
400 tons of rotting salmon raises legal stink
MISDEMEANORS: Companies were negligent, state
lawyers say.

By
ALEX deMARBAN
Anchorage Daily News

January 12, 2007
Two out-of-state companies and two
individuals face criminal charges for trying to sell more than 800,000
pounds of rotting salmon during a disastrous attempt at running a
Bristol Bay processing plant in 2004, state prosecutors said this week.
Jeremy Oliver, 36, of Washington managed
the processing plant at Ekuk near Dillingham. It was "an
environmental and economic catastrophe," according to state
charging documents.
Oliver worked for Wild Alaskan Seafood
Co. of Washington.
Jay Enis of Florida managed Strategica
Import-Export Financial Group, the company that financed and controlled
the plant, documents say.
The two companies and both men face the
same five misdemeanor charges, including mishandling salmon, processing
rotting salmon and processing salmon without required state permits or
plans.
The companies didn't pay more than three
dozen fishermen who supplied the fish and did not pay or only partially
paid about 100 employees at the plant, the charges say.
The venture failed because the owners
were negligent, weren't prepared and lacked experience, the charges say.
In the end, state environmental officers
had to destroy or make fish meal out of more than 400 tons of salmon
that wasn't processed quickly enough. The fish would have been worth
millions of dollars, the charges say.
Efforts to reach Enis and Oliver were
unsuccessful Thursday.
The mounds of wasted fish could have
filled about 16 40-foot shipping containers, said Manny Soares, head of
the state's seafood section.
Soares said he hadn't heard of a case
involving this much spoiled fish since the 1980s, when Bristol Bay
lacked ice-making machines and other technology that today help keep
fish fresh.
"This was exceptional, especially
for this day and age," Soares said.
According to the charges, here's what
happened at the plant Wards Cove Packing Co. had operated until 2002.
Oliver was the primary manager of Wild
Alaskan, which was created in early 2004 and leased the Ekuk facility
for two years.
Ekuk, thought to have been a major Eskimo
village at one time, has no residents today, according to the state.
It's located on the edge of Nushagak Bay, about 17 miles southeast of
Dillingham.
In early June 2004, before the start of
the salmon season, Oliver sold the company to Strategica, a merchant
bank from Florida. Oliver said he had an Oregon buyer lined up to
purchase salmon, but that wasn't true, according to the documents.?
Oliver began purchasing fish from local
set-net fishermen on about June 15 in exchange for promise of future
payment. The company also hired Lower 48 and foreign workers to head,
gut and freeze the fish.
Almost immediately, fishermen began
complaining to a state biologist that the company didn't have freezer or
refrigerator space to handle all the fish it was buying.
State troopers following up on the
complaints found that refrigerated seawater tanks to hold the freshly
caught fish were too warm, and that ice machine and refrigeration units
didn't work.
On July 9, fisherman John Bouker of
Dillingham reported to troopers that the plant contained about 50,000
pounds of rotting salmon and that Oliver was directing employees to
"periodically add fresh water and ice to the tanks to make the fish
look fresh."
Troopers visiting the facility over the
next few days, at times with search warrants, reported seeing rotting
fish or "fish with exploded entrails."
Also, many of the frozen fish were
bloody, rotting and stuck together because freezers weren't cold enough.
Fly larvae coated buckets of salmon roe.
On July 12, state health officer Cherie
Rice found thawed fish in cold storage tanks with disintegrating brown
gills, sunken eyes and bloated bellies. There was also spoiled fish in
the freezers.
Rice issued a notice of violation for
processing rotten product, charging documents say, and detained more
than 1 million pounds of fish. A fraction of that was later sold for
about $150,000. The rest was destroyed or ground into fish meal.
The buying and processing of rotten fish
continued after Rice issued the notice.
The misdemeanor charges are "Class
A," said Mark Morones, Department of Law spokesman. They could
bring up to one year in jail and a $10,000 fine for individuals, and up
to $200,000 for a business.
The court has not set an arraignment
date.
Daniel Cheyette, assistant attorney
general, said allowing the fish on the market could have created a
public health catastrophe and a public relations disaster for the
state's seafood industry.
Daily News reporter
Alex deMarban can be reached at ademarban@adn.com
or 257-4310.
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Source: http://www.adn.com/money/industries/fishing/story/8555731p-8449302c.html
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