[Federal Register Volume 65, Number 221 (Wednesday, November 15, 2000)]
[Notices]
[Pages 69053-69055]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-29248]
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NUCLEAR REGULATORY COMMISSION
[IA-00-039]
In the Matter of Mr. David D. Klepadlo; Order Prohibiting
Involvement in NRC-Licensed Activities (Effective Immediately)
I
Mr. David D. Klepadlo (Mr. Klepadlo) is currently the President of
David D. Klepadlo & Associates (K & A). K & A was the holder of
Materials License No. 37-30236-01 issued by the Nuclear Regulatory
Commission (NRC) on September 11, 1995, pursuant to 10 CFR Part 30,
until such License was revoked on August 9, 1999, for non-payment of
fees. The license authorized possession and use of two Troxler
Electronics Laboratories (Troxler) portable nuclear density gauges
(gauges).
II
On July 9, 1999, an Order Revoking License was issued to K & A for
non-payment of fees, and on August 9, 1999, the license was revoked.
Following the revocation of K & A's license, Mr. Oberg, an NRC
inspector, contacted Mr. Klepadlo by telephone on August 12, 1999. Mr.
Klepadlo told Mr. Oberg that he no longer possessed the two Troxler
gauges, having returned them to Troxler, and further stated that he
would look for the documentation showing the gauges were returned to
Troxler and would contact the NRC. In a letter to the NRC dated
September 3, 1999, Mr. Klepadlo stated, ``These test gauges were
returned to Troxler in North Carolina in the Fall of 1997 and have not
been in our possession since that time.'' However, Mr. Klepadlo did not
provide any documentation supporting that the gauges were returned to
Troxler.
On October 25, 1999, the NRC sent a letter to K & A indicating that
the NRC had not yet received any documentation from K & A that the
gauges had been returned to Troxler, and that Troxler had no record of
receipt of the gauges. This letter also requested that K & A verify the
final disposition of the gauges. Since repeated attempts by the NRC
failed to ascertain the disposition of the gauges, an NRC inspection
was conducted at the K & A facility on February 22, 2000, during which
both Troxler gauges were found to be stored at the facility.
III
The NRC requirement of 10 CFR 30.10(a)(1) prohibits deliberate
misconduct that causes a licensee to be in violation of any license
issued by the NRC. Also, the NRC requirement of 10 CFR 30.10(a)(2)
prohibits an individual from deliberately submitting to the NRC
information that the individual knows to be incomplete or inaccurate in
some respect material to the NRC.
The NRC has concluded that Mr. Klepadlo violated 10 CFR 30.10(a)(1)
and (a)(2). Specifically, after the NRC revoked K & A's Materials
License No. 37-30236-01 on August 9, 1999, Mr. Klepadlo violated 10 CFR
30.10(a)(1) and (a)(2) when he knowingly and deliberately provided
false information to the NRC, which caused K & A to violate 10 CFR
30.9. The violation occurred when Mr. Klepadlo: (1) told an NRC
inspector during a telephone conversation on August 12, 1999, that he
no longer possessed the gauges, having returned them to Troxler; and
(2) signed and submitted a letter to the NRC on September 3, 1999, that
the gauges were returned to Troxler in North
[[Page 69054]]
Carolina in the Fall of 1997 and have not been in K & A's possession
since that time. This was false information because the gauges were at
the K & A facility at the time of Mr. Klepadlo's August 12, 1999,
statement and September 3, 1999, letter.
Before the NRC made this final enforcement decision, a letter from
the NRC dated September 18, 2000, afforded Mr. Klepadlo an opportunity
to request a predecisional enforcement conference or respond in writing
to the apparent violation. Mr. Klepadlo responded to the apparent
violation in a letter dated October 17, 2000, stating that the NRC's
conclusion that he made false statements to the NRC concerning the
location of the gauges was incorrect. Mr. Klepadlo stated that as
President of K & A, he cannot personally know the location of every
piece of equipment owned by the company, and therefore, was not aware
of the specific location of the gauges at each and every moment.
Notwithstanding Mr. Klepadlo's contention, the NRC maintains that
the violation was deliberate. In making this conclusion, the NRC
considered that: (1) the Radiation Safety Officer (RSO) at K & A, who
cared for the gauges, was laid off in January 1998; (2) Mr. Klepadlo,
during a transcribed interview with an NRC investigator on June 13,
2000, stated under oath, that once the RSO had left employment at K &
A, Mr. Klepadlo's ``only objective in life'' was to get rid of the
gauges, and that's what he tried to do, spending a lot of time
contacting everyone he knew; and (3) the gauges were found at the K & A
facility during an NRC inspection on February 22, 2000. Mr. Klepadlo,
having been unsuccessful in his attempts to get rid of the gauges and
having stated that his only objective after the RSO left was to get rid
of the gauges, must have known the gauges were at K & A at the time of
his August 12, 1999, oral statement to Mr. Oberg, and in his September
3, 1999, letter to the NRC. Therefore, the NRC concludes that his false
statements were also deliberate.
IV
The NRC must be able to rely on the integrity of Licensee employees
to comply with NRC requirements, including the requirement to provide
information that is complete and accurate in all material respects. Mr.
Klepadlo's actions in deliberately violating Commission regulations,
and deliberately and knowingly providing false information to the NRC
calls into question his trustworthiness and reliability, and raises
serious questions as to whether he can be relied upon to comply with
NRC requirements and to provide complete and accurate information to
the NRC.
