Corruption, Fraud and Failure: Cascading Nuclear Fiascos

See below for recent articles related to developing reports of several serious scandals and other fiascos that occurred at multiple nuclear facilities and sites across the country.

Most Recent

New criminal charges filed against Westinghouse official in SC’s nuclear plant failure

“As construction problems mounted, costs rose, and schedules slipped, (and) defendants hid the true status of the project,” the indictment said.
“…Delays and cost overruns — hidden by SCANA officials from the public and state regulators — eventually doomed the effort, making it one of the largest business failures in South Carolina history.”

BY JOHN MONK | August 19, 2021 thestate.com

Acting United States Attorney Rhett DeHart pledges continued efforts in prosecuting those responsible for the failed nuclear site in Fairfield County. BY TRACY GLANTZ


A second high-ranking employee of Westinghouse Electric Corp. is facing criminal charges in connection with the multi-billion dollar failure of the doomed nuclear project in Fairfield County.

Jeffrey Benjamin, a former Westinghouse senior vice president of new plants and projects, faces multiple counts of fraud, according to an 18-page indictment made public Wednesday in U.S. District Court in Columbia.

It is the latest criminal charge in a four-year federal investigation of what went wrong at the highest levels of two substantial American companies — Westinghouse and the former SCANA Corp.

The charges against Benjamin are “for his role in failing to truthfully report information regarding construction of new nuclear units at the V.C. Summer nuclear plant,” Acting U.S. Attorney Rhett DeHart said in a press release.

Benjamin’s alleged cover-up of billions of dollars in losses at Westinghouse’s troubled nuclear plants in South Carolina and Georgia were part of a series of events leading to the company’s bankruptcy in March 2017, according to the indictment.

“The defendant’s misrepresentations and omissions, as well as the associated cover-up, resulted in billions of dollars in losses to (SCANA), ratepayers and investors,” the indictment said.

Benjamin, who was responsible for Westinghouse’s worldwide construction of nuclear reactors, is the fourth person to face criminal charges in connection with the SCANA scandal. The three others — another former Westinghouse employee and two top SCANA officials — all have agreed to plead guilty to various counts of fraud but have not yet been sentenced.

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Top Westinghouse Nuclear Executive Charged with Conspiracy, Fraud in 16-Count Federal Indictment

Department of Justice
U.S. Attorney’s Office
District of South Carolina

FOR IMMEDIATE RELEASE
Wednesday, August 18, 2021

Columbia, South Carolina — Acting United States Attorney for the District of South Carolina M. Rhett DeHart announced today that a Federal Grand Jury has charged former Westinghouse Electric Company Senior Vice President Jeffrey A. Benjamin for his role in failing to truthfully report information regarding construction of new nuclear units at the V.C. Summer nuclear plant.

Benjamin, who served as Senior Vice President for New Plants and Major Projects and directly supervised all new nuclear projects worldwide for Westinghouse during the V.C. Summer project, is charged in a federal indictment with sixteen felony counts including conspiracy, wire fraud, securities fraud, and causing a publicly-traded company to keep a false record.

The charges Benjamin faces carry a maximum of twenty years imprisonment and a $5,000,000 fine.

The indictment alleges that Benjamin was personally involved in communications between Westinghouse and its owners, SCANA and Santee Cooper, regarding the status of the V.C. Summer project.

The indictment further alleges that, throughout 2016 and into 2017, when Westinghouse had direct control over the construction and schedule of the project, Benjamin received information that the V.C. Summer units were materially behind schedule and over budget.  Nevertheless, at various times from September 2016 through March 2017, the indictment alleges that Benjamin assured the owners that the units would be completed on schedule and took active steps to conceal from the owners damaging information about the project schedule.  During this time period, the owners paid Westinghouse over $600,000,000 to construct the two V.C. Summer units, both of which were ultimately abandoned.

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House nears vote to repeal nuclear plant bailout

“We need to hit the reset button and start from scratch here,” state Rep. Jeffrey Crossman (D., Parma) said. “We can’t continue this nonsense of pretending that the corruption didn’t happen.”

By: JIM PROVANCE | The Blade, Toledo (TNS)  

COLUMBUS — A House committee Tuesday set the stage for a full chamber vote to partly repeal provisions of a state law at the heart of a $61 million Ohio Statehouse bribery scandal.

The full Ohio House of Representatives was expected to vote Wednesday.

This would mark the House’s first action to undo a $1 billion, consumer-financed bailout of the Davis-Besse nuclear power plant near Oak Harbor and the Perry plant east of Cleveland. That law has come to epitomize shady, backroom dealing hidden even to those lawmakers ultimately manipulated to get it passed.

Two players and a nonprofit, dark-money corporation have already pleaded guilty to federal racketeering charges carrying up 20 years in prison for the individuals. Three others — including former House Speaker Larry Householder (R., Glenford) — face similar charges.

