ELR Citation: ELR 20509
No(s). 00-4335 et al (4th Cir. Mar 8, 2001)

The court holds that although the owner of a wastewater facility that discharged untreated wastewater into a river was properly convicted for violating Clean Water Act (CWA) §309(c)(1)(A), a district court erred in reducing the fine initially imposed by a magistrate judge. The court first holds that under the responsible corporate officer doctrine, the owner bore the necessary relationship to the wastewater facility so that it is appropriate to hold him criminally liable for failing to prevent the charged CWA violations. Evidence indicates that the owner substantially controlled corporate operations, knew of deficiencies in the facility's wastewater filtration system, and controlled the facility's finances, but refused to pay for additional filtration. Also, the owner was regularly present at the facility when the illegal discharges openly occurred. The court next holds that the imposition of a three-year term of imprisonment for the violations did not violate the Eighth Amendment prohibition against cruel and unusual punishment. The court then holds that the district court erred in concluding that CWA §309(c)(1) imposed a $25,000 maximum fine for each of the 12 counts against the owner. Although U.S. Sentencing Guidelines (USSG) §5E1.2(c)(4)'s language refers to the maximum fine authorized by the statute of conviction, which in this case would be the $25,000 limit in CWA §309(c)(1), USSG §5E1.2(c)(4) imposes no limit on the maximum fine when, as here, the statute of conviction authorizes a fine per day of violation. Rather, 18 U.S.C. §3571, which limits the fine to $100,000 per violation, applies.

Counsel for Plaintiff
Michael R. Fisher, Special Ass't U.S. Attorney
U.S. Attorney's Office
600 E. Main St., Richmond VA 23219
(804) 771-2186

Counsel for Defendant
John F. Cooney
Venable, Baetjer, Howard & Civiletti
1201 New York Ave. NW, Ste. 1000, Washington DC 20005
(202) 962-4800

Wilkins, J. Before Wilkinson and King, JJ.