MJEOL - Greka, DA to square off in court

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Santa Barbara County

Greka, DA to square off in court

Written by Administrator
Tuesday, 26 October 2004
[b] Greka, DA to square off in court[/b] By Erin Carlyle/Staff Writer Greka Energy and the Santa Barbara County District Attorney's Office will face off in Superior Court today in a hearing that could force the company to cease some of its operations until trial. Greka has committed dozens of safety violations at its Santa Barbara County oil operations that threaten the health and safety of its employees and the public, according to a lawsuit filed last month by the district attorney. The District Attorney also alleges the company filed a lawsuit to silence a former employee who reported problems. Greka last week countered with court documents calling the lawsuit "frivolous" and in some cases false. Greka's court documents dismiss the District Attorney's claims as the testimony of two "disgruntled (and discredited) former employees," who have not worked at Greka for two years. The company also alleges that Jerry Lulejian, deputy district attorney, fabricated a hydrogen-sulfide-leak emergency in September - one day before the company requested a hearing delay - in order to win an immediate preliminary injunction. Today's hearing in Santa Maria is expected to determine whether Greka must shut down facilities that are not currently permitted, and whether the company must drop a suit against whistle-blower and former safety manager Gary Lowrey. [b]Judge Rodney Melville will preside.[/b] The suit alleges 104 causes of action, which could cost the company $2,000 to $500,000 per violation, per day. Greka operated many of its onshore gas facilities without permits and did not repair or properly maintain aging equipment and infrastructure likely to cause explosions, fires, and release of poisonous gas, according to the lawsuit. The suit alleges a lack of safety training and accuses the company of ignoring a safeguard system designed to prevent rupture of underground pipelines. The lawsuit also alleges that Greka CEO Randeep Grewal made threatening comments to Lowrey when he spoke up about safety violations. Greka's response to the District Attorney's suit states that 13 of the 14 facilities received the proper county fire permits last week, and accuses Lulejian of conspiring with regulators to beef up his case. The court documents allege neither county fire or the Air Pollution Control District, which regulate Greka, considered the company an imminent threat to public health or safety. Greka has onshore oil and gas facilities in Cat Canyon, east of Orcutt, and the Zaca Oil Field east of Los Alamos, and west of Santa Maria, as well as throughout northern Santa Barbara County. About 100 local people work for Greka. * Staff writer Erin Carlyle can be reached at 739-2218 or by e-mail at This e-mail address is being protected from spam bots, you need JavaScript enabled to view it Oct. 26, 2004 Source: http://news.newspress.com/topsports/102504greka.htm

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