Waste firm will pay $3 million in fines

Deal helps avoid criminal charges in probe involving illegal immigrants

By JAMES PINKERTON
Copyright 2008 Houston Chronicle
Oct. 2, 2008, 12:06AM

A national waste disposal company has avoided federal criminal charges in Houston after agreeing to pay $3 million in fines and cooperate with an investigation of illegal immigrants hired by a local subsidiary.

Republic Services Inc., with 13,000 employees and operations in 21 states, agreed Wednesday to pay the U.S. government $1 million and another $2 million to the city of Houston. The agreement involves criminal wrongdoing at the firm's Houston subsidiary, Republic Waste Services of Texas, located at 2010 Wilson Road.

Republic Waste had a contract with Houston from 2000 to 2007 to collect city garbage.

Immigration and Customs Enforcement agents began a criminal investigation following a KTRK (Channel 13) broadcast in November 2005 that reported undocumented workers at the Wilson Road facility.

A federal search warrant was executed in January 2007, and ICE agents detained 28 illegal immigrants hired by Republic Waste and another 24 working for a temporary employment agency.

''This agreement and payments illustrate that large corporations will be held accountable for the illegal actions of subordinate managers employed by subsidiaries in regards to the hiring and employment of illegal aliens," said Bob Rutt, special agent in charge of ICE criminal investigations in Houston.

Will Flower, vice president of communications at Republic Services headquarters in Fort Lauderdale, Fla., said his company cooperated fully.

He said after corporate executives learned of the allegations at the Houston facility, they implemented measures to ensure the firm "would not make similar errors."

''This included improving our policies and procedures, as well as our audit program for employee records to ensure compliance with immigration laws," Flower said.

The $2 million criminal payment to Houston, and a $2 million payment Republic Services made to the city last year, are reimbursement for improper charges billed during a $56.8 million city garbage collection contract that expired in 2007. Garbage haulers for Republic were bringing non-city trash to a local landfill, but the city was charged for the disposal, according to documents.

Republic Services, as part of the government agreement, will assist in the government's investigation of two former managers at the Houston facility who are suspected of wrongdoing, officials said.

An ICE audit of the facility showed 25 percent of the work force between 2002 and 2005 was undocumented. The Social Security Administration sent Republic Waste letters from 2002 to 2006 that many workers had provided Social Security numbers that did not match legitimate accounts.

Staff writer Carolyn Feibel contributed to this report.
james.pinkerton@chron.com

http://www.chron.com/disp/story.mpl/met ... 35161.html