Business Regulations

Essay by prevettiUniversity, Master'sA+, March 2008

download word file, 6 pages 3.0

Alumina, Inc., (AI) is a producer of aluminum that operates in eight countries worldwide. A few of AI's products include packaging materials, aluminum smelting and bauxite. Alumina, Inc. is currently valued at $4 billion dollars.

AnalysisFact OneFive years ago, the Environmental Protection Agency, during a routine compliance visit, found AI to be in violation of the current EPA standards in regard to environmental discharge and fined AI. After the fine, AI has done everything in the company's power to follow all environmental code regulations. Most recently, Kelly Bates, a local resident who lives in the area of one of AI's plants, has claimed that AI is not following the current regulations regarding environmental waste and has accused AI's non compliance with her 10-year old daughter's diagnosis of leukemia.

Fact TwoThe local newspaper, The Erehwon Reporter, recently wrote a story pertaining to Kelly Bates' accusations of leukemia and AI's non-compliance of carcinogenic effluents that have polluted the waters of Lake Dira.

AI's position is that traffic pollution is the cause of the increase of polycyclic aromatic hydrocarbons (PAH) not AI's non-compliance.

Pursuant to the Clean Water Act of 1972, water quality standards fall under the blanket of the EPA. The act states "it is unlawful to discharge any pollutants into navigable waters unless authorized by permit." (EPA 2007)Fact ThreeNumerous stakeholders are involved, the residents where AI does business and AI as a whole, including employees and shareholders. Arthur Todd, Legal Counsel for AI, states "I am convinced our systems are effective and the emission rate is way below the prescribed level." (UoP Scenario 2008) Words are words. They mean nothing without proof. Knowing this, AI opted to have a private environmental study done to backup their statement. The study ruled in AI's favor and stated that levels were in compliance...