Consequently, I lack the requisite reasonable assurance that any
future licensed activities could be conducted in compliance with the
Commission's requirements, and that the health and safety of the public
would be protected, if Mr. Klepadlo were permitted to be involved in
NRC-licensed activities. Therefore, the NRC has determined that the
public health, safety and interest require that David D. Klepadlo be
prohibited from any involvement in NRC-licensed activities for a period
of three years from the date of this Order. Additionally, Mr. Klepadlo
is required to notify the NRC of his first employment in NRC-licensed
activities following the prohibition period. Furthermore, pursuant to
10 CFR 2.202, I find that the significance and willfulness of Mr.
Klepadlo's conduct described above is such that the public health,
safety and interest require that this Order be immediately effective.
V
Accordingly, pursuant to Sections 81, 161b, 161i, 161o, 182 and 186
of the Atomic Energy Act of 1954, as amended, and the Commission's
regulations in 10 CFR 2.202, 10 CFR part 30, and 10 CFR 150.20, It Is
Hereby Ordered, Effective Immediately, That:
(1) David D. Klepadlo is prohibited from engaging in NRC-licensed
activities for three years from the date of this Order. NRC-licensed
activities are those activities that are conducted pursuant to a
specific or general license issued by the NRC, including but not
limited to those activities of Agreement State licensees conducted
pursuant to the authority granted by 10 CFR 150.20.
(2) If Mr. Klepadlo is currently involved with another licensee in
NRC-licensed activities, he must immediately cease those activities and
inform the NRC of the name, address and telephone number of the
employer, and provide a copy of this Order to the employer.
(3) For a period of one year after the three year period of
prohibition has expired, Mr. Klepadlo shall, within 20 days of his
acceptance of each employment offer involving NRC-licensed activities
or his becoming involved in NRC-licensed activities, as defined in
Paragraph V.1 above, provide notice to the Director, Office of
Enforcement, U.S. Nuclear Regulatory Commission, Washington, DC 20555,
of the name, address, and telephone number of the employer or the
entity where he is, or will be, involved in the NRC-licensed
activities. In the first notification Mr. Klepadlo shall include a
statement of his commitment to comply with regulatory requirements and
the basis why the Commission should have confidence that he will now
comply with applicable NRC requirements.
The Director, Office of Enforcement, may, in writing, relax or
rescind any of the above conditions upon demonstration by Mr. Klepadlo
of good cause.
VI
In accordance with 10 CFR 2.202, David D. Klepadlo must, and any
other person adversely affected by this Order may, submit an answer to
this Order, and may request a hearing on this Order within 20 days of
the date of this Order. Where good cause is shown, consideration will
be given to extending the time to request a hearing. A request for
extension of time must be made in writing to the Director, Office of
Enforcement, U.S. Nuclear Regulatory Commission Washington, DC 20555,
and include a statement of good cause for the extension. The answer may
consent to this Order. Unless the answer consents to this Order, the
answer shall, in writing and under oath or affirmation, specifically
admit or deny each allegation or charge made in this Order and shall
set forth the matters of fact and law on which Mr. Klepadlo or other
person adversely affected relies and the reasons as to why the Order
should not have been issued. Any answer or request for a hearing shall
be submitted to the Secretary, U.S. Nuclear Regulatory Commission,
Attn: Rulemakings and Adjudications Staff, Washington, DC 20555. Copies
also shall be sent to the Director, Office of Enforcement, U.S. Nuclear
Regulatory Commission, Washington, DC 20555, to the Assistant General
Counsel for Materials Litigation and Enforcement at the same address,
to the Regional Administrator, NRC Region I, 475 Allendale Road, King
of Prussia, Pennsylvania 19406, and to Mr. Klepadlo if the answer or
hearing request is by a person other than Mr. Klepadlo. If a person
other than Mr. Klepadlo requests a hearing, that person shall set forth
with particularity the manner in which that person's interest is
adversely affected by this Order and shall address the criteria set
forth in 10 CFR 2.714(d).
If a hearing is requested by Mr. Klepadlo or a person whose
interest is adversely affected, the Commission will issue an Order
designating the time and place of any hearing. If a hearing is held,
the issue to be considered at such hearing shall be whether this Order
should be sustained.
[[Page 69055]]
Pursuant to 10 CFR 2.202(c)(2)(i), Mr. Klepadlo may, in addition to
demanding a hearing, at the time the answer is filed or sooner, move
the presiding officer to set aside the immediate effectiveness of the
Order on the ground that the Order, including the need for immediate
effectiveness, is not based on adequate evidence but on mere suspicion,
unfounded allegations, or error.
In the absence of any request for hearing, or written approval of
an extension of time in which to request a hearing, the provisions
specified in Section V above shall be final 20 days from the date of
this Order without further order or proceedings. If an extension of
time for requesting a hearing has been approved, the provisions
specified in Section V shall be final when the extension expires if a
hearing request has not been received. An answer or a request for
hearing shall not stay the immediate effectiveness of this order.
Dated this 3rd day of November 2000.
For the Nuclear Regulatory Commission.
Carl J. Paperiello,
Deputy Executive Director for Materials, Research and State Programs.
[FR Doc. 00-29248 Filed 11-14-00; 8:45 am]
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