US Levies Record $53Mln Fine Against Gas Company Over Explosion - Justice Dept.

WASHINGTON (Pakistan Point News / Sputnik - 27th February, 2020) Columbia Gas of Massachusetts (CMA) agreed to plead guilty and pay a record $53 million fine to settle charges over a massive 2018 explosion that killed one person, injured 22 and damaged scores of buildings, the Justice Department announced in a press release on Wednesday.

"According to the terms of the plea agreement, CMA will pay a criminal fine of $53,030,116 which represents twice the amount of profits that CMA earned between 2015 and 2018 from a pipeline infrastructure program called the Gas System Enhancement Plan (GSEP). In addition to a fine, CMA's operations will be subject to monitoring during a three year period of probation," the release said.

CMA faced charges of violating minimum safety standards of the Natural Gas Pipeline Safety Act, resulting in over-pressurization of its gas distribution system in the state of Massachusetts.

The US Attorney's Office also entered into a Deferred Prosecution Agreement (DPA) with CMA's parent company, NiSource, under which CMA would be sold to investors and halt all gas pipeline operations in the state.

The DPA credited the company for making substantial voluntary restitution payments to victims and agreeing to resolve all pending civil liability claims.

Videos taken after the September 13, 2018 explosion show dozens of houses ablaze and damages to scores of other buildings.