ML20247Q751
| ML20247Q751 | |
| Person / Time | |
|---|---|
| Issue date: | 03/30/1988 |
| From: | Marsh R NRC OFFICE OF INSPECTION & ENFORCEMENT (IE REGION V) |
| To: | Flynn T JUSTICE, DEPT. OF |
| Shared Package | |
| ML20247Q579 | List: |
| References | |
| FOIA-89-225 NUDOCS 8908070240 | |
| Download: ML20247Q751 (1) | |
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..dlTED STATES 5, !- NUCLEAR REGULATORY COMMISSION -
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Tom Flynn:
i Thought you may be interested since this has similarities to the matters we are working on.-
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DCS No: 300 '2880323 , J Date: Ma rs., 23, 1988 PRELIMINARY NOTIFICATION OF EVENT OR UNUSUAL (CCURRENCE--PNO-I-88-33 This preliminary notification constitutes EARLY notice of events of POSSIBLE safety I or public interest significance. The information is as initially received without l verification or evaluation, and is basically ell that is known by the Region I I I staff on this date. i Fecility: Radiation Technology, Incorporated Licensee Emergency Classification.
Lake Denmark Road Notification of Unusual Event i Rockaway, New Jersey 07866 Alert !
DN 30-07022 Site Area Emergency General Energency X Not Applicable i
Subject:
SUMMARY
OF RECENT EVENTS PERTAINING TO RADIATION TECHNOLOGY, INC.
Radiation Technology, Incorporated, (RTI) is licensed by the NRC to operate a commercial irradiator facility in Ruckaway, New Jersey, utilizing up to 3,000,000 j curies of cobalt-60 in sealed sources. RTI has been the subject of several NRC ;
escalated enforcement and investigative actions since 1977 as a result of willful disregard of NRC regulatory requirements relative to the safe operation of the firm's irradiator facility. As a result of continuing findings in this regard, ,
the li ense was suspended twice by the NRC in mid-1986 and the findings of several j NRC investigations were subsequently referred to the United States Department of Justice for prosecutorial review. l Following major corrective actions on the part of RTI, including the installment of a new management team, a conditional six mcnth probationary license 5:as issued I August 22, 1986. Since that time, the licensa has been maintained as active due to a timely license renewal request filed by P11. Since the licensee was allowed to resume operations in August 1986, the NRC has observed good safety performance and strict conformance with regulatory requirement s (only two violations were identified j during 27 NRC inspections). The NRC delayed ienewal of the license to observe the '
performance of the new management team, resolse certain tecnnical matters, and verify thtt the new management was not implicated in previously identified wrongdoing.
On March 16, 1988, the US Attorney for the District of Nev Jersey announced that RTI pied guilty to providing false information to the NRC relative to the company's failuie to maintain certain NRC required safety systems. RTI's action in this regard indicates that the company acknowledges its legal responsibility for actions of former officers of the corporation. In this same matter, a fctmer employee, Thomas Powell, pied guilty to conspiring with other employees to obstruct NRC's investigation of activitit s pertaining to providing false information and to willfully violating NRC regulatory requirements. Sentencing for Powell could include up to 5 years imprisonment and a
$250,000 fine. RTI faces fines up to $1,000,000.
On March 17, 1988, the NRC renewed RTI's license for a two year probationary period.
Such renewal was made in view of the fact that the management and employees primarily responsible for the previous performance of 1 c2nsed activities, including deliberate attempts to mislead the NRC, had resigned fror, the company; and the NRC's observation:
that the new RTI management team had significi r tly improved facility operations, enhanced safety, performed extensive decontam nation of the plant, and was committed to rer, ovate safety systems and facilities to essure continued safe operation. To assure that adequate performance continues, the license requires frequent periodic eudits by an independent agent wh,o will report findings to both the NRC and licensee.
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l Additionally, NRC 1 continue to perform frequen' ispections of the RTI f acility during this two year period.
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. 1Dn March 18, 1988, the US Grand Jury for the District of New Jersey returnitd a multil count indictment against Dr. Martin Welt, former President, Chief Executive Officer i Radiation Safety Officer of RTI; and William Jouris,.former Operations Maniger of RT:
Seven counts were directed to Dr. Welt and five counts were directed to Mr. Jouris ft various acts, including conspiracy to def raud the United States by impedint lawful government functions of the NRC, willful violation of NRC regulatory requirements, providing false information to the NRC, and otherwise conspiring to deceivi, misrepresent, and make fraudulent and fictitious statements and representa . ions to the NRC relative to the performance of licensed activities. The violation: identifi.
in the indictments were-against Title 18 and Title 42 of the United States Code. If convicted, Dr. Welt may face up to 37 years imprisonment and fines in excet s of
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$1,500,000; and Mr. Jouris may face up to 22 years imprisonment and fines ..s high as
$1,000,000.
This Preliminary Notification is for information only. Press releases on .hese matters have been issued by the US Department of Justice and the NRC.
The State of New Jersey has been informed.
CONTACT: J. White J. Joyner 346-5102 346-5251 DISTRIBUTION:
H. St. MNBB WF NL Mail: ADM:DM8 Chairman Zech EDO NMSS RES DOT:Trans only Comm. Roberts PA NRR Comm. Bernthal OGC OIA NRC Ops Ctr Comm. Carr AE00 01 Comm. Rogers ARM SLITP ACRS INPO----
SFCY NSAC----
CA i PDR Regional Offires TMI Resident Section OGC-H RI Resident Office GPA Licensee:
.(Reactor Lice) sees)
Region 1 Form 83 (Rev. March 1988) i i
l RI:DRSS RI:DRSS RI: SLO RI:PA0 i White /ms Joyner Miller Abraham ,
3/ /P8 3/ /88 3/ /88 3/ /88
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