Acuity Holdings, Inc. - conviction information for 2017-06-11
| Corporation name: | Acuity Holdings, Inc. |
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| Address: | 2500 – 1000 De La Gauchetiere Street West |
| City: | Montreal |
| Province/territory: | Quebec |
| Postal code: | H3B 0A2 |
| Country: | Canada |
| Sector or industry: | 325 - Chemical manufacturing |
| Location of offense: | 11627 178 Street NW, Edmonton, Alberta |
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| Case summary: |
Acuity Holdings, Inc. manufactures and sells various cleaning products, including industrial and commercial laundry detergents, under the registered trade name Zep Manufacturing Company of Canada. On 23 September 2015, Environment and Climate Change Canada (“ECCC”) Enforcement Officers (“EOs”) conducted an inspection of the Edmonton plant. An investigation revealed that Acuity Holdings, Inc. manufactured and sold two commercial laundry detergents ( Zep Lift and Classic TKO), which contained concentrations of phosphorus in excess of the allowable limit. In total, approximately 101,340 kg of Zep Lift was sold in Canada between 28 October 2011 and 29 September 2015. Approximately 12,600 kg of Classic TKO was sold in Canada during the same period. The net sales for both products was $302,518 and the gross profit for sales of both products for that period was $155,845. |
| Charges: |
On or about 28th day of August, 2015 at or near Edmonton, in the Province of Alberta, Acuity Holdings, Inc., operating as Zep Manufacturing Company of Canada did unlawfully manufacture for use or sale in Canada a cleaning product that contains a prescribed nutrient in a concentration greater than the permissible concentration prescribed for that product, to wit: Lift, contrary to section 4 of the Concentration of Phosphorus in Certain Cleaning Products Regulations thereby committing an offence under section 272(1)(a) of the Canadian Environmental Protection Act, 1999.
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| Enforcement notification: | Penalty for Edmonton-based company following investigation of phosphorus levels in laundry detergents |
| Result: | Guilty Plea |
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| Date of conviction: | 2017-06-11 |
| Court level: | Provincial and Territorial Court |
| Nature of offense(s): |
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| Additional details about the nature of the offense: | Manufactured for use or sale in Canada a commercial or industrial laundry detergent with a concentration of phosphorus exceeding 1.1% by weight expressed as phosphorus pentoxide or 2.2% by weight expressed as elemental phosphorus. |
| Act | Regulations | Section(s) |
|---|---|---|
| Canadian Environmental Protection Act, 1999 (CEPA) | Concentration of Phosphorus in Certain Cleaning Products Regulations | 4 |
| Date of sentencing: |
2017-06-11 |
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| Location of sentencing: | Edmonton, Alberta |
| Sentence(s): |
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| Amount of fine(s): | $600,000 |
| Sentencing details: |
On 06 November 2017, before the Provincial Court of Alberta, Acuity Holdings, Inc. pleaded guilty to one count of manufacturing for use or sale in Canada a cleaning product that contained a prescribed nutrient in a concentration greater than the permissible concentration prescribed for that product. Acuity Holdings, Inc. was sentenced to a total penalty of $600,000.00 to be directed to the Environmental Damages Fund and to submit an article for publication in the Environmental Services Association of Alberta weekly online compliance and regulatory newsletter. The article had to describe the facts of the case, issues relating to monitoring phosphate levels in the production of commercial cleaners and lessons learned.
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