EPA Investigation Highlights Potential Weaknesses In Pesticide Distribution Controls
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EPA Investigation Highlights Potential Weaknesses In Pesticide Distribution
Controls
Date:
Thu, 9 Jan 2003 09:16:09 -0500
From:
Stephen Tvedten <steve@getipm.com>
Organization: Get Set Inc. (www.getipm.com)
To: Paul Helliker <phelliker@cdpr.ca.gov>
Director, State of California, Department of Pesticide
Regulation
cc: Christine Whitman whitman.christine@epa.gov
EPA Investigation Highlights Potential Weaknesses In Pesticide Distribution Controls
EPA and Justice Department investigators are targeting a network of pesticide manufacturers and suppliers in the United States and overseas who allegedly have been selling counterfeit versions of pesticides that are widely used to fight mosquitoes that may carry the West Nile virus, sources say. The investigation is one of the largest ever into the sale of alleged imitation pesticides, according to one federal investigator, and sources say the inquiry may prompt a rethinking of EPA policies aimed at protecting the distribution of pesticides used for public health purposes.
Federal investigators have been scrutinizing the Sierra Chemical and Supply Company, located in Anniston, AL, for allegedly distributing adulterated versions of popular pesticides.
Sources say investigators have traced the company's distribution of its pesticides to municipalities across much of the Southeast and parts of the Midwest.
The investigators obtained a search warrant and raided Sierra's facility in Anniston on Sept. 25. Sources say that investigators removed samples of pesticide chemicals from the premises along with color photocopied labels of the pesticide Aqua-Reslin, which is a mosquitacide widely used by local governments to kill mosquitoes that may carry the West Nile virus. Aventis Crop Science, which is owned by Bayer, produces Aqua-Reslin.
A key investigator says that Bayer has been informed of the investigation, and a Bayer spokesman says that Bayer is cooperating with any investigation into the adulteration of its products.
Investigators are examining whether Sierra sold imitation versions of Aqua-Reslin and several other pesticides. Investigators are also examining whether Sierra doctored the formulations of brand-name pesticides. Federal sources would not comment on the names of the other pesticides, but a state official familiar with the issue says investigators were scrutinizing whether Sierra was also selling counterfeit versions of Permanone, another mosquitacide produced by Aventis.
Sources say investigators are focusing on Sierra's distribution activity in 2001, potentially extending as far back as 1997.
Sources familiar with the investigation say it may lead EPA officials to reconsider the regulations surrounding the distribution of pesticides, especially pesticides that have a public health function. Currently, EPA requires any person seeking to manufacture, re-label or distribute a pesticide, to register its facility with the agency. Any pesticide sold in the United States must have a valid EPA registration number printed on its label.
Registered facilities must report the amounts of pesticides they produce and sell from the facility. However, producers and distributors are at no point required to test the contents of their pesticides before selling them to other distributors, private users or municipal governments.
But sources say additional regulations governing the distribution of public health pesticides may not stop the kind of possible crimes for which Sierra is under investigation.
Investigators are expecting to file felony criminal charges in the upcoming months against Bill Murphy of Glenco, AL, the owner of Sierra Chemical, for allegedly violating federal copyright and trademark laws, as well as misdemeanor charges for violating provisions in the Federal Insecticide, Fungicide and Rodenticide Act governing labeling and adulterated pesticides, sources say. In addition, investigators are looking at potential violations of customs laws, claiming that Sierra may have imported much of its raw materials from overseas.
Murphy denies any deliberate mislabeling of pesticides, while conceding that he may have not followed federal pesticide regulations to the letter of the law. Murphy admits to "some wrongdoing, mostly out of ignorance."
"We did some things wrong, particularly when we first got started," Murphy says. But he adds that as he has gained more experience in the pesticide industry, his company has had no problems since. "Our material is extremely well-received by those who use it," he says.
Federal investigators are looking at whether Sierra made copies of Aqua-Reslin labels and placed them on canisters of Sierra's own pesticide formulations, which sources say was a rough approximation of Aqua-Reslin. Sources say Sierra sold pesticides carrying the Aqua-Reslin label to municipalities in states across the Southeast and parts of the Midwest, including Georgia, Alabama, Louisiana, Ohio and Illinois, at prices well below the general market rate for the brand-name pesticide.
Sources estimate Sierra may have accumulated at least hundreds of thousands of dollars in revenue from the sale of these pesticides.
Murphy says he purchased Aqua-Reslin labels that he assumed were ready to use. He then purchased Aqua-Reslin, poured the pesticide into different containers, and then placed the labels on the new containers. "We shouldn't have repackaged anything," Murphy says, while denying that he placed the labels on his own product.
Sources familiar with the investigation say that tests of Sierra's pesticides revealed chemical concentrations that were sometimes too high and other times too low to match the concentrations of chemicals in Aqua-Reslin. "It was pure Russian roulette," the source says. "It would have some efficacy, but not as high," says another source, adding, however, that some of the pesticides were "close."
Investigators are also examining potential criminal violations in Sierra's supply chain, which sources say investigators have traced back to a British chemical company. Investigators believe that a middle man familiar with chemical suppliers in Europe may have acted as a broker between Murphy and the British company, a transaction that sources say may have violated U.S. customs laws governing the import of chemicals. Sources say that among the possible customs violations that investigators are pursuing, officials are examining whether proper tariffs were paid on the imported chemicals.
Sources say that investigators are also examining other suppliers, both domestic and international, to determine whether Sierra may have obtained raw materials from other facilities.
Date: January 8, 2003 © Inside Washington Publishers
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