Two co-defendants involved in the first federal case in Alaska charging a mining company and its key operators with violations of the Clean Water Act were sentenced Friday to community work service, avoiding jail time.
Unlike the chief operating officer of XS Platinum Inc. -- James Slade, who opted to take his case to trial -- Robert Pate and James Staeheli pleaded guilty to violations of the Clean Water Act in May and April 2015, respectively.
On Friday, Pate was ordered to perform 120 hours of community work service and to serve three years on probation, according to First Assistant U.S. Attorney Kevin Feldis. He was also ordered to pay a $60,000 fine. Staeheli received the same sentence, but his fine totaled $5,000, the prosecutor said.
The men's sentences were largely based on them providing "substantial assistance" by cooperating with investigators and truthfully testifying against Slade, Feldis said.
"The Court noted that even though Mr. Staeheli took direction for Mr. Slade, and therefore his role in the offense was less, it was appropriate to hold him accountable for making the decision to continue to operate a mine that was polluting a river in violation of the Clean Water Act," he said.
The sentences of both men reflect they were significantly less culpable than Slade, who stood to profit most from keeping the plant running, Feldis said.
Slade was sentenced to a year in prison in late March.
In a trial last fall, a jury found Slade guilty of two misdemeanor violations of the Clean Water Act, also related to discharges of wastewater. He was originally charged with six felonies, and while jurors found him not guilty of three, they deadlocked on three more. His guilty plea, which upgraded one of the misdemeanors to a felony, forestalled another trial.
The imposition of the sentences marks the end of a prolonged legal battle between federal prosecutors and the defendants involved in the major pollution case.
All three men ignored signs of or failed to take actions to stop discharged pollutants from seeping into a salmon-spawning river in Southwest Alaska over the course of two mining seasons. They also falsified compliance reports to the government, prosecutors said.
"These discharges contaminated the river for miles downstream, all the way to Kuskokwim Bay, and put fish and aquatic wildlife at risk. The miners and company charged were responsible for following the Clean Water Act, and for reporting any water quality problems to" state and federal departments, Feldis said. Trial evidence showed they did not make the reports and decided to keep the plant running, he said.
Five defendants were charged in November 2014. The Australians who led the company, Bruce Butcher and Mark Balfour, never responded to charges brought against them and have not been subject to extradition. The company appears to be defunct, prosecutors said.
The charges against the company's leaders remain pending, Feldis said. XS Platinum was able to sell platinum, but law enforcement was unable to seize any assets, he said.