Alumina Regulatory Risk Plan


      Alumina, Inc. Regulatory Risk Plan
      Erin Burns
      University of Phoenix

      Professor Wicker
      March 1, 2010

      Alumina, Inc. is a $4 billion aluminum maker recently under fire for possible EPA violations stemming from a single violation that happened five years ago. Although that situation was resolved, a woman by the name of Kelly Bates recently made claims against Alumina alleging that her daughter’s leukemia is directly linked to Alumina and that they continue to pollute the water. Alumina was required to do some quick thinking in order to keep damage control to a minimum regarding this situation. Although the situation was resolved in the best possible way, a system should be in place to handle such an occurrence should a similar thing happen again in the future.
      Alumina did indeed have a problem with the EPA five years ago, when, during a routine check, it was discovered that the PAH concentration was over the limit. The EPA ordered Alumina to do a thorough cleanup, which they did very promptly, and the situation was put to rest as “corrected.” However, Kelly Bates recently came forward with accusations against Alumina once again, claiming that her daughter’s leukemia started with the EPA violation five years ago and that Alumina is continually poisoning the environment and the lake.
      To counteract this situation, Alumina ordered an independent study to be done to determine if there actually is another PAH problem. The study showed that the PAH levels are actually significantly lower than the standard, which put the bad press to a halt for the moment, but did not quell Ms. Bates’ insistence that the previous problem was the cause of her daughter’s illness. In fact, she threatened Alumina with a $5 million lawsuit and spoke again to the press, which prompted Alumina to order a partial release of the EPA report concerning their previous violation....