The company behind the massive chemical spill that made tap water unsafe for more than 300,000 West Virginians has filed for bankruptcy, according to documents obtained by The Huffington Post.
According to bankruptcy filings, Freedom Industries, wholly owned by Chemstream Holdings Inc., filed for Chapter 11 bankruptcy on Friday. Freedom Industries owns the storage facility responsible for leaking up to 7,500 gallons of 4-methylcyclohexane methanol (a coal-cleaning chemical also known as crude MCHM) into West Virginia's Elk River.
Hundreds of thousands of people in nine counties were given orders not to use water for bathing or drinking for days as the company scrambled to clean up, exposing disturbing vulnerabilities in the water supply and a lack of data about hazardous chemicals and where they're stored. A second site owned by the company was also cited for safety violations shortly after the spill.
A representative for Freedom Industries told HuffPost that the company would not be commenting on the bankruptcy.
Despite the filings, the U.S. attorney's office in West Virginia told HuffPost that the new development would not have any effect on its ongoing investigation into the leak. Freedom Industries currently owes $3.66 million to its top 20 creditors, including more than $2.4 million in unpaid taxes to the IRS.
(h/t the Charleston Gazette)
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