(Yicai Global) May 2 -- A chairman of a listed pesticide producer in eastern China’s Jiangsu province was arrested after it emerged that his plant had been discharging untreated wastewater into the local rivers.
Xi Shenghu, chairman of Jiangsu Huifeng Bio Agriculture Co. unit Lianyungang CCA Chemical Co., was apprehended for violations of environmental laws, and the related chemical factory in Lianyungang was ordered to halt production before May 10 to deal with the problems.
Lianyungang CCA Chemical, which mainly produces pesticide lambda-Cyhalothrin, changed its production process and some of its raw materials without permission, while also using tankers to secretly divert toxic liquids, containing sodium chloride, tert-butanol, dimethylformamide, and tar, into local waterways, the China Securities Journal said. The move was part of efforts to save money in waste management fees.
The firm recorded operating revenue of CNY289 million (USD45.5 million) in the first half of last year, with a net profit of CNY32.3 million, making up 13.2 percent of Jiangsu Huifeng Bio Agriculture's total profit.
The company's other plant in Yancheng, also in Jiangsu province, was also ordered to suspend operations due to expansion of production scale, changes in manufacturing processes and storage of hazardous materials with a CNY2.36 million fine incurred.
Editors: Emmi Laine, William Clegg