-October 30, 2007
In the latest development in a protracted battle between the federal government and a mining corporation, a 15-judge panel on the U.S. Ninth Circuit Court of Appeals agreed on Monday to review a recent court decision regarding the government's case against W.R. Grace and Company, which owned the Libby, Montana vermiculite mine. The case has been in the courts since the 2005 indictment of the company and several of its managers:
The government's indictment alleged that W.R. Grace and its officials both conspired to conceal information about the toxic nature of the company's asbestos-contaminated vermiculite products and obstructed the government's cleanup efforts.
Toxic Asbestos from Vermiculite
About 1,200 people have been identified as suffering from asbestos exposure at Libby, and the Libby area has a lung cancer rate that is 30% higher than the U.S. and Montana averages. The Libby vermiculite mine was closed in 1990 and later declared a Superfund toxic site by the EPA.
Reversal of District Judge's Rulings
In September, a three-judge panel on the same Court of Appeals reversed several decisions handed down by U.S. District Judge Donald Molloy, including his ruling that federal attorneys could not allege that Grace and its managers conspired to " knowingly endanger" the vermiculite miners and residents of Libby by exposing them to asbestos.
As of October 30, a date has not been set for the review.
Grace Contributing to Miners', Residents' Care
W.R. Grace began The Libby Medical Program to detect asbestos-related disease in Libby-area residents and workers and to help pay for their care. The company has also contributed a total of $2.15 million to St. John's Lutheran Hospital in Libby toward research and care for the 1,000 people enrolled in the program.
According to the federal government's 2005 indictment, W.R. Grace and Company cleared at least $140 million in after-tax profit from its mining facilities in Libby alone. The company has mining operations in nearly 40 countries, and annual sales of about $2 billion.