National Challenge Systems Inc., a waste-management company that collects, transports, disposes and recycles non-hazardous and organic wastes through its subsidiary, Organic Resource Management Inc. (ORMI), in Stratford, Ontario, has been fined $100,000 after pleading guilty to failing to comply with conditions set by the Ministry of the Environment.
The court was told the ministry issued ORMI a Certificate of Approval to store and transfer specified organic wastes. The approval required the company to submit financial assurance and annual reports to the ministry. Despite repeated requests for the annual reports and the required financial assurance, the company did not comply.
Funds needed to clean up abandoned sites
Kate Jordan, a spokesperson with the ministry, says all Certificates of Approval for facilities handling waste require companies to submit financial assurance. “The amount required varies from facility to facility and is calculated based on the amount of waste kept at the site,” Jordan says. The monies collected ensure that if a company abandons a site, the environment ministry has the funds needed to clean up the property.
National Challenge Systems Inc. was required to submit $54,805, says Jordan. “The company could have avoided the fine if it had paid the financial assurance in the first place,” she adds. “The ministry is well within its right to compel a company to comply with its Certificate of Approval. We take these matters very seriously.”
National Challenge Systems Inc. pleaded guilty to failing to comply with condition 24(b) of its Certificate of Approval for not having financial assurance in place. It also pleaded guilty to failing to comply with condition 23 of its approval for not submitting an annual report for the 2005 fiscal year. The company was fined $50,000 on each count.
In January 2007, the company submitted the required financial assurance and annual reports for 2004, 2005, and 2006. The ministry is satisfied that the facility appears to be well-operated and well-maintained.