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Ex-SCANA CEO pleads guilty to fraud in SC nuclear fiasco: ‘I’m sorry it’s come to this’

Tom Clements, an environmental activist who criticized the nuclear project even before its abandonment, noticed and shouted a question as the former SCANA executive walked past. “Mr. Marsh, are you going to apologize to the people of South Carolina for this nuclear nightmare?”

By Avery G. Wilks & Conor Hughes | postandcourier.com February 24, 2021 – updated March 5, 2021

Kevin Marsh, then-CEO of SCANA, walks past demonstrators outside a 2017 meeting of the S.C. Public Service Commission shortly after the company abandoned the V.C. Summer nuclear construction project. Marsh appeared in court for the first time to plead guilty to fraud charges and formally accept responsibility for his role in the failed decade-long expansion. Sean Rayford/Special to The Post and Courier

COLUMBIA — Former SCANA Corp. Chief Executive Officer Kevin Marsh will spend at least two years in prison and pay back at least $5 million for defrauding electric ratepayers in South Carolina’s $9 billion nuclear power fiasco, according to a plea deal that was presented to a federal judge Feb. 24.

The 65-year-old Marsh appeared in court for the first time to plead guilty to fraud charges and formally accept responsibility for his role in the failed, decade-long expansion of SCANA’s V.C. Summer nuclear power plant in Fairfield County. Marsh had to surrender his passport at the courthouse but was released without having to post money for bond.

Once one of South Carolina’s top businessmen, Marsh has spent the past six months as a criminal informant and will continue to be a key witness for state and federal prosecutors who continue to probe the V.C. Summer project’s failure. He faces up to 10 years in prison if he does not fully cooperate with that investigation, according to the new terms of his plea deal.

“Justice has been served,” U.S. Attorney for South Carolina Peter McCoy said after the hearing. “For years, institutions and individuals have abused the public trust with little to no accountability. This includes corporations that have increased profits at the expense of their customers. Oftentimes, it’s assumed that these executives will avoid any oversight because of who they are and where they’ve worked.”

Marsh’s first day in court was a long one, a product of a three-year investigation by the FBI, U.S. Attorney’s Office for South Carolina, State Law Enforcement Division and S.C. Attorney General’s Office that brought both state and federal fraud charges against him.

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New Aerial Photos Released of the Trio of Failed Nuclear Projects in South Carolina & Georgia: Plutonium Fuel/MOX (Proposed to be Converted into a Plutonium Bomb Plant) and the Vogtle & V.C. Summer Nuclear Reactor Construction Sites

Savannah River Site Watch
Columbia, South Carolina
https://srswatch.org/
November 30, 2020

Columbia, SC (aka new Nuclear Ground Zero) — Dramatic aerial photos of the massive nuclear construction projects in South Carolina and Georgia have been released by the public interest organization Savannah River Site Watch. The photos of the three failed projects, two of which have been formally terminated, were taken by a local anonymous pilot who goes by the nom de avion High Flyer.

SRS MOX
Photo Courtesy of High Flyer © 2020
SRS Vogtle Nov 20 2020 RMI00206-sm
Photo Courtesy of High Flyer © 2020
SRS
Photo Courtesy of High Flyer © 2020
SRS
Photo Courtesy of High Flyer © 2020
SRS Nov 20 2020
Photo Courtesy of High Flyer © 2020
SRS Nov 20 2020
Photo Courtesy of High Flyer © 2020
SRS MOX
SRS MOX
Photo Courtesy of High Flyer © 2020
SRS MOX
Photo Courtesy of High Flyer © 2020
SRS MOX
Photo Courtesy of High Flyer © 2020
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Nuclear fiasco: SCANA ex-CEO to plead guilty to fraud, get prison, pay $5 million

Former SCANA CEO Kevin Marsh has agreed to plead guilty to federal conspiracy fraud charges, go to prison for at least 18 months and forfeit $5 million in connection with SCANA’s $10 billion nuclear fiasco, according to papers filed in the U.S. District Court in South Carolina.

Cooperation agreement between South Carolina federal attorney, SC attorney general & Dominion: https://srswatch.org/wp-content/uploads/2020/11/cooperation-agreement-SCGA-US-fed-attny-Dominion-filed-Nov-24-2020.pdf
Marsh, 65, who now lives in North Carolina, helped lead a two-year cover-up, from 2016 to 2018, of the serious financial trouble that was jeopardizing the success of not only the ongoing Fairfield County nuclear project but also the troubled financial health of SCANA, according to records and evidence in the case.
At the time, the now-defunct SCANA was a respected gas and electric publicly-traded utility and the only Fortune 500 company in South Carolina. It had 700,000 electric customers and 350,000 natural gas customers.
Marsh, SCANA CEO from 2011 to 2017, will need to have his guilty plea formally accepted by a U.S. District Court judge before it becomes official. Under the plea agreement, Marsh will likely face a prison term of between 18 and 36 months.Continue reading

Nuclear Watch Interactive Map – U.S. Nuclear Weapons Complex

Waste Lands: America’s Forgotten Nuclear Legacy

The Wall St. Journal has compiled a searchable database of contaminated sites across the US. (view)
Related WSJ report: https://www.wsj.com

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