HD Hyundai Oilbank Executives Sentenced for Illegal Wastewater Discharge…Company Appeals

 

 

 

 

HD Hyundai Oilbank's former and current executives were sentenced to prison in the first trial for illegally discharging wastewater containing phenol, a hazardous substance that exceeded the standard limit. The company strongly opposed the ruling and immediately announced its intention to appeal.

On the 26th, the 27th Criminal Division of the Seoul Central District Court (Presiding Judge Woo In-sung) sentenced former Vice Chairman A of HD Hyundai Oilbank to one year and six months in prison for violating the Water Environment Conservation Act. Four other former and current executives received prison sentences ranging from nine months to one year and two months and were taken into custody in court. Two additional executives, who were indicted on the same charges, received suspended sentences and acquittals, while the company was fined 50 million won.

The court stated, "The illegal discharge of wastewater was carried out systematically over a long period, and if an internal whistleblower had not reported it as a public interest disclosure, the crime might not have been uncovered."

Furthermore, the court pointed out, "The illegal discharge continued as a cost-saving measure, and wastewater supply was only stopped when complaints were raised by local residents, indicating that the crime was committed in a premeditated manner."

The court also noted that after the investigation began, the company diluted the wastewater with clean water to lower the concentration of phenol, stating, "This appears to be an attempt to conceal the crime, which negatively impacted the sentencing."

However, the court acknowledged that "after the incident, the company halted wastewater supply and implemented some reduction measures."

According to the prosecution, HD Hyundai Oilbank is accused of illegally discharging 330,000 tons of phenol-containing wastewater from its Daesan plant to its subsidiary, Hyundai OCI, between October 2019 and November 2021.

Additionally, the company was charged with discharging wastewater to the Hyundai Chemical plant from 2016 to 2021 and evaporating approximately 1.3 million tons of phenol-contaminated water through gas scrubbing facility chimneys without pollution control measures from 2017 to 2022.

Previously, in January 2023, the Ministry of Environment announced its plan to impose a fine regarding this matter. In response, HD Hyundai Oilbank claimed, "The wastewater was recycled as industrial water and discharged in compliance with legal standards," denying any illegality.

However, the prosecution argued, "Reusing wastewater that has been treated within permissible discharge limits is legal, but sending untreated 'raw wastewater' to another facility for use constitutes illegal discharge."

HD Hyundai Oilbank strongly opposed the first trial ruling and announced its intention to appeal.

The company stated, "There are many disagreements regarding factual and legal judgments, so we will immediately appeal," adding, "In particular, there is no direct evidence that pollutants were actually discharged through the gas scrubbing facility, and applying the Water Environment Conservation Act in this case is an excessive legal interpretation."

The company further argued, "There was no intentional wrongdoing, and since there was no external discharge, no environmental pollution occurred."

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HD Hyundai Oilbank Executives Sentenced for Illegal Wastewater Discharge…Company Appeals