W.R. Grace indicted for asbestos endangerment

February 4, 2005
The U.S. Department of Justice and the Environmental Protection Agency said a federal grand jury in the District of Montana has indicted W.R. Grace and seven current and former Grace executives for knowingly endangering Libby, Montana residents, and concealing information about asbestos health effects regarding its asbestos mining operations.

W.R. Grace operated a vermiculite mine in Libby, Montana from 1963 to 1990. Vermiculite was used heavily in common products like attic insulation, fireproofing materials, masonry fill and as an additive to potting soils and fertilizers. As far back as the 1970s, W.R. Grace and its executives attempted to conceal information about the vermiculite mining operations and distribution of vermiculite in the Libby, Montana community, according to the indictment.

In addition, the defendants are accused of obstructing the government's cleanup efforts and wire fraud. Asbestos is considered one of the main industrial causes of cancer in the world, and asbestos exposure increases the risk of developing a rare cancer called mesothelioma, as well as other asbestos- related disease. To date, approximately 1,200 residents of the Libby area have been identified as suffering from some type of asbestos related abnormality, according to the indictment.

The U.S. Attorney for the District of Montana, William W. Mercer, described Libby as a "human and environmental tragedy," saying the indictment "seeks to hold Grace and its executives responsible for the misconduct alleged." Vermiculite deposits in Libby were contaminated with a form of asbestos called tremolite. Health studies on Libby area residents show increased incidence of many asbestos related illnesses, including a 30 percent higher rate of lung cancer when compared to other areas of Montana and the United States.

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