, but failed to take corrective action for many years. It charges that defective fuel rods and other "inadequate systems" caused the "widespread radioactive contamination of the premises, both internally and externally."

Boston Edison refuses to comment on the case.


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