Newspaper Page Text
Wednesday, March 31, I9B2
The Ked and Black
Pages
Ga. Power may be fined for nuclear violations
BAXLEY, Ga. (UP1) —
The Nuclear Regulatory
Commission moved Tuesday
to assess a $50,000 fine
against the Georgia Power
Co for safety violations
involving a key emergency
cooling system at the Hatch
Nuclear Plant.
The fine, which can be ap
pealed by Georgia Power, is
the largest ever proposed
against the utility.
The NRC also proposed a
similar fine against the Ten
nessee Valley Authority for
safety violations at the Se
quoyah Nuclear Plant near
Chattanooga, Tenn
NRC spokesman John
Kopeck said the proposed
Georgia Power fine centered
on a faulty valve on the
emergency reactor cooling
system He said Georgia
Power had replaced the
valve four times, but had not
‘‘immediately
demonstrated" that another
backup cooling system was
working.
In a statement, the NRC
also said some $10,000 had
been tacked on to the fine
because the utility, when
told of the problem by its
own staff, did not move im
mediately to implement pro
per procedures.
Georgia Power spokesman
Leslie Lampkins said the
utility is studying the NRC
allegations and had not
made a decision whether to
appeal the proposed fine or
not
She also couldn't say why
the utility apparently decid
ed not to heed the advice
from its quality assurance
staff on the problem.
Georgia Power officials
said the valve diaphragm
controls steam that is chan
neled to power a turbine dur
ing an emergency In an
emergency, the turbine
rapidly sprays water around
the nuclear core to cool it.
Lampkin said the valve
was located on Unit 1 at the
two-unit plant and the reac
tor was not shut down while
the safety system was in
operable
Tax scheme could center in 2 towns
ATLANTA (UPI) - The
Georgia Department of
Revenue identified two
Upson County towns
Tuesday where about 50
people are under in
vestigation in connection
with a possible scheme to file
fraudulent income-tax
forms.
Revenue Commissioner
Bill Strickland said tax
records had been sub
poenaed in Thomaston and
Woodbury, two southwest
Georgia towns located about
25 miles apart.
“There have been other
scattered, similar
discrepancies that are also
being investigated,"
Strickland said. "In
formation will be released as
to the geographic location of
the other subpoenas after
they are served.”
The commissioner said 50
subpoenas were served
March 24 relating to “the
apparent filing of fraudulent
income-tax returns.”
"We’re investigating what
we think may be a scheme,"
said Beryl Sellers, a
Revenue Department
spokesman
The Revenue Department
announced Monday the
operation was caught by
department computers
programmed to “kick out”
tax returns that look
suspicious. Strickland ex
plained there is a
"mathematical norm" of
deductions for each income-
tax bracket and that the
machines reject any income-
tax returns that vary sub
stantially from the norm.
“Our computers kicked
out some returns,”
Strickland said. “It ap
peared there was a ring of
fraudulent operation in a
couple areas of south
Georgia.”
He said he could not be
more specific until the
department’s subpoenas are
answered and criminal
charges are filed. Strickland
said the state revenue code
protects the identities and
financial details of tax
payers until they are
charged with a criminal
violation
"It appeared to involve
some taxpayers and tax
preparers is all I can say,"
Strickland said.
He added that “the last
count I had was ap
proximately 100 returns"
that were suspect. He said
the amount of revenue in
dispute was probably not
large, but “there’s no way to
tell on that until we get the
records" the department has
subpoenaed.
Strickland said the
disputed tax claims were
“mostly individual returns"
and involved such violations
as “filing more than one
return, falsifying signatures,
falsifying exemptions,
deductions or income.” He
said "about four preparers"
were involved.
“If an emergency system
is not operating you
shouldn't be operating the
reactor," Kopeck said.
But Lampkin said, at the
time the emergency cooling
system was not operating,
the plant had another
emergency system it could
rely on.
Kopeck said the alleged
violation occurred from Aug
7 through Aug 22.
In an emergency at a boil
ing water reactor such as the
one at Hatch, water from the
emergency cooling system is
sprayed from the bottom of
the unit through the reactor
to keep it from overheating.
NRC officials in Atlanta
said the Georgia Power
violations resulted “in the in
tegrity of a key plant system
being dependent on a
substandard component."
Richard DeYoung, direc
tor of the NRC's Office of In
spection and Enforcement,
said the agency was also
concerned that Georgia
Power did not declare the
safety system inoperable,
even though such action was
recommended by the Hatch
quality assurance staff.
DeYoung said the penalty
for the alleged violation was
increased by 25 percent
because “you (Georgia
Power) could reasonably
have been expected to have
taken effective preventive
measures "
James P. O’Reilly of
NRC's Atlanta office said
Georgia Power had taken
steps to correct and improve
the procedures for dealing
with the alleged violation.
Lampkin said the propos
ed fine would be the fourth
against Hatch. In I960, NRC
assessed a $4,000 fine for
violations at Hatch, a $15,000
fine and in late 1980 a $40,000
fine was assessed.
At Sequoyah, the penalty
was for allowing control rods
to remain withdrawn too far
from the Sequoyah Plant's
new Unit 2 reactor, which
just reached full power last
week
The penalty at the $2 3
billion Sequoyah plant mat
ched the largest fine ever
levied against TVA, a
government utility set up in
1932 The agency was fined
$50,000 in June 1980 but the
amount was later reduced to
$45,000
Gwin said there was no
danger at any time to the
public at the Sequoyah
Plant
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