ML20151N281

Forwards Rept of Investigation Re Plant Matl False Statement Case 3-86-006.Investigation Closed

ML20151N281
Person / Time
Site:	Fermi
Issue date:	04/24/1987
From:	Hayes B NRC OFFICE OF INVESTIGATIONS (OI)
To:	Davis A NRC OFFICE OF INSPECTION & ENFORCEMENT (IE REGION III)
Shared Package
ML20151N259	List: ML20151N257 ML20151N281 ML20151P289 ML20151P320 ML20151P345 ML20151S060 ML20151S069 ML20151S096 ML20151S101 ML20151S125 ML20151S147 ML20151S208 ML20151S213 ML20151S249 ML20151S263
References
FOIA-88-227 NUDOCS 8808080167
Download: ML20151N281 (2)

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i MEPCDANDUM FOR: A. Bert Davis, Actir,g Admir.istrator r Region !!!

FROM:  ! en B. Hayes, Director i (V0fficeofInvestigations  !

1

SUBJECT:

FERMI POWER Pi. ANT, UNIT 2: MATERIAL FALSE STATEMENT l (CASE NO. 3-86-006)

Enci 3ed is the Office of Investigations (01) Report of Investigation concerning the above matter.

Infomation develo Corrpany's (DECO's) ped during former this Director of investigation revealed Nuclear Security (DNS)that atDetroit Edison the Femi '

Power Plant, Unit 2 (Femi) willfully furnished false infomation to an NRC inspector during an inspection (No. 50-341/85047) on or about November 12, 1985.

l Specifically, in June 1986, 01 began to investigate an allegation which was '

based upon information provided by a DECO huclear Security Specialist (NSS) to a Region Ill (RIII) inspector during an inspection conducted at Femi during November 12 through December 27, 1985. The NSS infonned the inspector that Safeguards Infomation (SI) had been entered into Deco's Comprehensive Electronic Office (CEO) system under the direction of the DNS during the preparation of a written report submitted to the NRC regarding a security 1 incident which had occurred at the plant on November 1,1985. The NSS stated that the DNS was aware that the CEO system had an offsite transmission 4 capability since he had access to the results of an inquiry as to why the CEO should not be used for Si and which had been completed by one of his own staff members on September 30, 1985. The results of the inquiry state that "the system is not self contained within the facility."

Subsequent to receiving the allegation from the NSS, an NRC Inspector con-fronted the DNS on or about November 12, 1985, and in response to an inquiry  !

as to why the CEO was used for $1, he stated that he had been "unaware of the l of.fsite transmission capability" of the system. This statement by the DNS to the inspector was incorporated into an inspection report and was the basis of the allegation.

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btW A. Bert Davis 2 April 24, 1987 O! was abic to corrot: rate the information provided by the ' 3 and also developed evidence ircicaiing that the DNS was aware of the nr'ents of the results of the incuiry into the use of the CEO system fcr S: shortly af ter its completion on September 30,19EE., The investigation also resealed that the Assistant CKS had war ec the DNS, as confimed by two other E2 employees, not to use the CEO ir. the preparation of the five day letter.

In view of the foregoing, 01 was able to establish that the :NS was knowledgeable that there existed questions as to the suitabi:ity of using the CEO for processing Si, and that his . statement to the ins:ector, which implies his lack of krewledge, was false and an attempt to c'slead the NRC inspector.

Certain portions of the exhibits to this Report of Investigat. ion contain SI of the type specified in 10 CFR 73.21. Accordingly, those partions of the exhibits so identified should be withheld from public disclosure and handled in accordance with the applicable regulations.

This '.1vestigation has been closed by 01. This report has been forwarded to you f sr your infonnation and whatever action ycu deem appropriate. You should also be aware that a copy of this investigation report has been forwarded to the Department of Justice for possible use in a criminal prcsecution. Neither this memorandum nor report contents may be released outside the NRC without the pemission of the Director, 01. Internal NRC access and dissemination ,

should be on a need ard right-to know basis.

Enclosure:

As stated (UNCLASSIFIED SAFEGUARDS INFORMATION) cc w/ encl:

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