Lodging of Settlement Agreement and Release, Regarding Matters Relating to Comprehensive Environmental Response, Compensation and Liability Act and Other Environmental Statutes

DEPARTMENT OF JUSTICE

Lodging of Settlement Agreement and Release, Regarding Matters

Relating to Comprehensive Environmental Response, Compensation and

Liability Act and Other Environmental Statutes

In accordance with Departmental policy, notice is hereby given that

a proposed Settlement Agreement and Release (``Agreement'') in In re

Avtex Fibers Front Royal, Inc. (``AFFRI''), Bankr. No. 90-20290 (E.D.

Pa.), was lodged on December 11, 1995, with the United States

Bankruptcy Court for the Eastern District of Pennsylvania. The United

States has entered into the Agreement on behalf of the United States

Environmental Protection Agency (``EPA'').

[[Page 1404]]

The Agreement provides for certain textile spinning nozzles

(``jets''), having a precious metal content consisting of approximately

90% platinum, to be melted down, for the precious metal content to be

sold, and for the proceeds to be distributed to certain of Debtor's

creditors. Specifically, fifty percent of the proceeds of the sale

(following payments to the metal refining company, the Trustee, and

Trustee's counsel) will go to secured creditors and approximately 29%

and 21% of the net proceeds will go to the Commonwealth of Virginia and

the United States, respectively. There are six parties to the

Agreement, which resolves two contested motions and an adversary

action, and should result in the United States recovering between

$100,000 and $250,000 against its administrative expense claim in the

bankruptcy action. Further, the secured creditors will release their

liens on debtor's real estate, leaving EPA with the senior lien on the

realty, a 440-acre parcel.

The Department of Justice will receive, for a period of thirty (30)

days from the date of this publication, comments relating to the

proposed Agreement. Comments should be addressed to the Assistant

Attorney General for the Environment and Natural Resources Division,

Department of Justice, Washington, D.C. 20530, and should refer to In

re Avtex Fibers Front Royal, Inc., DOJ Ref. #90-11-3-372.

The proposed Agreement may be examined at the Office of the United

States Attorney, 615 Chestnut Street, Suite 1300, Philadelphia, PA

19106; the Region III Office of the Environmental Protection Agency,

841 Chestnut Building, Philadelphia, Pennsylvania 19107; and at the

Consent Decree Library, 1120 G Street, N.W., 4th Floor, Washington,

D.C. 20005, (202) 624-0892. A copy of the proposed Agreement may be

obtained in person or by mail from the Consent Decree Library, 1120 G

Street, N.W., 4th Floor, Washington, D.C. 20005. In requesting a copy

please refer to the referenced case and enclose a check in the amount

of $18.25 (25 cents per page reproduction costs), payable to the

Consent Decree Library.

Joel M. Gross,

Section Chief, Environmental Enforcement Section, Environment and

Natural Resources Division.

[FR Doc. 96-600 Filed 1-18-96; 8:45 am]

BILLING CODE 4410-01-M