West Virginia Chemical Spill Claims Mount

Charleston, West Virginia-based Freedom Industries can expect about 5,000 groups to ask for money in bankruptcy claims over the January chemical spill that seeped into West Virginia’s biggest water supply. The case’s claims agent, James Lane, said the total sought thus far has topped $160 million, and he’s still counting. Vendors, business partners and the Internal Revenue Service are seeking several million more dollars Freedom owes them. Aug. 1 was the deadline for filing.

A wide spectrum of folks want Freedom’s limited cash: state and county agencies; local eateries and big chains like McDonald’s; a dog track casino and a go-kart fun center; the regional water company; and residents who say they got sick, bought a bunch of bottled water or drove out of town to find clean water. The state itself is looking for $1.8 million.

But securing money from Freedom may be a long shot. Anthony Majestro, a Charleston lawyer representing businesses that have sued Freedom, thinks most of the money available will come from Freedom’s $3 million insurance policy. Negotiations are ongoing over how to use that money for projects benefiting the public good.